Section 13 in The State Financial Corporations Act, 1951
13. Removal of director from office .-
[(1)] The State Government may remove from office any director who-(a)is, or has become, subject to any of the disqualifications mentioned in section 12; or(b)without excuse sufficient in the opinion of the State Government to exonerate him, is absent without leave of the Board from more than three consecutive meetings of the Board.(2)[ The shareholders, other than those mentioned in clauses (a), (b) and (c) of sub-section (3) of section 4, whose names are entered on the register of shareholders, may, after giving to the director a reasonable opportunity of being heard in the manner as may be prescribed, by resolution passed by majority of the votes of such shareholders holding in the aggregate not less than one-half of the total issued equity share capital held by all such shareholders, remove any director elected under clause (d) of section 10 and elect in his place another person to fill the vacancy so caused.] [ Substituted by Act 39 of 2000, Section 11, for Sub-Sections (1) and (1-A) (w.e.f. 5-9-2000).]
