I have become Director and shareholder (<51%) of a private limited company in Bangalore in May 2012. Other than myself, the company currently has one promoter who is the majority shareholder (>51%) and is the Founder Director. The company was founded by him in Oct 2010. He along with his mother were the Directors of the company till May 2012. In May, his mother exited the company by transferring her shares to him.
Now, for filing Income Tax returns and annual returns to ROC for the period Apr 2011 - Mar 2012, I am being asked to sign off as Director on audited accounts since the promoter's mother is no longer a Director. Am I permitted by law to sign off on these documents, when i was not part of the company at all during that period? If I am allowed, (i) is it advisable for me to sign off? (ii) what are the legal/financial/other implications for me if I sign off?
Thanks
