(
1984 Ed.]
Companies
[CAP. 32
171
if
(a) to account to the company for any gain which he has made directly or indirectly by the transaction; and
(b) jointly and severally with any other director liable under this subsection, to indemnify the company for any loss or damage resulting from that transaction.
(i) he knowingly and wilfully authorized or permitted the transaction to be entered into; or
(ii) the transaction consists in the making of a loan to that director or a person connected with him; or
(iii) the transaction consists in the giving of a guarantee or the provision of any security in connexion with a loan made by any person to that director or a person connected with him.
(5) Without prejudice to the foregoing provisions of this section, section 157H(2) shall not of itself invalidate any transaction entered into in contravention thereof.
(6) In this section and in section 157J, "the relevant circumstances" means, in relation to a contravention of section 157H(2), all the facts and other circumstances constituting that contravention including, in the case of a transaction which but for any fact or circumstance would be authorized by any provision of section 157H, that fact or circumstance.
(7) For the purposes of this section a person is connected with a director of a company if, but only if, he is—
(a) the spouse, child or step-child of that director; or
(b) a person acting in his capacity as the trustee (other than as trustee under an employees' share scheme or a pension scheme) of any trust the beneficiaries of which include the director, his spouse or any of his children or step-children or the terms of which confer a power on the trustees that may be exercised for the benefit of the director, his spouse or any of his children or step-children; or
(c) a person acting in his capacity as partner of that director or of any person who by virtue of paragraph (a) or (b) is connected with that director; or
(d) a company in which that director or his spouse or any of his children or step-children, or any person to whom paragraph (b) or (c) applies, holds (jointly or severally or directly or indirectly) a controlling interest,
and in this subsection a reference to the child or step-child of any person shall include a reference to any illegitimate child of that person, but shall not include a reference to any person who has attained the age of 21 years.
(Added, 6 of 1984, s. 114)
:
(
1984 Ed.]
Companies
[CAP. 32
171
if
(a) to account to the company for any gain which he has made
directly or indirectly by the transaction; and
(b) jointly and severally with any other director liable under this subsection, to indemnify the company for any loss or damage resulting from that transaction.
(i) he knowingly and wilfully authorized or permitted the
transaction to be entered into; or
(ii) the transaction consists in the making of a loan to that
director or a person connected with him; or
(iii) the transaction consists in the giving of a guarantee or the provision of any security in connexion with a loan made. by any person to that director or a person connected with him.
(5) Without prejudice to the foregoing provisions of this section, section 157H(2) shall not of itself invalidate any transaction entered into in contravention thereof.
(6) In this section and in section 157J, "the relevant circum- stances" means, in relation to a contravention of section 157H(2), all the facts and other circumstances constituting that contravention including, in the case of a transaction which but for any fact or circumstance would be authorized by any provision of section 157H. that fact or circumstance.
(7) For the purposes of this section a person is connected with a director of a company if, but only if, he is—
(a) the spouse, child or step-child of that director; or
(b) a person acting in his capacity as the trustee (other than as trustee under an employees' share scheme or a pension scheme) of any trust the beneficiaries of which include the director, his spouse or any of his children or step-children or the terms of which confer a power on the trustees that may be exercised for the benefit of the director, his spouse or any of his children or step-children; or
(c) a person acting in his capacity as partner of that director or of any person who by virtue of paragraph (a) or (b) is connected with that director; or
(d) a company in which that director or his spouse or any of his children or step-children, or any person to whom paragraph (b) or (c) applies, holds (jointly or severally or directly or indirectly) a controlling interest,
and in this subsection a reference to the child or step-child of any person shall include a reference to any illegitimate child of that person, but shall not include a reference to any person who has attained the age of 21 years.
(Added, 6 of 1984, s. 114)
:
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