Section 252 - Minimum number of directors. - Companies Act, 1956

Chapter II DIRECTORS Constitution of Board of Directors Minimum number of directors. 252. (1) Every [1] [public company (other than a public company which has become such by virtue of section 43A)] [2] [* * *] shall have at least three directors: [3] [Provided that a public company having, ___ (a) a paid-up capital of five crore rupees or more; (b) one thousand or more small shareholders, may have a director elected by such small shareholders in the manner as may be prescribed. Explanation . For the purposes of this sub-section "small shareholders" means a shareholder holding shares of nominal value of twenty thousand rupees or less in a public company to which this section applies.] (2) Every [4] [other] company [5] [* * *] shall have at least two directors. (3) The directors of a company collectively are referred to in this Act as the "Board of directors" or "Board". ---------------------------------------- Notes:- [1] Substituted by the Companies (Amendment) Act, 1965, Act 31 of 1965, section 29 for "public company", w.e.f. 15-10-1965. [2] The words "and every private company which is a subsidiary of a public company" omitted by the Companies (Amendment) Act, 1960, Act 65 of 1960, section 81. [3] Inserted by the Companies (Amendment) Act, 2000, w.e.f. 13-12-2000. [4] Substituted by the Companies (Amendment) Act, 1965, Act 31 of 1965, section 29, for "private", w.e.f. 15-10-1965. [5] The words "which is not a subsidiary of a public company" omitted by the Companies (Amendment) Act, 1960, Act 65 of 1960 section 81.