Interested directors - Disclosure of interest - Whether it is collective responsibility of directors to comply with requirement in sub‑section (6) - Companies Law - No. 8/16(1)/61‑PR,

Circular : No. 8/16(1)/61 ‑ PR, dated 19 ‑ 5 ‑ 1961. Subject:-Interested directors - Disclosure of interest - Whether it is collective responsibility of directors to comply with requirement in sub ‑ section (6) The Department is of the view that it is the collective responsibility of the directors of a company to see that the requirements of section 299(6) (or section 300 for that matter) are duly complied with. In practice, an easy course for a director would be to give a general notice under section 299(3) when his own holding in another company exceeds 2 per cent of its paid‑up capital and when his holding is less than that, to disclose the extent of the holding at the meeting of the board of directors in which contract with such company is considered. It would be the duty of the other directors to disclose all their individual holdings in the said company at the same board s meeting. If, however, a director is absent from that meeting, his holding would, in that event, have to be ascertained