Companies Act, 1973 (Act No. 61 of 1973)Chapter VIII: DirectorsNumber and Appointment213. Qualification shares of directors |
| 1) |
| a) | Without prejudice to the restrictions imposed by section 211, any director of a company who is by its articles required to hold a specified number of qualification shares, and who does not hold such qualification shares shall vacate his office if he does not obtain such qualification shares within two months, or such shorter period as may be provided in the articles of the company, from the date of his appointment, and shall not be capable of being reappointed until he has obtained such qualification shares. |
| b) | For the purposes of any provision in the articles of a company requiring a director to hold a specified number of shares as qualification shares, the bearer of a share warrant shall not be deemed to be the holder of the shares specified in the warrant. |
| 2) | Any person who accepts an appointment or acts as a director of a company contrary to any provision of subsection (1), shall be guilty of an offence. |