Chapter II — ROAD TRANSPORT CORPORATIONS

Section 6Disqualifications for being chosen as, or for being, a Director of a Corporation

Section 6: Disqualifications for being chosen as, or for being, a Director of a Corporation

6. Disqualifications for being chosen as, or for being, a Director of a Corporation

6. Disqualifications for being chosen as, or for being, a [Director of a Corporation].—[(1)] A person shall be disqualified for being chosen as, or for being, a Director of a Corporation—

(a)

if he is found to be a lunatic or a person of unsound mind; or

(b)

if he has been adjudged insolvent; or

(c)

if he has been convicted of an offence involving moral turpitude; or

(d)

if he has, directly or indirectly, any interest in any subsisting contract made with, or in any work being done for, the Corporation except as a shareholder (other than a director) in an incorporated company, provided that where he is a shareholder he shall disclose to the State Government the nature and extent of shares held by him in such company; or

(e)

if he has any financial interest in any other road transport undertaking.

[(2) Nothing in clause (d) of sub-section (1) shall be deemed to disqualify the [Managing Director] of a Corporation for being chosen as, or for being, a [Director] thereof.]

(3)

Nothing in clause (e) of sub-section (1) shall be deemed to disqualify,—

(a)

any officer or other employee of the Government for being chosen as, or for being, a Director of a Corporation;

(b)

any officer or other employee of a Corporation for being chosen as, or for being, a Director of another Corporation.

Amendment notes (6)
  1. Subs w.e.f. 13-11-1982 . Subs. by s. 4, ibid., for "member of a Corporation" (w.e.f. 13-11-1982).
  2. w.e.f. 1-9-1959 . Section 6 re-numbered as sub-section (1) thereof by Act 28 of 1959, s. 2 (w.e.f. 1-9-1959).
  3. Ins w.e.f. 1-9-1959 . Ins. by Act 28 of 1959, s. 2 (w.e.f. 1-9-1959).
  4. Subs w.e.f. 13-11-1982 . Subs. by Act 63 of 1982, s. 4, for "Chief Executive Officer or General Manager" (w.e.f. 13-11-1982).
  5. Subs w.e.f. 13-11-1982 . Subs. by s. 4, ibid., for "member" (w.e.f. 13-11-1982).
  6. Ins w.e.f. 13-11-1982 . Ins. by s. 4, ibid. (w.e.f. 13-11-1982).