Directors Interest in Transaction​

This declaration must be made at a board meeting or by sending a written notice to the other directors. The requirement aims to mitigate the risk of any bias or unfavourable decisions that might arise due to a director's undisclosed interest, promoting fairness and integrity in corporate governance.

The Companies Act outlines specific consequences for directors who fail to declare their interest, including the potential for the transaction to be voidable by the company. This emphasizes the importance of directors adhering to their fiduciary duties and reinforces accountability within the company's management structure.