Section 7 CAMA 2020

Section 7 Companies and Allied Matters Act, 2020, is about Disclosure of interest. It is under PART A (CORPORATE AFFAIRS COMMISSION) of the Act.

Disclosure of interest

(1) A member of the Board who is directly interested in any company or enterprise, the affairs of which are being deliberated upon by the Board, or is interested in any contract made or proposed to be made by the Board shall, as soon as possible after the relevant facts have come to his knowledge, disclose the nature of his interest at a meeting of the Board.

(2) A disclosure, under subsection (1), shall be recorded in the minutes of the Board, and the member shall—
(a) not take part, after such disclosure, in any deliberation or decision of the Board with regard to the subject matter in respect of which his interest is disclosed ; and
(b) be excluded for the purpose of constituting a quorum of the Board for any such deliberation or decision.