Section 166 of CA 2013 : Section 166: Duties Of Directors
CA 2013
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Explanation using Example
Imagine a scenario where Mr. Smith is a director at XYZ Ltd. The company is considering a new project that involves setting up a manufacturing unit near a river. As per Section 166(2) of The Companies Act, 2013, Mr. Smith must act in good faith and consider the project's impact on the community and the environment. He must ensure the project promotes the company's objects and benefits the members and stakeholders.
Mr. Sm...
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