(1) As soon as practicable after the directors have finished preparing their annual report for the company, they shall approve the report and arrange for one of them or the secretary of the company to sign it.
(2) If the directors’ report is prepared in accordance with the small companies regime, the directors shall include in the report a statement to that effect.
(3) If a directors’ report is approved that does not comply with the requirementsof this Act, each director of the company who—
(a) knew that it did not comply, or was reckless as to whether it complied; and
(b) failed to take reasonable steps to ensure compliance with those requirements, or to prevent the report from being approved, commits an offence and on conviction is liable to a fine not exceeding one million shillings or to imprisonment for a term not exceeding five years, or to both.
(2) If the directors’ report is prepared in accordance with the small companies regime, the directors shall include in the report a statement to that effect.
(3) If a directors’ report is approved that does not comply with the requirementsof this Act, each director of the company who—
(a) knew that it did not comply, or was reckless as to whether it complied; and
(b) failed to take reasonable steps to ensure compliance with those requirements, or to prevent the report from being approved, commits an offence and on conviction is liable to a fine not exceeding one million shillings or to imprisonment for a term not exceeding five years, or to both.
Check the current authoritative text and amendment history before relying on a provision.