ADVOKS GLOBAL · KENYA
Agricultural Finance Corporation Act
8. Matters on which Director may not vote
Edition: 2022-12-31 · Repealed
8. Matters on which Director may not vote
(1)A Director shall not at a meeting of the Board take part in the discussion of nor vote upon an application made by a person who is—(a)related to that Director within the third degree of affinity or consanguinity; or(b)a debtor, creditor, partner or employee of that Director; or(c)a debtor under a mortgage of a body of persons, whether incorporated or not, of which that Director is a Director or under which he holds any office or position other than that of auditor.(2)A Director who is in any way whether directly or indirectly, interested in a proposed loan or in a loan then subsisting shall declare the nature of his interest at the first meeting at which he is present when the question of that loan is taken into consideration, if his interest then exists, or, in any other case, at the first meeting at which he is present after he becomes so interested, and shall take all reasonable steps to ensure that such declaration shall be recorded in the minutes of the meeting:Provided that a general notice given by a Director to the effect that he is a member of a specified body of persons, company or firm and is to be regarded as interested in all transactions connected therewith shall be a sufficient declaration under this subsection.(3)Subject to subsection (1) a Director who shall have declared his interest in accordance with subsection (2) may attend and be counted in the quorum of, but shall not vote in relation to that matter, at any meeting which may consider or pass any application or other resolution in respect of such a loan.(4)Any person who contravenes subsection (1) or subsection (2) shall be guilty of an offence and liable to imprisonment for a term not exceeding three years or to a fine not exceeding five thousand shillings or to both.