ADVOKS GLOBAL · KENYA
The Companies (General) Regulations
49. Details of permitted indemnity provision to be included in directors' report
Edition: 2022-12-31 · In force
49. Details of permitted indemnity provision to be included in directors' report
(1)If, when a directors' report prepared by the directors of a company is approved in a financial year of the company in accordance with section 658 of the Act (Directors to approve and sign directors' report), a permitted indemnity provision (whether made by the company or otherwise) is in force for the benefit of one or more directors of the company, or of any associated company, the directors' report for the financial year is required to include a statement that the permitted indemnity provision is in effect as provided by section 197 of the Act (Directors to disclose qualifying indemnity provision in directors' report).(2)If, at any time in the financial year to which a directors' report prepared by the directors of a company relates, a permitted indemnity provision (whether made by the company or otherwise) was in force for the benefit of one or more persons who were then directors of the company, or of an associated company, the directors' report for the financial year is required to include a statement that the permitted indemnity provision was in effect as provided by section 197(2) of the Act.(3)In this regulation—“permitted indemnity provision”, in relation to a company, means a provision that—(a)provides for indemnity against liability incurred by a director of the company to a third party; and(b)has effect as provided by section 197(2) of the Act;“third party”, in relation to a company, means a person other than the company or an associated company.