COMPANIES ACT, 1929

hs
expenses to be defrayed by the Board under this section were
expenses incurred by the Board under this Act in relation to the
winding-up of companies in England.
137.—(1) A company may by special resolution appoint inspectors
to investigate its affairs.

(2) Inspectors so appointed shall have the same powers and
duties as inspectors appointed by the Board of Trade, except that,
stead of reporting to the Board, they shall report in such manner
and to such persons as the company in general meeting may direct.

(3) If any officer or agent of the company refuses to produce
to the inspectors any book or document which it is his duty under
this section so to produce, or refuses to answer any question which
Is put to him by the inspectors with respect to the affairs of the
company, he shall be liable to be proceeded against in the same
manner as if the inspectors had been inspectors appointed by the
Board of Trade.

138. A copy of the report of any inspectors appointed under this
Act, authenticated by the seal of the company whose affairs they
have investigated, shall be admissible in any legal proceeding as
evidence of the opinion of the inspectors in relation to any matter
contained in the report.

Power of com-
pany to appoint
nspectors.

Report of
inspectors to be
svidence.

Directors and Managers.

139.—(1) Every company registered after the commencement of Number of

this Act shall have at least two directors. directors.
(2) This section shall not apply to a private company.

140.—(1) A person shall not be capable of being appointed Restrictions on
director of a company by the articles, and shall not be named as a nit
director or proposed director of a company in a prospectus issued of director.
by or on behalf of the company, or as proposed director of an in-
tended company in a prospectus issued in relation to that intended
company, or in a statement in lieu of prospectus delivered to the
registrar by or on behalf of a company, unless, before the registration
of the articles or the publication of the prospectus, or the delivery
of the statement in lieu of prospectus, as the case may be, he has
by himself or by his agent authorised in writing—

(a) signed and delivered to the registrar of companies for
registration a consent in writing to act as such director:
and
either—
(i) signed the memorandum for a number of shares
aot less than his qualification, if any; or

(ii) taken from the company and paid or agreed ..
pay for his qualification shares, if any; or

(iii) signed and delivered to the registrar for registra-
don an undertaking in writing to take from the company
and pay for his qualification shares. if anv: or