Section 124 of The Companies Act No. 17 of 2015: When a director connected with a body corporate for purposes of this Part
(1) In this Part, a director is connected with a body corporate if, but only if, the director and the persons connected with the director together—
(a) are interested in shares comprised in the equity share capital of the body corporate of a nominal value equal to at least twenty percent of that share capital; or
(b) are entitled to exercise or control the exercise of more than twenty percent of the voting power at any general meeting of that body.
(3) The rules set out in the First Schedule apply for the purposes of this section.
(4) A reference in this section to voting power the exercise of which is controlled by a director includes voting power whose exercise is controlled by a body corporate controlled by the director.
(5) Shares in a company held as treasury shares, and any voting rights attached to those shares, are to be disregarded for the purposes of this section.
(6) To avoid circularity in the application of section 122—
(a) a body corporate with which a director is connected is not, for the purposes of this section, connected with the director unless it is also connected with the director because of subsection (1)(c) or (d) of that section; and
(b) a trustee of a trust the beneficiaries of which include (or may include) a body corporate with which a director is connected is not, for the purposes of this section, connected with a, director only because of that fact.
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