252. Minimum number of directors.—(1) Every public company (other than a public company which has become such by virtue of section 43A) shall have at least three directors: Provided that a public company having,— (a) a paid-up capital of five crore rupees or more; (b) one thousand or more small shareholders, may have a director elected by such small shareholders in the manner as may be prescribed. Explanation.—For the purpose of this sub-section “small shareholders” means a shreholder holding shares of nominal value of twenty thousand rupees or less in a public company to which this section applies. (2) Every other company shall have at least two directors. (3) The directors of a company collectively are referred to in this Act as the “Board of directors” or “Board”.
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