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 purposes of this sub-section "small shareholders" means a shareholder 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".