163B. Exception for expenditure in connection with regulatory action or investigation

Question 1

163B. Exception for expenditure in connection with regulatory action or investigation

Answer 1

General overview
[163B.01] In addition to s 163A, s 163B provides that a loan may be given to a director of a company for the purpose of meeting or avoiding any expenditure, i.e. legal expenses incurred or to be incurred by him to defend himself in an investigation or an action by a regulatory authority in connection with any alleged negligence, default, breach of duty or trust by him in relation to the company.