Section 189 — Register of contracts or arrangements in which directors are interested

(1) Every company
shall keep one or more registers giving separately the particulars of all contracts or arrangements to which
sub-section (2) of section 184 or section 188 applies, in such manner and containing such particula rs as
may be prescribed and after entering the particulars, such register or registers shall be placed before the
next meeting of the Board and signed by all the directors present at the meeting.
(2) Every director or key managerial personnel shall, within a period of thirty days of his appointment,
or relinquishment of his office, as the case may be, disclose to the company the particulars specified in sub-
section (1) of section 184 relating to his concern or interest in the other associations which are re quired to
be included in the register under that sub -section or such other information relating to himself as may be
prescribed.

1. The proviso ins. by Act 21 of 2015, s. 16 (w.e.f. 29-5-2015).
2. Subs. by Act 1 of 2018, s. 63, for “shall be voidable at the option of the Board” (w.e.f. 9-2-2018).
3. Subs. by Act 29 of 2020, s. 39, for certain words (w.e.f. 21-12-2020).
4. Subs. by s. 39, ibid., for certain words (w.e.f. 21-12-2020).

(3) The register referred to in sub-section (1) shall be kept at the registered office of the company and
it shall be open for inspection at such office during business hours and extracts may be taken therefrom,
and copies thereof as may be required by any member of the company shall be furnished by the company
to such extent, in such manner, and on payment of such fees as may be prescribed.
(4) The register to be kept under this section shall also be produced at the commencement of every
annual general meeting of the company and shall remain open and accessible during the continuance of the
meeting to any person having the right to attend the meeting.
(5) Nothing contained in sub-section (1) shall apply to any contract or arrangement—
(a) for the sale, purchase or supply of any goods, materials or services if the value of such goods
and materials or the cost of such services does not exceed five lakh rupees in the aggregate in any year;
or
(b) by a banking company for the collection of bills in the ordinary course of its business.
(6) Every director who fails to comply with the provisions of this section and the rules made thereunder