Register of Directors’ Interests

What is a register of directors’ interests and when should you use it?

A register of directors’ interests is something that you must have in place where you have a limited company.

Under European Legislation and the Companies Act 2014 there are seven mandatory statutory registers required to be maintained by all companies incorporated in Ireland.

These are:

1. Register of Members pursuant to Section 169 of the Act
2. Register of Directors and Secretaries pursuant to Section 149 of the Act
3. Register of Directors’ and Secretaries’ Interests in Shares or Debentures pursuant to Section 261 of the Act
4. Register of Directors’ Service Contracts pursuant to Section 154 of the Act
5. Register of Directors’ Interests in Contracts pursuant to Section 231 of the Act
6. Register of Instruments creating Charges pursuant to Section 414 of the Act
7. Register of Ultimate Beneficial Ownership pursuant to Article 30 of the 4th EU Anti Money Laundering Directive

The Register of Directors’ Interests is a crucial document for any company as it serves to record and track the interests of the directors.

It contains the key information about a particular director’s interests: for example, if shares are involved, the number of shares and the price a director paid for these.

A director could be an individual – and usually is – but it could also be a corporate entity too.

This document plays a vital role in ensuring transparency and accountability within the organization.

This Register of Directors’ Interests is set out in the form of a table that may be kept by a company secretary or administrator to outline the nature of interests that each director holds, including relevant dates.

Maintaining this type of record makes it easier for companies to monitor interests that may potentially give rise to future conflicts.

The register should be kept at a company’s registered office address or its principal place of business or another place within the State.

The register is open to inspection by any member of the company without charge.

The members of the company are also entitled to request a copy of the register and a copy of the minute book of the members’ meetings.

The register can be kept in paper or electronic format.

Failure to ensure that the register is maintained is a criminal offence.