Company Law Reform Bill

moved Amendment No. 197:"Page 83, line 6, after ““proceedings”” insert ““or any regulatory investigations or proceedings””" The noble Lord said: This is a point of principle. The amendment seeks to clarify that a company can provide funding for a director to defend himself when under investigation for, or charged with, a regulatory breach. This is not only equitable, in my judgment, but a reassurance to directors. It is a permissive amendment in the sense that it enables a company to provide funding for a director in proceedings other than those directly referred to in Clause 186. It is necessary to give assurance to bona fide directors who might find that they have to defend themselves. I have not found myself in this situation, but I am well aware of other circumstances. I commend the amendment to the Minister, and look forward to his response. I beg to move.