§ 2.40 p.m.
§ The Question was as follows:
§ To ask Her Majesty's Government whether, in any company legislation now being drafted, they will see that provision is made for all dealings in their company's shares by directors and senior executives to be recorded in the annual report.
§ THE PARLIAMENTARY UNDERSECRETARY OF STATE, DEPARTMENT OF TRADE AND INDUSTRY (THE EARL or LIMERICK)My Lords, the position at present is that the directors' report of a company is required to show, in respect of each director, the number of shares in the company in which he was interested at the beginning of the year to which the report relates and also the number in which he was interested at the end of that year. It can thus be seen whether a director has had any dealing in the company's shares. Details of any transactions, including prices given or received, may be obtained from the register of directors' share interests which the company is required to keep and make available for inspection. Her Majesty's Government will be considering in the course of the review they are making of company law whether this information would appropriately be recorded in the directors' report and whether, if the term "senior executive" could be defined, senior executives should also be required to disclose their dealings.