Section 38 in The Industrial Finance Corporation Act, 1948
38. Indemnity of Directors
.-(1) Every Director shall be indemnified by the Corporation against all losses and expenses incurred by him in or about the discharge of his duties, except such as are caused by his own wilful act or default.(2)A Director shall not be responsible for any other Director or for any officer [or other employee] of the Corporation or for any loss or expense resulting to the Corporation by the insufficiency of deficiency of value of, or title to, any property or security acquired or taken on behalf of the Corporation, or by the wrongful act of any person under obligation to the Corporation, or by anything done in good faith in the execution of the duties of his office or in relation thereto.[38-A. Protection of actiont aken by Directors appointed under sections 25 and 30-A .-No suit, prosecution or other legal proceeding shall lie against any Director ][or Administrator] [ Inserted by Act 50 of 1986, Section 19 (w.e.f. 2.2.1987).][of any industrial concern appointed by the Corporation under section 25 or section 30-A for anything which is in good faith done or intended to be done by him as such Director ] [Inserted by Act 43 of 1957, Section 15 (w.e.f. 21.12.1957). ][or Administrator] [ Inserted by Act 50 of 1986, Section 19 (w.e.f. 2.2.1987).].
