Admission of directors to a fund

Where the employer is a company as defined in clause (i) of sub-section (1) of section 3 of the Companies Act, 1956 ( 1 of 1956 ), a director of the company may be admitted to the benefits of the fund only if he is a wholetime bona fide employee of the company and does not beneficially own shares in the company carrying more than five per cent of the total voting power.