Section 237, The Companies Act, 2009

(1) If a director of a company, having acquired as a directorany special information which may substantially affect the value of the shares or debentures of the company or any associated company, buys or sells such shares without disclosing such information to the seller or or purchaser thereof, the purchase or sale shall be voidable at the option of the seller or purchaser within 12 months after the agreement to sell or buy. (2) For the purposes of this section, any shares or debentures bought or sold shall be deemed to have been bought or sold by a director if his interest in the shares is such as to require recording in relation to him in the register to be maintained under this Act, unless it is proved that the sale or purchase was not made by him or on his instruction or advice or on the instructions or advice of any other person to whom he had imparted any special information affecting the value of the shares or debentures obtained by him in his capacity as director (3) This section shall not prejudice the right of the company to proceed against any director for breach of section 235.