Contract of employment with managing or whole-time directors

    (1) Every company shall keep at its registered office,--
         (a) where a contract of service with a managing or whole-time director is in writing, a copy of the contract; or
         (b) where such a contract is not in writing, a written memorandum setting out its terms.
     (2) The copies of the contract or the memorandum kept under sub-section (1) shall be open to inspection by any member of the company without payment of fee.
     (3) If any default is made in complying with the provisions of sub-section (1) or sub-section
    (2), the company shall be liable to a penalty of twenty-five thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for each default.
     (4) The provisions of this section shall not apply to a private company.