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Requirement under company law

This query is : Resolved 
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(Querist)
24 February 2011 Dear Experts:
Please consider the following situation

Two Persons Mr.A & Mr.B holding 50% each equally in Share Capital of the Public limited company, and their relatives are members to make satisfaction of minimum 7 members. They are not holding single shares of the said company.
The Mr. A & Mr.B are also Directors and one of them is relative Director (who is appointed as Director, for the purpose of minimum Directorship in Public ltd company is to 3)
Query:
1. Whether there is any voilation in this above situation regard to Companies Act 1956?
2. If yes, Please provide explanation? and also, Please give any suggestion to compliance with companies Act!
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Sunil Kr. Sanganeria

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Sunil Kr. Sanganeria (Expert)
25 February 2011 I do not think violation of any provision of the Companies Act. Relative of a diredtor can be shareholders and directors of the Company.

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