What are the reasons for introducing the directors' statement requirement in the company law?

Question

The current directors' statement requirement is contained in section 201(15) of the Companies Act (Cap.50).

Answer 1

COMPANY LAW. Stop and focus my friend are their more important things in life.

Answer 2

I don't now what state or country you are talking about, so the following is just general legal theory.

Directors generally owe a duty to the company to act responsibly, and in the best interests of the company. Requiring a director's statement make sure that the directors are keeping people (employees and/or shareholders) informed as to what they are doing, so that their effectiveness can be verified.