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<h1>Definition of Related Party in Companies Act Updated: Directors, Key Personnel, Relatives Included per Rule Amendment</h1> For the purposes of sub-clause (ix) of clause (76) of section 2 of the Companies Act, a related party is defined as a director, excluding independent directors, or key managerial personnel of the holding company, or their relatives, in relation to a company. This definition is specified in the Companies (Specification of definitions details) Rules, 2014, and was amended by a notification dated July 17, 2014.