Which of the following is a reason for the disqualification of a director?

The reason for the disqualification of a director is primarily tied to consistently defaulting on regulations. Directors have a fiduciary duty to comply with various legal and regulatory requirements that govern the operation of a company. This includes adherence to financial regulations, corporate governance standards, and statutory obligations.

When a director consistently defaults on these regulations, it demonstrates a failure to fulfill their responsibilities and put the interests of the company and its stakeholders at risk. Such behavior undermines the integrity of corporate governance and can lead to significant legal consequences, including disqualification from serving as a director in the future. The expectation is that directors operate within the bounds of the law, maintaining diligence and care in their roles.

In contrast, underestimating company revenues does not inherently lead to disqualification; it may indicate poor forecasting or planning but does not entail a breach of duty or regulations. Making a profit is not a disqualifying action; rather, it is often the desired outcome of a business. Engaging in corporate social responsibility is generally viewed positively and is encouraged, as it reflects a commitment to ethical practices and community welfare. Therefore, consistently defaulting on regulations is a clear basis for disqualification compared to the other options.