Indian Bare Acts

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The Companies Act, 1956

Title : The Companies Act, 1956

Year : 1956

    Sec235    -     Investigation of the affairs of a company.

      (1) The Central Government may, where a report has been made by the Registrar under sub-section (6) of section 234, or under sub-section (7) of that section, read with sub-section (6) thereof, appoint one or more competent persons as inspectors to investigate the affairs of a company and to report thereon in such manner as the Central Government may direct.

      (2) Where-

        (a) in the case of a company having a share capital, an application has been received from not less than two hundred members or from members holding not less than one-tenth of the total voting power therein, and

        (b) in the case of a company having no share capital, an application has been received from not less than one-fifth of the persons on the companys register of members,

      the Company Law Board may, after giving the parties an opportunity of being heard, by order, declare that the affairs of the company ought to be investigated by an inspector or inspectors, and on such a declaration being made, the Central Government shall appoint one or more competent persons as inspectors to investigate the affairs of the company and to report thereon in such manner as the Central Government may direct.


    Last updated on May, 2015

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