Section 242 – The Companies Act,1956

The Companies Act, 1956

242. Prosecution.

(1) If, from any report made under section 241, it appears to the Central Government that any person has, in relation to the company or in relation to any other body corporate,1[***] whose affairs have been investigated by virtue of section 239, been guilty of any offence for which he is criminally liable, the Central Government may, after taking such legal advice as it thinks fit, prosecute such person for the offence and it shall be the duty of 2[all officers and other employees] and 3[agents of the company, or body corporate,] (other than the accused in the proceedings), to give the Central Government all assistance in connection with the prosecution which they are reasonably able to give.

(2) Sub-section (6) of section 240 shall apply for the purposes of this section, as it applies for the purposes of that section.

—————————-

1. Certain words omitted by Act 53 of 2000, sec. 120 (w.e.f. 13-12-2000).

2. Subs. by Act 65 of 1960, sec. 77, for “all officers” (w.e.f. 28-12-1960).

3. Subs. by Act 53 of 2000, sec. 120, for certain words (w.e.f. 13-12-2000).

Previous | Next

The Companies Act, 1956

Indian Laws – Bare Acts

MyNation

Leave a Comment

Your email address will not be published. Required fields are marked *