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Section 372 Of Companies Act 2013: Power Of Court To Stay Or Restrain Proceedings

Corporate Law (Country: India)

SECTION-372 (Power of Court to stay or restrain proceedings) under CHAPTER-XXI (PART I.— Companies Authorised to Register under this Act) of the Companies Act, 2013

The provisions of this Act or of the Insolvency and Bankruptcy Code, 2016, as the case may be with respect to staying and restraining suits and other legal proceedings against a company at any time after the presentation of a petition for winding up and before the making of a winding up order, shall, in the case of a company registered in pursuance of this Part, where the application to stay or restrain is by a creditor, extend to suits and other legal proceedings against any contributory of the company.









Extra Notes for Readers

(1) The Companies Act, 2013 received the assent of the President on the 29th August, 2013 (Published in the Gazette of India, Extraordinary, Part II - Section 1 by Ministry of Law and Justice, Legislative Department on 30th August, 2013) - link


(2) Section 372 of the Companies Act 2013 was notified by MCA Notification S.O. 3677(E) dated 7th December 2016 (w.e.f. 15th December 2016) - link

(3) Also refer  the Companies (Authorised to Registered) Rules, 2014 (w.e.f. 1st April 2014) link

Note: Please check MCA site for any further amendments to the Companies (Authorised to Registered) Rules, 2014.
(4) Section 372 of the Companies Act 2013 was modified in accordance with the section 255 of the Insolvency and Bankruptcy Code, 2016 as under - link.
In section 372, after the words "The provisions of this Act", the words "or of the Insolvency and Bankruptcy Code, 2016, as the case may be," shall be inserted.

MCA has notified section 255 of the Insolvency and Bankruptcy Code, 2016 vide notification no. S.O. 3453(E) dated 15th November 2016 (w.e.f. 15th November 2016) - link






This page was last updated on 29th May, 2017.

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