Skip to main content

Daily Email Newsletter (Sign-up Free)

Sec 226 Companies Act 2013: Voluntary Winding Up of Co. - Not To Stop Investigation Proceedings

SECTION-226 (Voluntary winding up of company, etc., not to stop investigation proceedings) under CHAPTER-XIV (Inspection, Inquiry and Investigation) of the Companies Act, 2013

An investigation under this Chapter may be initiated notwithstanding, and no such investigation shall be stopped or suspended by reason only of, the fact that—
(a) an application has been made under section 241;
(b) the company has passed a special resolution for voluntary winding up; or
(c) any other proceeding for the winding up of the company is pending before the Tribunal:
Provided that where a winding up order is passed by the Tribunal in a proceeding referred to in clause (c), the inspector shall inform the Tribunal about the pendency of the investigation proceedings before him and the Tribunal shall pass such order as it may deem fit:

Provided further that nothing in the winding up order shall absolve any director or other employee of the company from participating in the proceedings before the inspector or any liability as a result of the finding by the inspector.

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)

(2) Section 226 of the Companies Act 2013 was notified by MCA Notification S.O. 3677(E) dated 7th December 2016 (w.e.f. 15th December 2016)

(3) Also refer the Companies (Inspection, Investigation and Inquiry) Rules, 2014 (w.e.f. 1st April, 2014)
[Check for amendments, if any, to the Companies (Inspection, Investigation and Inquiry) Rules, 2014]

This page was last updated on 30th April, 2017.