As enacted

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Companies Act 2007 · As enacted · Part VII · Management and Administration Registered Office

173. Investigation of company’s affairs in other cases

Official English translation. The Sinhala text prevails. Open the official Sinhala text, official PDF on documents.gov.lk

(1)

Without prejudice to the provisions of section 172, the Registrar—

(a)

shall appoint one or more competent inspectors to investigate the affairs of a company and to report thereon in such manner as the Registrar directs, where the court by order declares that the company’s affairs ought to be investigated by a person appointed by the Registrar ;

(b)

may appoint one or more competent inspectors to investigate the affairs of a company and to report thereon to the Registrar, if it appears to him that there are circumstances suggesting that—

(i)

its business is being conducted with intent to defraud its creditors or the creditors of any other person, or otherwise for a fraudulent or unlawful purpose, or in a manner which is unfairly prejudicial to any part of its shareholders ;

(ii)

it was formed for any fraudulent or unlawful purpose ;

(iii)

persons concerned with its formation or the management of its affairs have in connection therewith been guilty of fraud, misfeasance or other misconduct towards it or towards its shareholders ;

(iv)

its shareholders have not been given all the information with respect to its affairs which they might reasonably expect ; or

(v)

it is necessary to do so for any of the purposes of this Act.

(2)

An inspector may be appointed under this section on the condition that any report that he makes is not for publication, and in any such case subsection (3) of section 176 shall not apply to such reports.

Read on from s 174

Part VIII