Section 207 Conduct of inspection and inquiry – Companies Act 2013

Amended and updated notes on section 207 of Companies Act 2013. Detail discussion on provisions and rules related to conduct of inspection and inquiry.

Amended and updated notes on section 207 of Companies Act 2013. Detail discussion on provisions and rules related to conduct of inspection and inquiry.

Chapter XIV (Sections 206229) of the Companies Act, 2013 (CA 2013) deals with the provisions related to Inspection, Inquiry and Investigation. Section 207 of CA 2013 provides for conduct of inspection and inquiry.

Recently, we have discussed in detail section 206 (Power to call for information, inspect books and conduct inquiries) of CA 2013. Today, we learn the provisions of section 207 of Companies Act 2013.

The provisions of section 207 are effective from 1-April-2014. You may refer Notification No. S.O. 902(E) issued dated 27-03-2014. In this article, you will learn detail of the provisions of section 207 of the Companies Act 2013.

Name of ActThe Companies Act 2013
Enacted byParliament of India
Administered byMinistry of Corporate Affairs (MCA)
Number of Chapters29
Number of Sections484 (470-43+57)
Number of Schedules7
You are reading:
Chapter No.XIV
Chapter NameInspection, Inquiry and Investigation
Section No.207
Section NameConduct of inspection and inquiry
Monthly Updated EditionCompany Law PDF

Section 207 of Companies Act 2013: Conduct of inspection and inquiry

Section 207 shall come into force on 1st April, 2014 vide Notification No. S.O. 902(E) issued dated 27.03.2014.

(1) Where a Registrar or inspector calls for the books of account and other books and papers under section 206, it shall be the duty of every director, officer or other employee of the company to produce all such documents to the Registrar or inspector and furnish him with such statements, information or explanations in such form as the Registrar or inspector may require and shall render all assistance to the Registrar or inspector in connection with such inspection.

(2) The Registrar or inspector, making an inspection or inquiry under section 206 may, during the course of such inspection or inquiry, as the case may be, —

  • (a) make or cause to be made copies of books of account and other books and papers; or
  • (b) place or cause to be placed any marks of identification in such books in token of the inspection having been made.

(3) Notwithstanding anything contained in any other law for the time being in force or in any contract to the contrary, the Registrar or inspector making an inspection or inquiry shall have all the powers as are vested in a civil court under the Code of Civil Procedure, 1908, while trying a suit in respect of the following matters, namely: —

  • (a) the discovery and production of books of account and other documents, at such place and time as may be specified by such Registrar or inspector making the inspection or inquiry;
  • (b) summoning and enforcing the attendance of persons and examining them on oath; and
  • (c) inspection of any books, registers and other documents of the company at any place.

(4) (i) If any director or officer of the company disobeys the direction issued by the Registrar or the inspector under this section, the director or the officer shall be punishable with imprisonment which may extend to one year and with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees.

(ii) If a director or an officer of the company has been convicted of an offence under this section, the director or the officer shall, on and from the date on which he is so convicted, be deemed to have vacated his office as such and on such vacation of office, shall be disqualified from holding an office in any company.


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