Company Law Board Constitution of Board of Company Law Administration 10E
(1) As soon as may be after the commencement of the Companies (Amendment) Act,
1988, the Central Government shall, by notification in the Official Gazette,
constitute a Board to be called the Board of Company Law Administration. (1A) The Company Law Board shall
exercise and discharge such powers and functions as may be conferred on it, by
or under this Act or any other law, and shall also exercise and discharge such
other powers and functions of the Central Government under this Act or any
other law as may be conferred on it by the Central Government, by notification
in the Official Gazette under the provisions of this Act or that other law. (2) The Company
Law Board shall consist of such number of members, not exceeding (nine), as the
Central Government deems fit, to be appointed by that Government by
notification in the Official Gazette:
Provided that the Central Government may, by notification in the Official
Gazette, continue the appointment of the Chairman or any other member of the
Company Law Board functioning as such immediately before the commencement of
the Companies (Amendment) Act, 1988, as the chairman or any other member of the
Company Law Board, after such commencement for such period not exceeding three
years as may be specified in the notification. (2A) The members of the Company
Law Board shall possess such qualifications and experience as may be
prescribed. (3) One of the
members shall be appointed by the Central Government to be the chairman of the
Company Law Board. (4) No act done
by the Company Law Board shall be called in question on the ground only of any
defect in the constitution of, or the existence of any vacancy in, the Company
Law Board. (4A) (Omitted by the Companies
(Amendment) Act, 1988, w.e.f. 31.5.1991. For text of omitted sub-section
(4A) refer Appendix I.)
(4B) (The Board) may, by
order in writing, form one or more Benches from among its members and authorize
each Bench to exercise and discharge such of the Board’s powers and functions
as may be specified in the order; and every order made or act done by a Bench
in exercise of such powers or discharge of such functions shall be deemed to be
the order or act, as the case may be, of the Board. (4C) Every Bench referred to in
sub-section (4B) shall have powers which are vested in a Court under the Code
of Civil Procedure, 1908 (5 of 1908), which trying a suit, in respect of the
following matters, namely: - (a)
discovery and inspection of documents of other
material objects producible as evidence; (b)
enforcing the attendance of witnesses and requiring
the deposit of their expenses; (c)
the
production of documents or other material objects producible as evidence and
impounding the same; (d)
examining witnesses on oath; (e)
granting adjournments; (f)
reception of evidence on affidavits. (4D) Every Bench shall be deemed
to be a civil count for the purposes of section 195 and (Chapter XXVI of the
Code of Criminal Procedure, 1973 (2 of 1974) ) and every proceeding before the
Bench shall be deemed to be judicial proceeding within the meaning of section
193 and 228 of the Indian Penal Code (45 of 1860) and for the purpose of
section 196 of that Code.) (5) Without
prejudice to the provisions of sub-section (4C) and (4D), the Company Law Board
shall in the exercise of its powers and the discharge of its functions under
this Act or any other law be guided by the principal of natural justice and
shall act in its discretion. (6) Subject to
the foregoing provisions of this section the Company Law Board shall have power
to regulate its own procedure. |