Section 287: Advisory committee
This section is for setting up an advisory committee to assist the Company Liquidator and report to the Tribunal during a company's winding up process.
The section, clause by clause
What the section says
In plain terms
(1)The Tribunal may, while passing an order of winding up of a company, direct that there shall be, an advisory committee to advise the Company Liquidator and to report to the Tribunal on such matters as the Tribunal may direct.
The Tribunal can direct that an advisory committee be formed to advise the Company Liquidator and report to the Tribunal on certain matters when it orders a company to be wound up.
(2)The advisory committee appointed by the Tribunal shall consist of not more than twelve members, being creditors and contributories of the company or such other persons in such proportion as the Tribunal may, keeping in view the circumstances of the company under liquidation, direct.
The advisory committee will have no more than twelve members, consisting of creditors and contributories of the company, or other persons as directed by the Tribunal.
(3)The Company Liquidator shall convene a meeting of creditors and contributories, as ascertained from the books and documents, of the company within thirty days from the date of order of winding up for enabling the Tribunal to determine the persons who may be members of the advisory committee.
The Company Liquidator must convene a meeting of creditors and contributories within thirty days of the winding up order to help the Tribunal determine the advisory committee members.
(4)The advisory committee shall have the right to inspect the books of account and other documents, assets and properties of the company under liquidation at a reasonable time.
The advisory committee has the right to inspect the company's books, documents, assets, and properties at a reasonable time.
(5)The provisions relating to the convening of the meetings, the procedure to be followed thereat and other matters relating to conduct of business by the advisory committee shall be such as may be prescribed.
The rules for convening and conducting advisory committee meetings will be as prescribed.
(6)The meeting of advisory committee shall be chaired by the Company Liquidator.
The Company Liquidator will chair the advisory committee meetings.
The right-hand column is written from the section text, not quoted from it, and it has no legal force. Where the two differ, the left-hand column is the law.
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Reproduced from the official India Code print for reference. Check the current text on India Code before you rely on it, and read the section alongside its Rules. Nothing here is legal advice.