22 Examination Under Sections 299 and 300

(1) Application for examination under section 299 “ An application for the examination of a person under section 299 may be madeex-parte, provided that where the application is made by any person other than the Company Liquidator, notice of the application shall be given to the Company Liquidator. The application shall be in Form No. 46 and, where the application is by the Company Liquidator, it shall be accompanied by a statement signed by him setting forth the facts on which the application is based. Where the application is made by a person other than the Company Liquidator, the application shall be supported by an affidavit of the applicant setting forth the matters in respect of which the examination is sought and the grounds, relied on in support of the application.

(2) Service of the summons - The summons issued in pursuance of the order shall be in Form No. 47 and shall be served by Registered AD or other recognized modes of service as per section 20 of the Act on the person to be examined not less than seven days before the date fixed for the examination. The Tribunal at its discretion may give a reasonable sum towards expenses to such person for appearing before the Tribunal, if it deems to be justifiable.

(3) Conduct of the examination - (i) The Company Liquidator shall have the conduct of an examination under section 299, provided that the Tribunal may, if for any reasons it thinks fit to do so, entrust the conduct of the examination to any contributory or creditors. Where the conduct of the examination is entrusted to any person other than the Company Liquidator, the Company Liquidator shall nevertheless be entitled to be present at the examination in person or by authorised representative, and may take notes of the examination for his own use and put such questions to the person examined as the Tribunal may allow.

(ii) Save as aforesaid, no person shall be entitled to take part in an examination under section 299 except the Company Liquidator and his authorised representative, but any person examined shall be entitled to have the assistance of his authorised representative, who may re-examine the witness :

Provided that the Tribunal may permit, if it thinks fit, any creditor or contributory to attend the examination subject to such conditions as it may impose.

(iii) Notes of the examination may be permitted to be taken by the witness or any person on his behalf on his giving an undertaking to the Tribunal that such notes shall be used only for the purpose of the re-examination of the witness. On the conclusion of the examination, the notes shall, unless otherwise directed, be handed over to the Tribunal for destruction.

(4) Notes of the deposition.-

(i) The notes of the deposition of a person examined under section 299 shall be signed by such person and shall be lodged in the office of the Registrar. But the notes shall not be open for the inspection of any creditor, contributory or other person, except the Company Liquidator, nor shall a copy thereof or extract therefrom be supplied to any person other than the Company Liquidator, save upon orders of Tribunal.

(ii) The Tribunal may from time to time give such general or special directions as it shall think expedient as to the custody and inspection of such notes and the furnishing of copies thereof or extracts therefrom.

(5) Order for public examination under section 300 -

Where an order is made for the examination of any person or persons under section 300, the examination shall be held before the Bench :

provided that the Bench may direct that the whole or any part of the examination of any such person or persons be held before any of the officers mentioned in sub-section (9) of the said section as may be mentioned in the order. Where the date of the examination has not been fixed by the order, the Company Liquidator shall take an appointment from the Bench, or officer before whom the examination is to be held as to the date of the examination. The order directing a public examination shall be in Form No. 48. The Bench may, if it thinks fit, either in the order for examination or by any subsequent order, give directions as to the specific matters on which such person is to be examined.

(6) Notice of public examination.- Not less than seven clear days before the date fixed for the examination, the Company Liquidator shall give notice thereof to the creditors and contributories of the company of advertisement in Form No. 49 in such newspapers as the Bench shall direct, and shall within the same period, serve, either personally or by Registered AD or other recognized modes of service as per section 20 of the Act, on the person or persons to be examined, a notice in Form No. 50 of the date and hour fixed for the examination and the officer before whom it is to be held, together with a copy of the order directing the examination. Where a public examination is adjourned, it shall not be necessary to advertise the adjournment or serve notice thereof unless otherwise ordered.

(7) Notes of Examination - The copy of the notes of every public examination shall, after being signed as required by sub-section (7) of section 300, form part of the records of winding-up. The Company Liquidator, the person examined and any creditor or contributory of the company shall be entitled to obtain a copy thereof from the Tribunal on payment of the charges specified in Schedule......

(8) Default in attending examination under section 299 or 300

If any person who has been directed by the Tribunal to attend for examination under section 299 or section 300 fails to attend at the time and place appointed for holding or proceeding with the same and no reasonable cause is shown by him for such failure, suitable costs may be imposed on him.