Companies Act, 1963

Proceedings on inspectors' report.

170.—(1) If from any report made under section 169 it appears to the Minister that any person has, in relation to the company or to any other body corporate whose affairs have been investigated by virtue of section 167, been guilty of any offence for which he is criminally liable, the Minister shall refer the matter to the Attorney General.

(2) If where any matter is referred to the Attorney General under this section, he considers that the case is one in which a prosecution ought to be instituted and institutes proceedings accordingly, it shall be the duty of all officers and agents of the company or other body corporate as aforesaid, as the case may be, (other than the defendant in the proceedings) to give him all assistance in connection with the prosecution which they are reasonably able to give.

Subsection (6) of section 168 shall apply for the purposes of this subsection as it applies for the purpose of that section.

(3) If, in the case of any body corporate liable to be wound up under this Act, it appears to the Minister from any such report as aforesaid that it is expedient so to do, by reason of any such circumstances as are referred to in subparagraph (i) or subparagraph (ii) of paragraph (b) of section 166, the Minister may, unless the body corporate is being wound up by the court, present a petition for it to be so wound up on the ground that it is just and equitable that it should be wound up or on the ground that the affairs of the company are being conducted or the powers of the directors are being exercised in a manner oppressive to any of its members or in disregard of their interests as members of the company or a petition for an order under section 205 or both.

(4) If from any such report as aforesaid it appears to the Minister that proceedings ought, in the public interest, to be brought by any body corporate dealt with by the report for the recovery of damages in respect of any fraud, misfeasance or other misconduct in connection with the promotion or formation of that body corporate or the management of its affairs, or for the recovery of any property of the body corporate which has been misapplied or wrongfully retained, the Minister may himself bring proceedings for that purpose in the name of the body corporate.

(5) The Minister shall indemnify the body corporate against costs or expenses incurred by it in or in connection with any proceedings brought by virtue of subsection (4).