Acts Online
GT Shield

Companies Act, 1973 (Act No. 61 of 1973)

Chapter IX: Remedies of Members

Investigation into Affairs of Company

260. Production of documents and evidence on investigation

 

 

1) Any director, officer or agent of a company or other body corporate whose affairs are being investigated by an inspector under this Act, shall at the request of such inspector produce to him all books and documents of or relating to the company or other body corporate, in his custody or under his control, and afford the inspector such assistance within his power in connection with the investigation as the inspector may require.

 

2) An inspector may for the purpose of any investigation conducted by him-
a) summon any director, officer, employee, member or agent of the company or other body corporate to appear before him at a time and place specified in the summons, to be interrogated or to produce any book or document so specified;
b) administer an oath to or accept an affirmation from any person appearing before him in pursuance of a summons, and interrogate such person and require him to produce any such book or document;
c) retain for examination any book or document produced to him in pursuance of a summons for a period not exceeding two months or for such further period or periods as the Registrar may on good cause shown, permit.

 

3) A summons for the attendance of any person before an inspector or for the production to him of any book or document may be in such form as the inspector may determine, shall be signed by the inspector, and shall be served in the same manner as a subpoena in a criminal case issued by a Magistrate's Court.

 

4) Any person duly summoned to appear before an inspector who without sufficient cause-
a) fails to attend at the time and place specified in the summons or to remain in attendance until excused by the inspector from further attendance; or
b) refuses upon being required to do so by the inspector, to take an oath or to affirm as a witness or refuses or fails to produce any book or document which he has been required to produce or to answer fully and satisfactorily to the best of, his knowledge and belief all questions put to him by the inspector concerning the affairs of the company or other body corporate whose affairs are being investigated, whether or not the answer is likely to incriminate him, shall be guilty of an offence: Provided that, save as otherwise provided in this subsection, in connection with the interrogation of any such person, or the production of any such book or document, the law relating to privilege, as applicable to a witness subpoenaed to give evidence or to produce any book or document before a court of law, shall apply.

 

5)
a) If an inspector considers it necessary for the purposes of his investigation that a person whom he has no power to examine on oath should be so examined, he may apply to the Court for an order calling upon such person to appear before it for examination and the Court may thereupon if it thinks fit order that person to attend before it to be examined on oath on any matter relevant to the investigation, and on any such examination-
i) the inspector may take part therein either personally or by attorney or counsel;
ii) the Court may put such questions to the person examined as the Court thinks fit;
iii) the person examined shall answer all such questions as the Court may put or allow to be put to him.
b) Notes of the examination shall be taken down in writing and shall be read over to or by and signed by the person examined, and may thereafter be used in evidence against him.
c) The Court may allow the person examined such costs as in its discretion it may think fit, and any costs so allowed shall be paid as part of the costs of the investigation.

 

6) In this section-
a) any reference to a director, officer, employee, member or agent of a company or other body corporate, includes a reference to a past director, officer, employee, member or agent of such company or other body corporate; and
b) any reference to an agent of a company or other body corporate, includes a reference to the bankers, attorneys and auditor of the company or other body corporate.

 

7) Any person examined under this section may at his own cost employ an attorney with or without counsel, who shall be at liberty to put to him such questions as the inspector or the Court may deem just for the purpose of enabling him to explain or qualify any answers given by him.