• Sankalp Mirani

Section 76A Of The Companies Act, 2013

Updated: Jun 22


Section 76A: Punishment for contravention of section 73 or section 76

The Companies Act, 2013 Chapter-V Acceptance of Deposits by Companies Section 76A of the Companies Act 2013 states that, 76A. Where a company accepts or invites or allows or causes any other person to accept or invite on its behalf any deposit in contravention of the manner or the conditions prescribed under section 73 or section 76 or rules made thereunder or if a company fails to repay the deposit or part thereof or any interest due thereon within the time specified under section 73 or section 76 or rules made thereunder or such further time as may be allowed by the Tribunal under section 73,— (a) the company shall, in addition to the payment of the amount of deposit or part thereof and the interest due, be punishable with fine which shall not be less than 2[one crore rupees or twice the amount of deposit accepted by the company, whichever is lower] but which may extend to ten crore rupees; and (b) every officer of the company who is in default shall be punishable with imprisonment which may extend to 3[seven years and with fine] which shall not be less than twenty-five lakh rupees but which may extend to two crore rupees, 4[***]: Provided that if it is proved that the officer of the company who is in default, has contravened such provisions knowingly or wilfully with the intention to deceive the company or its shareholders or depositors or creditors or tax authorities, he shall be liable for action under section 447.] Reference 1. Inserted by the Companies (Amendment) Act, 2015, w.e.f. 29.05.2015[S.O. 1440(E) dated 29.05.2015]. 2. Substituted by the Companies (Amendment) Act, 2017, w.e.f. 09.02.2018[S.O. 630(E) dated 09.02.2018], for the words “one crore rupees“. 3. Substituted by the Companies (Amendment) Act, 2017, w.e.f. 09.02.2018[S.O. 630(E) dated 09.02.2018], for the words “seven years or with fine“. 4. Omitted by the Companies (Amendment) Act, 2017, w.e.f. 09.02.2018[S.O. 630(E) dated 09.02.2018], the words “or with both“.

7 views0 comments

Recent Posts

See All