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c/*c//1*23!4 c+/* [230(1) & (3)]

Every registered company whether incorporated for profits or not, is required to maintain proper books
of accounts and all other record relating to the business transactions of the company. A company has to
maintain its books in such a. way so as to exhibit a true and fair view of the state of affairs of the
company and explain each and every transaction of the company. If this objective is not achieved, it
shall be deemed that books. of account are not kept as per requirement of the law.

A company has to keep books of accounts in respect to the followings transactions and
matters:

@ All sums received by the company and the matters in respect of which a receipt took place

All sums expended by the company and the matters in respect of which expenditures took place

 All purchases of goods by the company

 All sales of goods by the company

 All assets of the company

 All liabilities of the company and

 Where the company is engaged in production, processing, manufacturing or mining activities, it has to
further maintain a record relating to the utilization of material, laborand other inputs or items of costs
connected with the production, processing, manufacturing or mining.

Under this case the SECP may, by general or special order, require a company or a class or
companies to maintain such books and record as it may specify.

'c3 433/1*23!4 c+/* [230(1) & (2)]

Every company is required to keep the books of account at its registered office. However, the directors
of a company may decide to keep the books of account at any other place in Pakistan. Where the
directors so decide, they shall have to fulfill the following conditions:

@ Pass a board resolution authorizing the company to keep its books of accounts at a
place other than the registered office and

Notify the registrar, in writing, and intimate him the full address of such other place
within seven (7) days of the decision.

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%&(
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Where a company has branch offices it shall be deemed that the requirement of the law relating to the
maintaining and keeping of the books, etc. at its registered office or the head office is fulfilled if the
following conditions are satisfied:

1. Proper books of account relating to the transactions effected at a branch are kept at the branch
office; and

2. Proper periodical summarized statements of the branch transactions are regularly sent to the
registered or head office of the company. The intervals between two periodical summary statements
shall not be more than three (3) months.

*23556/53'c*/1**23c+/*

There are certain other legal provisions relating to the keeping and maintenance of accounts.

Some of the important provisions are enumerated below:

1.? Every company has to preserve its books of accounts for a period of at least ten (10) Years
immediately preceding the current year. However, if the incorporated age of the company is less
than ten years, then it has to preserve its books, etc. for the whole period. [230(6)]
2.? Every director has a right to inspect the books and papers of the company at any time during the
business hours. [230(4)]
3.? Although a member of a company has no right to inspect the books of accounts yet the directors
may allow the members to inspect the books, etc. While allowing the inspection, the directors
shall specify the extent to which such inspection may be made.The time, place, conditions and
regulations of the inspection of books by the member shall also be specified by the directors.
The company may also authorize such inspection by passing a resolution in the general meeting.
[230(5)]
4.? The above provisions (except relating to the preservation of books) are also applicable to the
liquidator of the company, [230(8)]

-% % ,
%78) #9

Where a company contravenes any of the provisions stated above then its every director, chief
executive and chief accountant shall be liable to imprisonment and a also to a fine as per the following
schedule:

*&%-%& 

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 Listed Company i)? Imprisonment up to one (1) year:
ii)? Fine for an amount ranging Rs. 20,000/- to Rs. 50,000/-
and
iii)? A further fine up to Rs. 5,000/- per day after the first
during which default continues.
Any other company (i.e.,
non-listed public company i)? Imprisonment up to six (6) months: and
or a private company) ii)? Fine up to Rs. 10,000/-

/3*/ !4!0c+*253 3578)9

The registrar or any other officer authorized by the SECP can inspect the books and papers of every
company. The authorized officer shall notify the company the date, time and place of inspection of the
books, etc.

It is the duty of every director, officer or employee of the company (in whose custody the required
books, etc., are) to make available all books and papers for inspection as notified by the authorized
officer. He shall also have to prepare such statements as required by the authorized officer.It is also the
duty of every concerned to provide full possible assistance to the authorized officer in the course of
inspection. 

The authorized officer can make copies of the books and papers. He can also put identification mark on
books and papers indicating that he has inspected those books and papers.

Any officer who is authorized to make an inspection shall have all the powers that the Registrar has
under the Companies Ordinance in relation to making of inquiries.

The authorized officer shall, upon completion of inspection, submit his report to the SECP. 

-% /%:%&
"%- %,

% 5
% &"
%%-!%%; 78)89

Where a company has failed to comply with the provisions stated above, and then every person who is
responsible for such default shall be punishable with an imprisonment up to one (1) year and also to a
fine amounting to minimum of Rs. 10,000/-.

A defaulting director or officer of a company, upon conviction of any offence relating to the inspection
of books, shall be deemed to have vacated his office. Such defaulting director or officer shall also be
disqualified for a period of five (5) years for holding such office in any company.

c//+c'c+/*78))9

According to the law it is the duty of the directors to arrange preparation of the financial results of the
company every year. Section 233 of the Companies Ordinance, 1984 requires that the profit and loss or
income and expenditure account and balance sheet of the company be prepared and laid before it in

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the annual general meeting of the company. The first accounts shall be for the period since the
incorporation of the company. The subsequent account shall be prepared for every year. [233(1)]

A written permission of the registrar is required if, due to some special reasons, the Subsequent
accounts are to be prepared for a period which is more or less than a year. [233(2)]

The annual accounts of the company must be audited by the auditors of the company and the auditors'
report shall be attached with the financial statement. [233(3)]

The auditors' report and the directors' report along with the profit and loss account and balance sheet
of the company shall be sent to every member of the company at his registered address at least twenty-
one (21) days before the annual general meeting. [233(4)]

A listed company is also required to send five (5) copies of each of the reports mentioned above along
with the profit and loss account and balance sheet to the following persons:

1. The stock exchange:-

2. The Registrar: - and

3. The SECP. [233(5)]

78)) <#9

Where a company contravenes any of the provisions relating to the preparation, audit, submission, etc.,
of accounts then its every director, chief executive and chief accountant, who is in default, shall be liable
to imprisonment and a fine as per following schedule:

*& %-%& 

Listed Company i)? Imprisonment up to one (1) year:

ii)? Fine for an amount ranging Rs. 20,000/- to Rs.
50,000/- and
iii)? A further fine up to Rs. 5,000/- per day after the
first during which default continues.

Any other company (i.e., i)? Imprisonment up to six (6) months: and
non-listed public company ii)? Fine up to Rs. 10,000/-
or a private company)

/*3/* !c'c/3233*78)9

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The balance sheet of a company shalt be prepared in such a manner so as to give a true and fair view of
the state of affairs at the end of the financial year and the profit and loss account or income and
expenditure account should give a true and fair view of the profit or loss for the financial year of the
company.

While preparing the financial statements all incomes and expenditures relating to the financial year
must be recorded in the accounts. In the case of expenditures which due to their nature are to be
spread over to several years (called as deferred revenue expenditures), .he whole amount of the
expenditure be stated (in the notes to accounts) in the year in which it is incurred along with the reasons
and the basis of spreading it over to several years.

From the above it is derived that the financial statements of a company must be prepared on accrual
basis ͚instead of͛ cash bases. Although the Income Tax Ordinance, 1984 gives liberty to a taxpayer in
choosing the basis of recording the transactions in his books of accounts but here the Companies
Ordinance, 1984 specifically provides such provisions which require a company to maintain its accounts
only on accrual basis.

5=$
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While preparing the profit and loss account or income and expenditure account and the balance sheet a
listed company and subsidiary of a listed company (whether private company or a non-listed public
company} has to;

1.? Comply with the requirements of the Fourth Schedule attached to the Companies Ordinance,
1984
2.? Follow the International Accounting Standards not notified by the SECP
3.? Include a Cash Flow Statement as integral part of the financial statements 
4.? Include a statement of changes in equity
5.? State accounting policies in the notes to the financial statements
6.? Specify the changes, if any, in the accounting policies of the company. The auditors of the
company are also required to report whether they agree with the changes or not.

5=$
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While preparing the profit and loss account or income and expenditure account and the balance sheet a
company, other than a listed company or its subsidiary company has to comply with the requirements of
the Fifth Schedule attached to the Companies Ordinance, 1984.

The introduction Accounting Standards as notified by the SECP shall also be applicable to such

companies. The companies to which this provision IS applicable are:

1.? A single member company

2.? A private company which is not a subsidiary of a listed company: and
3.? A public company which is not a subsidiary of a listed company.

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/% 
1.? Certain clauses of the Fourth and Fifth Schedules are not applicable to the banking, insurance
and other class of companies for which the provision as to the preparation and presentation of
accounts are stated in the laws related to such companies.
2.? The provisions regarding cash flow statements, statement of changes in equity and declaration
of accounting policies and changes therein are applicable to listed companies only.
3.? The Federal Government has a power to modify the requirements of the Fourth or Fifth
Schedule for a specific company or a class of companies. The Government may exercise its
power of its own motion or upon an application made by the company.
4.? The Federal Government, if deem it in the public interest, may grant exemption to any
Company or a class of companies from compliance with all or any of the provisions of
The Fourth or Fifth Schedule.

3/c'*078) <#9

Where a company contravenes any of the provisions relating to the preparation and
Presentation of financial statements, then its every director, chief executive and chief
Accountant, who is in default, shall be liable to imprisonment and a fine as per the schedule
given below.

*&%-%& 

Listed Company i)? Imprisonment up to one (1) year:

ii)? Fine for an amount ranging Rs. 20,000/- to Rs.
50,000/- and
iii)? A further fine up to Rs. 5,000/- per day after the
first during which default continues.

Any other company (i.e., i)? Imprisonment up to six (6) months and
non-listed public company ii)? Fine up to Rs. 10,000/-
or a private company)

+5'+/536c'+c*/  >3c3*78)9

Revaluation of assets means a fresh valuation of assets. It is the situation in which the current value of
assets is calculated in term of current prices.

Upon revaluation, there may arise a surplus or deficit. The deficits are generally written off in the year of
its occurrence. Whereas the surplus is not taken as profit till it is actually realized. The provisions of the

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Companies Ordinance, 1984 regarding the presentation and utilization of the surplus on revaluation of
fixed assets are as follows.

1.? Any amount of surplus arising out of the revaluation of the fixed assets of the company shall be
kept in a separate account titled as "Surplus on Revaluation of Fixed Assets Account".
2.? The Surplus on Revaluation of Fixed Assets Account shall be shown in the balance
Sheet after the capital and reserves.
3.? This surplus cannot be utilized for setting off the losses (whether past, present or
future) of the company.
4.? This surplus cannot be utilized by way of distribution as dividend or bonus.
5.? The surplus can be used for writing off the deficit arising out of the revaluation of other
fixed asset.
6.? Where the asset is actually disposed off and the amount of surplus is realized then it
can be utilized by the company as it may deem fit.
7.? Depreciation on the revalued asset may be dealt with in any of the following ways:

i)? Any incremental depreciation arising out of the revaluation of fixed asset' may be
charged to surplus on Revaluation of Fixed Assets Account instead of char in it to Profit
and loss Account; or
ii)? Depreciation on the revalued asset shall be provided on the basis of its value before
revaluation and surplus on revaluation may be amortized according to life of the asset.

78) #9

If default is made in compliance of any of the above provisions, the directors of the company (who are in
default) shall be punishable with a fine up to Rs. 20,000/-. They shall also be, jointly and severally, liable
for all damages and losses which the company may sustain due to such default. 

53+/+3 2c537)9

Issue of shares at premium means the issue of shares by a company at a price which is higher than the
par value (which is also termed as face value or nominal value) of the shares. The amount received over
and above the par value of the shares is the 'premium'.

The amount received as premium shall not be mixed up with the Share Capital Account rather; a
separate account with the title "Share Premium Account" shall be maintained. The 'share premium
account' may be applied by the company in:

1.? Writing off the preliminary expenses of the company

2.? Writing off expenses of any issue of shares or debentures of the company
3.? Writing off the commission paid or discount allowed on any issue of shares or debentures of the
company
4.? Providing for the premium payable on the redemption of any redeemable capital of the
company;

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 5.? Providing for the premium payable on the redemption of an, debentures of the company;

6.? Utilizing in issuance of un-issued shares to members as fully paid bonus shares; and
7.? Utilizing the amount of premium paid on buy-back of shares, if shares were purchased
by the company at a price higher than the nominal value.

53*5?535*78)<9

The directors' report to the members of the company is an important document. In this report the
directors not only specify the salient features of the current year's financial statements but also highlight
the state of affairs of the company. The working conditions (including the political, social, economical
and market conditions) and the future prospects of the company are also discussed in this report. 

It is compulsory for every company to send to every member of the company a copy of directors' report
along with the profit and loss account and the balance sheet at least twenty-one (21) days before the
annual general meeting.

% %-
"% ?5&% 

The directors of a company may include any information and discuss any matter in their report
which they consider necessary or which have material effect upon the company or interest of
its members. However, the director must specify their view on the following matters:

1 .The overall state of affairs of the company

2. The amount, if any, recommended by the directors to be distributed as dividend

3. The amount, if any, proposed by the directors to carry to the Reserve Funds

4. Disclosure of post balance sheet date transactions and commitments having material effect
upon the financial position of the company

5. Disclosure of any material changes in the business or nature of the company during the
financial year

6. Comments on and information, clarification and full explanation of any reservations,

observations, qualifications and/or adverse remarks in the auditors' report

7. Earning per share

8. Reasons for incurring losses by the company and a reasonable indication of future prospects
of profit, if any

9. Information about defaults in payment of debts, if any, stating the reasons for such default

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10. Pattern of shareholdings set out in Form-34; and

11. Any other matter which the SECP may specify.

/% The SECP may exempt any company from making any disclosure on the ground that such
disclosure would be prejudicial to the business of the company.

c$
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%%-5&% 78)< )#9

The directors' report is authenticated by the chairman by putting his signatures on the report.
However, the chief executive of the company may also sign the report if he has been so
authorized by the directors.Where the directors have not authorized a chief executive then in
the absence of thechairman the report is to be signed by the chief executive and at least one
director of the company. And where the chief executive is not in Pakistan then at least two
directors shall sign the report. In such a situation the directors shall also specify the reasons
that why the report is not signed by the chairman or the chief executive. 

-% /%:%&
"78)< #9

If a company fails to comply with any of the provisions relating to the directors' report, then
every director and chief executive of the company shall be punishable as per the following
schedule:

*&%-"%&  ?

Listed company i)? Imprisonment up to one (1) year 

ii)? Fine for an amount ranging Rs. 20,000/-

to Rs. 50,000/- and
 ? A further fine up to Rs. 5,000/- per day 
after the first during which default
continues.? 

Any other company i)? Imprisonment up to six (6) months and 

ii)? Fine up to Rs. 10,000/- 

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c+*23/*c*/ !c'c/3233*[241]

The financial statements, i.e., the balance sheet, the profit and loss account or income and
expenditure account, etc., of a company are approved by the directors by putting signatures
in any of the following combinations:

@ The chief executive and at least one director; or

At least two directors of the company, if the chief executive is not in Pakistan;

/% Under the second situation a statement signed by the directors explaining the reasons
that why the financial statements are not signed by the chief executive shall also
subjoin the balance sheet and profit and loss account.

In case of banking company, financial statements are authenticated by three directors one of
them should be chief executive of the company.

According to Code of Corporate GovernanceÖ? the financial statement of a listed company

shall also be signed by the Chief Financial Officer.

/'c*3 /c/c'*c*33/*[237]

In case of a company which is holding of some other company or companies the law
specifics some special requirements to be ï
? by such a company while Circulating its
financial statements. Those provisions are discussed below:

@ A holding company shall attach to its financial statements the consolidated financial
statements of the group considering it as a single enterprise;

The Consolidated financial statements shall be prepared at the end of the financial
year and at the date at which the holding company's financial statements are made
out;

3. The consolidated financial statements shall comply with the disclosure requirement as
contained in:

i) The Fourth Schedule to the Companies Ordinance, 1914; and

ii) The International Accounting Standards as applicable to Pakistan and notified by the SECP;

4. Generally, the financial years of the holding company and its subsidiary coincide. But where
the financial year of the subsidiary precedes by more than three (3) months from

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that of the holding company, the subsidiary company shall make on interim closing of its
accounts for consolidation purposes on the day on which holding company's financial year
ends;

5.? The interim financial statements of a subsidiary shall be reviewed by the auditors of that
company who shall report on the specified Form-350;
6.? The auditors of the holding company shall review the consolidated financial statements
and report on the prescribed Form-35C;
7.? The financial statements shall disclose any:
i) Qualifications contained in the auditors' report on accounts of the subsidiary or
subsidiaries; and

ii) Note or saving contained in accounts of the subsidiary or subsidiaries which is not
covered by the holding company's own accounts and is material from the point of view of its
members.

8.? The persons who are required to sign the individual financial statements of the holding
company shall also sign the consolidated financial statements;
9.? All provisions of the law regarding the following matters which are applicable to a
company shall also apply to a holding company required to prepare the consolidate
financial statements:
i) Annual accounts and balance sheet (u/s 233);

ii) Copy of balance sheet to be forwarded to the registrar (u/s 242);

iii)? Rights of members of company of copies of the financial statements and the
auditors' report (u/s 243);
iv)? Penalty for improper issue, circulation or publication of financial statements
(u/s 244); andQuarterly accounts of listed companies (u/s 245).

10.?The SECP may direct that in relation to any subsidiary the above provisions shall not
apply. The directions of the SECP are made on an application, or with the consent, of the
directors of holding company and shall specify the extent of non-application of the
provisions.
11.?In case of default by a holding company, it's every defaulting officer shall be punishable
with a fine up to Rs. 50,000 in respect of each offence.
12.?An officer shall not be punished if he can prove that:
i)? He took all reasonable steps for securing compliance by the holding company; and
ii)? The non-compliance or default on his part was not willful or intentional.

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 /c/c'03c5 c2'/1c/*+c5078)9

The financial years of a holding company and its subsidiaries shall coincide, except in a case
where the directors of the company are of opinion that there are reasonable grounds against it.
Primarily it is duty of the directors of a holding company to ensure that the financial year of
each of its subsidiaries coincide with its own financial year. 

The SECP may authorize a holding company or any of its subsidiaries to prepare and lay before
the annual general meeting its financial statements for a longer or shorter period as is required
by law. In such situation the relaxation is also granted in holding of the annual general meeting,
submission of accounts and filing of annual return.

512* 2'/1c/053533/*c*63c/3!3578)@9

Under the general provisions applicable to companies a member of a company has no right to
inspect the books of accounts of the company. But in case of a holding company there are some
exceptions, which are discussed in the coming paragraphs. 

5
%-5&  
, 

The representatives of a holding company duly authorized by a resolution may inspect the
books of account kept by any of its subsidiaries. The authorized representative may inspect the
books of account at any time during business hours.

5
 %- 

Members of a company have a right to apply to the SECP for investigation of the affairs of the
company. In respect of any subsidiary, this right may be exercised by the members of the
holding company as if they also were members of the subsidiary company. 

!c'c/3233* cc5c!cc/0789

Section 14 of the Modaraba Companies and Modaraba (Floatation and Control) Ordinance,
1980 requires that in respect of every modaraba floated and managed by it a modaraba
company shall to attach to its balance sheet the following: 

1. The annual balance sheet of the modaraba; 

2. The annual profit and loss account of the modaraba;

3. A report of the auditors on the balance sheet and profit and loss account of the modaraba;
and

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4. A report by the modaraba company on the state of affairs, activities and business prospects
of the modaraba and the amount of profits to be distributed to the certificate holders.

The above statements, reports, etc., shall be attached to the financial statements of a
modaraba company and shall be made out as at the end of the financial year of:

i)? The modaraba company, where financial year of modaraba coincides with that of
the modaraba company; and
ii)? The modaraba last before that of the modaraba company, where financial year of
modaraba does not coincide with that of a modaraba company.

78 8#9

Penalty for non-compliance of provisions by a modaraba company is the same as in the case of
a holding company making the default. Although section 240(2) contains a reference of section
237(12), which due to substitution of section 237, does not exist, but the intention of the law is
clear. Hence, the following provisions shall be applicable to a modaraba company. 

1.? In case of default by a modaraba company, its every officer shall be punishable with fine
up to Rs. 50,000 in respect of each offence. 
2.? An officer shall not be punishable if he can prove that: 
i)? He took all reasonable steps for recurring compliance by the modaraba
company; and
ii)? The non-compliance or default on his part was not willful or intentional.

5Ac5/1 !c'c/3233**531*5c57889

Copies of financial statements, etc., are forwarded to the SECP and/or registrar at two stages,
i.e." before the annual general meeting along with notice of the meeting (u/s 233(5) and after
conclusion of the meeting (u/s 242(1)). Provisions in this regard are discussed below:

1.? Where balance sheet, profit and loss account or income and expenditure account
together with other financial statements and the auditors' and directors' report are laid
before the annual general meeting, a company is required to file with the registrar at
least three (3) copies in the case of a listed company and two (2) copies in the case of
any other company.
2.? The copies of balance sheet, etc., shall be filed within thirty (30) days from the date of
the annual general meeting.
3.? The financial statements and the reports shall be signed by the chief executive,
directors, chairman or the auditors as required under the law.

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 4.? Where the AGM does not adopt the above-referred financial statement or defers the
consideration thereof or is adjourned, a statement of that fact and the reasons therefor
shall also be annexed to those documents.
5.? The above discussed provisions are applicable only to a public company (whether listed
or non-listed) and only to such private company which has a paid-up capital of Rs. 7.5
million or above.
6.? In case of default in compliance, the company and it's every defaulting officer shall be
liable to fine as specified below:
i) In case of a listed company, a fine up to Rs. 10,000 and for continuing default a
further line up to Rs. 200 per day; and
ii) In case of any other company, a fine up to Rs. 2,000 and for continuing default, a
further fine up to Rs. 50 per day.

3  /c/c'*c*33/**3!3578)9

A member of a company has an inherent right to receive a copy of the balance sheet, etc., and
auditors' report together with the notice of AGM. Further, a member is also entitled to obtain
copies of the financial statements, directors' report and auditors' report. A company is bound
to furnish the copies demanded by a member. It may charge an amount fixed by it, but the
amount so fixed should not exceed the maximum amount prescribed by the SECP. 

535+3  /c/c'*c*33/* 789

The company and it's every such officer who is knowingly and willfully in default shall be
punishable with fine up to Rs. 5,000 for any copy of the balance sheet issued, circulated or
published without attaching therewith a copy each of: 

1. The profit and loss account or income and expenditure account; 

2. Any accounts, report, notes or statement, referred therein; 

3. The auditors' report; and 

4. The directors' report. 

B+c5*35'0c+/*789

A listed company is required to prepare and transmit to its members the balance sheet and
profit and loss account of the company for the first, second and third quarter of the financial
year of the company. Other provisions in this regard are summarized below: 

1. The balance sheet and the profit and loss account shall be prepared and transmitted with in
a period of one month from the close of each quarter.
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2. According to the Companies Ordinance, 1984 it is optional for a company to get the quarterly
accounts audited or not. But as per Code of Corporate Governance listed companies have to
observe the following rules: 

i) The quarterly unaudited financial statements shall be published and circulated along with
directors' review on the affairs of the company for the quarter; and 

ii) A listed company shall ensure that half-yearly financial statements are subjected to a limited
scope review by tile stator auditor of the company.

3.? The quarterly balance sheet and the profit and loss account shall be authenticated in the
same manner as the annual accounts of a listed company are authenticated.
4.? The quarterly balance sheet and the profit and loss account are also transmitted to the
stock exchange in which the company is listed.
5.? At least three (3) copies of the quarterly accounts are also filed with the Registrar and
the SECP at the time of their transmission to the members.
6.? A company with the consent of its members in general meeting, consultation of the
respective stock exchange and approval from the SECP may place its quarterly accounts
on its website, instead of sending the same by post to the members. 
7.? If a company fails to comply with any of the provisions relating to quarterly accounts,
then every defaulting director including the chief executive and chief accountant of the
company shall be punishable with: 
i)? A fine for an amount Rs. 100,0001-; and
ii)? A further fine up to Rs. 1,000/- per day after the first day during which the
default continues. 

A35 3*53B+53c*/c'*c*33/*78<9

The SECP, being the regulatory authority. has various powers under the Companies Ordinance,
1984. Its power to require additional statements and accounts are discussed below.

1.? The SECP may require companies generally or any class of companies or any particular
company to prepare and send to prescribed persons the specified statements and
reports.
2.? The persons to whom the statements, etc., may be required to send may be;
i)? The members of the company;
ii)? The Registrar
iii)? Any specified authority
iv)? A stock exchange; and 
v)? Any other person.

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 3.? The SECP shall prescribe the statements, etc., to be sent by a company. These may be
periodical statements of accounts, information or other reports audited by the auditors. 

4. The SECP shall also prescribe the form of statements and report the manager and the
time within which these documents are to be sent.

5. If the order of the SECP is not complied with, the company and its every defaulting
officer shall be punishable with fine up to Rs. 1,000,000. A further fine up to Rs. 10,000 per
day shall also be payable if the default continues.

512* 3!3/*+532'35c*c+/*789

As far as receipt of the copies of financial statements and auditors' report and their inspection
is concerned, a debenture-holder or a trustee of debenture-holders of a company shall have
the same rights as arc possessed by an ordinary shareholder of the copies of the balance sheet,
profit and loss account directors' report, auditors' report or any other report attached to the
balance sheet on payment of the prescribed fee.

c
  
 

 !"#