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CS Professional · Drafting, Pleadings and Appearances · Documents under Companies Act, 2013

Ramesh seeks to inspect the documents filed with a prospectus under section 26 by Orchid Foods Ltd. The prospectus was published on 1 September. He applies on 25 September, without any special permission. Under section 399, what is the position?

He cannot inspect without Central Government permission. Under the proviso to section 399(1), rights over documents delivered with a prospectus are exercisable only for fourteen days from publication of the prospectus, and afterwards only with the Central Government's permission. His application came after that window.

  1. AHe may inspect, as any person may inspect any filed document at any time
  2. BHe may inspect only after paying double fees
  3. CHe may not inspect without the permission of the Central Government, as the fourteen-day window has passedCorrect
  4. DHe may inspect only with leave of the Tribunal

Explanation

The proviso to section 399(1) says rights of inspection of documents delivered with a prospectus under section 26 are exercisable only during fourteen days beginning with the date of publication of the prospectus, and later only with Central Government permission. 25 September is outside that window. Tribunal leave concerns processes compelling production under section 399(2), not inspection.

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