CS Professional · Corporate Restructuring, Valuation and Insolvency · Winding-up by Tribunal under the Companies Act, 2013

Winding up of Sagar Foods Ltd is ordered under clause (d) of section 273(1). The directors do not submit the books of account within the prescribed period, and the Company Liquidator wants to proceed against the defaulting director. Which statement is correct?

Directors must submit audited books within thirty days of the order. Default attracts up to six months' imprisonment or a fine of twenty-five thousand to five lakh rupees, or both, and the Company Liquidator may file the complaint before the Special Court.

1. ABooks completed and audited to the order date are due within thirty days; the director in default faces up to six months' imprisonment or fine of at least twenty-five thousand rupees up to five lakh rupees, or both; complaint may be filed before the Special Court by the Company LiquidatorCorrect
2. BBooks are due within three weeks; the director faces only a fine up to five lakh rupees; complaint lies before the Tribunal
3. CBooks are due within sixty days; the director faces imprisonment up to one year; complaint only by the Registrar
4. DBooks are due within thirty days; the director faces a fixed fine of twenty-five thousand rupees; complaint lies before the Magistrate