Section 212 of the Companies Act, 2013 does not empower the NCLT or the Adjudicating Authority to refer the matter to the Central Government for investigation by the Serious Fraud Investigation Office even if it notices the affairs of the Company of defrauding the creditors and others – Mr. Lagadapati Ramesh Vs. Mrs. Ramanathan Bhuvaneshwari – NCLAT New Delhi
NCLAT held that the Tribunal/ Adjudicating Authority, on receipt of application/complaint of alleged violation of the aforesaid provisions and on such consideration and being satisfied that there are circumstances suggesting that defraud etc. has been committed, may refer the matter to the Central Government for investigation by an Inspector or Inspectors as may be appointed by the Central Government. On such investigation, if the investigating authority reports that a person has committed any offence punishable under Section 213 read with Section 447 of the Companies Act, 2013 or Sections 68, 69, 70, 71, 72 and 73 of the ‘I&B Code’, in such case, the Central Government is competent to refer the matter to the Special Court itself or may ask the Insolvency and Bankruptcy Board of India or may authorise any person in terms of sub-section (2) of Section 236 of the ‘I&B Code’ to file complaint.
