Section 236 - Application by members to be supported by evidence and power to call for security. - Companies Act, 1956

Application by members to be supported by evidence and power to call for security. 236. An application by members of a company [1] [under sub-section (2) of section 235] shall be supported by such evidence as [2] [the [Tribunal] [3] [Central Government] may require] for the purpose of showing that the applicants have good reason for requiring the investigation; and the Central Government may, before appointing an inspector, require the applicants to give security, for such amount not exceeding one thousand rupees as it may think fit, for payment of the costs of the investigation. ---------------------------------------- Notes:- [1] Substituted by the Companies (Amendment) Act, 1988, section 37, w.e.f. 31-5-1991 [ for the words "under clause (a) or (b) of section 235". ]. [2] For the words "Central Government may require". Substituted by the Companies (Amendment) Act, 1988, section 37, w.e.f. 31-5-1991 [3] Substituted for "Company Law Board" by the Companies (Second Amendment) Act, 2002, w.e.f a date yet to be notified. Earlier the quoted words were substituted for Central Government by the Companies (Amendment) Act, 1988, w.e.f 31-5-1991.