What is appointment of administrator What are the Powers and duties of company administrator Section 259 and 260 of Indian Companies Act 2013
Appointment of administrator and Powers and duties of company administrator are defined under Section 259 and 260 of Indian Companies Act 2013. Provisions under these Sections are:
Section 259 of Indian Companies Act 2013 "Appointment of administrator"
(1) The interim administrator or the company administrator, as the case may be, shall be appointed by the Tribunal from a databank maintained by the Central Government or any institute or agency authorised by the Central Government in a manner as may be prescribed consisting of the names of company secretaries, chartered accountants, cost accountants and such other professionals as may, by notification, be specified by the Central Government.
(2) The terms and conditions of the appointment of interim and company administrators shall be such as may be ordered by the Tribunal.
(3) The Tribunal may direct the company administrator to take over the assets or management of the company and for the purpose of assisting him in the management of the company, the company administrator may, with the approval of the Tribunal, engage the services of suitable expert or experts.
Section 260 of Indian Companies Act 2013 "Powers and duties of company administrator"
(1) The company administrator shall perform such functions as the Tribunal may direct.
(2) Without prejudice to the provisions of sub-section (1), the company administrator may cause to be prepared with respect to the company -
(a) a complete inventory of -
(i) all assets and liabilities of whatever nature;
(ii) all books of account, registers, maps, plans, records, documents of title and all other documents of whatever nature;
(b) a list of shareholders and a list of creditors showing separately in the list of creditors, the secured creditors and unsecured creditors;
(c) a valuation report in respect of the shares and assets in order to arrive at the reserve price for the sale of any industrial undertaking of the company or for the fixation of the lease rent or share exchange ratio;
(d) an estimate of the reserve price, lease rent or share exchange ratio;
(e) proforma accounts of the company, where no up-to-date audited accounts are available; and
(f) a list of workmen of the company and their dues referred to in sub-section (3)of section 325.