Sections 316 and 317 of the Companies Act 2013: Omitted Provisions and Current Legal Position

Sections 316 and 317 originally formed part of the voluntary winding-up provisions of the Companies Act, 2013. Both provisions were omitted with effect from 15 November 2016 by section 255 read with the Eleventh Schedule to the Insolvency and Bankruptcy Code, 2016. They are therefore not operative provisions of the Companies Act, 2013 today.

Current status: Sections 316 and 317 stand omitted from 15 November 2016. For a corporate person proposing voluntary liquidation, the principal current framework is section 59 of the Insolvency and Bankruptcy Code, 2016 read with the Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017, as amended from time to time.

What was Section 316 of the Companies Act 2013?

Section 316 - Company Liquidator to submit report on progress of winding up

Before its omission, section 316 dealt with periodic reporting by the Company Liquidator during a voluntary winding up. In substance, it required the liquidator to report quarterly on the progress of winding up to members and creditors and to hold meetings to apprise them of the progress. It also provided a monetary consequence for failure to comply.

Legal status: Section 316 was omitted by section 255 and the Eleventh Schedule to the Insolvency and Bankruptcy Code, 2016 with effect from 15 November 2016.

What was Section 317 of the Companies Act 2013?

Section 317 - Report of Company Liquidator to Tribunal for examination of persons

Before its omission, section 317 addressed a situation in which the Company Liquidator formed the opinion that fraud had been committed by a person in relation to the company. The provision contemplated a report to the Tribunal, investigation and, where appropriate, examination of the person concerned in connection with the company and its affairs.

Legal status: Section 317 was omitted by section 255 and the Eleventh Schedule to the Insolvency and Bankruptcy Code, 2016 with effect from 15 November 2016.

Why were Sections 316 and 317 omitted?

Sections 316 and 317 were located in Part II of Chapter XX of the Companies Act, 2013 dealing with voluntary winding up. The Insolvency and Bankruptcy Code, 2016 restructured the insolvency and liquidation framework. Section 255 of the Code, together with the Eleventh Schedule, amended the Companies Act, 2013 and omitted the statutory provisions dealing with voluntary winding up, including sections 316 and 317.

The omission is important when reading older material. The headings of sections 316 and 317 remain useful for understanding the historical Companies Act framework, but these sections should not be presented as current operative duties of a liquidator.

What law now governs voluntary liquidation?

Voluntary liquidation of a corporate person is now principally governed by section 59 of the Insolvency and Bankruptcy Code, 2016 and the IBBI (Voluntary Liquidation Process) Regulations, 2017, as amended. The current framework applies subject to the conditions prescribed by the Code and the applicable regulations.

Section 59 provides the statutory route for voluntary liquidation of a corporate person that intends to liquidate itself voluntarily and has not committed any default, subject to the requirements of that section. The detailed procedure, reporting, public announcement, claims, realization and distribution, final report and other process requirements are dealt with in the applicable IBBI regulations.

Practical reading note: A reference in an old document to a duty under section 316 or a fraud report under section 317 should be checked against the date of the proceeding and the legal regime applicable at that time. For present voluntary liquidation matters, the IBC and the current IBBI regulations should be consulted.

Sections 316 and 317 at a glance

Provision	Original subject	Present status
Section 316	Company Liquidator to submit report on progress of winding up	Omitted with effect from 15 November 2016
Section 317	Report of Company Liquidator to Tribunal for examination of persons	Omitted with effect from 15 November 2016
Current voluntary liquidation framework	Voluntary liquidation of eligible corporate persons	Section 59 of the IBC, 2016 and applicable IBBI Voluntary Liquidation Process Regulations

Official legal resources

Updated: 17 September 2026. This article explains the statutory position for general legal information and should be read with the latest official text, notifications and regulations applicable to the facts of a particular matter.