Amended and updated notes on section 159 of Companies Act 2013. Detail discussion on provisions and rules related to penalty for default of certain provisions.
Chapter XI (Sections 149–172) of the Companies Act, 2013 (CA 2013) deals with the provisions related to appointment and qualifications of directors. Section 159 of CA 2013 provides for penalty for default of certain provisions.
Recently, we have discussed in detail section 158 (Obligation to indicate Director Identification Number) of CA 2013. Today, we learn the provisions of section 159 of Companies Act 2013.
The provisions of section 159 are effective from 2-Nov-2018. You may refer the Companies (Amendment) Act, 2019. In this article, you will learn detail of the provisions of section 159 of the Companies Act 2013.
| Name of Act | The Companies Act 2013 |
|---|---|
| Enacted by | Parliament of India |
| Administered by | Ministry of Corporate Affairs (MCA) |
| Number of Chapters | 29 |
| Number of Sections | 484 (470-43+57) |
| Number of Schedules | 7 |
| You are reading: | |
| Chapter No. | XI |
| Chapter Name | Appointment and Qualifications of Directors |
| Section No. | 159 |
| Section Name | Penalty for default of certain provisions |
| Monthly Updated Edition | Company Law PDF |
Section 159 of Companies Act 2013: Penalty for default of certain provisions
Section 159 substituted by the Companies (Amendment) Act, 2019 w.e.f. 2-11-2018.
If any individual or director of a company makes any default in complying with any of the provisions of section 152, section 155 and section 156, such individual or director of the company shall be liable to a penalty which may extend to fifty thousand rupees and where the default is a continuing one, with a further penalty which may extend to five hundred rupees for each day after the first during which such default continues.