Section 225 of Companies Act, 2013

225. Expenses of investigation

(1) The expenses of, and incidental to, an investigation by an inspector appointed

by the Central Government under this Chapter other than expenses of inspection under

section 214 shall be defrayed in the first instance by the Central Government, but shall be

reimbursed by the following persons to the extent mentioned below, namely:—

(a) any person who is convicted on a prosecution instituted, or who is ordered

to pay damages or restore any property in proceedings brought, under section 224, to

the extent that he may in the same proceedings be ordered to pay the said expenses as

may be specified by the court convicting such person, or ordering him to pay such

damages or restore such property, as the case may be;

(b) any company or body corporate in whose name proceedings are brought as

aforesaid, to the extent of the amount or value of any sums or property recovered by it

as a result of such proceedings;

(c) unless, as a result of the investigation, a prosecution is instituted under

section 224,—

(i) any company, body corporate, managing director or manager dealt with

by the report of the inspector; and

(ii) the applicants for the investigation, where the inspector was appointed

under section 213,

to such extent as the Central Government may direct.

(2) Any amount for which a company or body corporate is liable under clause (b) of

sub-section (1) shall be a first charge on the sums or property mentioned in that clause.

Complete: companies-act-2013