Companies Act, 2013

Section 384

Misstatement in reports, prospectus, etc.

⚡ Quick Answer Reference: Section 384 Companies Act

Provision: Section 384 of Companies Act
Act: Companies Act, 2013
Classification: corporate
Jurisdiction: India
Liability / Punishment: Imprisonment for 5 years, or fine of 5 lakh rupees, or both

Statutory Content

What does Section 384 of Companies Act say?

If any person, being a director, manager or secretary of a company, or being in any manner, directly or indirectly, responsible for the issue of any securities, makes or circulates any statement, whether orally or in writing, relating to any matter, to which this Chapter applies, which is false or misleading in any material particular, he shall be punishable with imprisonment for a term which may extend to five years, or with fine which may extend to five lakh rupees, or with both.

Indian StandardSection 384, Companies Act, 2013

Bluebook (21st ed.)Companies Act, 2013, § 384 (India)

Court Pleading StandardSection 384 of the Companies Act, 2013

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Source: Gazette of India (Official Publication)Verify egazette.gov.in ↗

Criminal Liability

Punishment under Section 384 Companies Act

Imprisonment for 5 years, or fine of 5 lakh rupees, or both

Common Questions about Section 384 Companies Act

What is Section 384 of Companies Act?

Section 384 of the Companies Act, 2013 (Companies Act) defines and regulates "Misstatement in reports, prospectus, etc.". The section states: If any person, being a director, manager or secretary of a company, or being in any manner, directly or indirectly, responsible for the issue of any securities, makes or circulates...