Section 268, The Companies Act, 2009

(1) The court may appoint one or more competentinspectors to investigate the affairs of a company and to report thereon in such manner as shall be directed– (a) in the case of a company having a share capital on the application of members holding not less than one quarter of the shares issued; (b) in the case of a company not having a share capital, on the application of not less than one-quarter of the persons on the company’s register of members; and (c) in any other case, on the application of the (2) The court may make such an appointment if it appears to it that there are circumstances suggesting that– Investigation of affairs of company by inspecors. 196 197 court to grant relief. (a) the company’s affairs are being or have been conducted with intent to defraud its creditors or the creditors of any other person, or in a manner which is unfairly prejudicial to some part of its members; (b) any actual or proposed act or omission of the company (including an act or omission on its behalf) is or would be so prejudicial, or that the company was formed for any fraudulent or unlawful purpose; (c) persons concerned with the company’s formation or the management of its affairs have in connection therewith been guilty of fraud, misfeasance or other misconduct towards it or towards its members; (d) the company’s members have not been given all the information with respect to its affairs which they might reasonably expect; or (e) there are any other reasons for appointing the inspectors than in paragraphs (a), (b), (c), and (d) .