Section - 56 - Companies Act, 1956

Section - 56 - Matters to be stated and reports to be set out in prospectus

Matters to be stated and reports to be set out in prospectus.

56. (1) Every prospectus issued—

(a) by or on behalf of a company, or

(b) by or on behalf of any person who is or has been engaged or interested in the formation of a company,

shall state the matters specified in Part I of Schedule II and set out the reports specified in Part II of that Schedule; and the said Parts I and II shall have effect subject to the provisions contained in Part III of that Schedule.

(2) A condition requiring or binding an applicant for shares in or debentures of a company to waive compliance with any of the requirements of this section, or purporting to affect him with notice of any contract, document or matter not specifically referred to in the prospectus, shall be void.

(3) No one shall issue any form of application for shares in or debentures of a company, unless the form is accompanied

[by a memorandum containing such salient features of a prospectus as may be prescribed.... To read the full section download the app from Google Play store