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Company Law

Notes 1.1 Extent, Application and Scheme of the Act

1.1.1 Extent of the Act

The Act extends to the whole of India except:
1. As regards the State of Nagaland, it applies, subject to such modifications, if any, as the
Central Government may, by notification in the Official Gazette, specify [s.1 (3)];
2. As regards Goa, Daman and Diu, some of the provisions of the Act shall not apply or shall
apply only with such exceptions and modifications or adaptations to any existing company
registered under the Act and for such a period or periods as may be specified by notification
by the Central Government in the Official Gazette (s.620B); and

3. As regards Jammu and Kashmir, some of the provisions of the Act as the Central
Government may, by notification in the Official Gazette, direct, shall not apply or shall
apply only with such exceptions and modifications or adaptations to any existing company
or any company registered under the Act as may be specified, after the commencement of
the Central Laws (Extension to Jammu and Kashmir) Act, 1968 (i.e., 15 August, 1968)
(s.620C).

1.1.2 Application of the Act

The Act applies to the following companies:

1. Companies formed and registered under the Companies Act, 1956.
2. Companies formed and registered under the previous company laws, i.e., the existing
companies (s.561).

3. Companies registered but not formed under any previous company laws to the extent and
in the manner declared in Part IX (dealing with ‘Companies authorized to register under
the Act’) of the Act (s.562).

4. Unlimited companies registered as limited companies in pursuance of any previous
company laws (s.563).
5. Unregistered companies for the purpose of winding up under Part X (dealing with ‘Winding
up of Unregistered Companies,) of the Act (Ss.582, 583 and 589).
6. Foreign Companies (s.592 to 602).
7. Insurance companies, banking companies, electricity companies and any other company
governed by any special Act for the time being in force, except as far as the provisions of
the Companies Act, 1956 are inconsistent with the provisions of the Insurance Act, 1938;
Banking Regulation Act, 1949; Indian Electricity Act, 1910; or the Electricity Supply Act,
1948; or any Special Act respectively.

The provisions of the Companies Act, 1956 apply to these special classes of companies to
the extent that such provisions are not inconsistent with those of the Special Acts governing
them [clauses (a) to (d) of s.616].
8. Such corporate body incorporated by any Act for the time being in force as the Central
Government may, by notification in the Official Gazette, specify on its behalf subject to
such exceptions, modifications or adaptations as may be specified therein [clause (e) of
s.616].

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