Section 130 - Re-opening of accounts on court's or Tribunal's orders

Re-opening of company accounts allowed only by court/Tribunal order upon fraud or mismanagement findings, with notice and finality.

Re-opening of company accounts is permitted only upon an application by specified authorities or any person concerned and an order by a court or the Tribunal finding either fraudulent preparation of earlier accounts or mismanagement casting doubt on financial statements; the court or Tribunal must notify and consider representations from the Central Government, Income-tax authorities, SEBI or other statutory bodies or other persons concerned. Accounts revised under such orders are final. Orders cannot relate to periods earlier than eight financial years preceding the current year unless a longer retention period has been directed by the Central Government under section 128(5).