Inspection powers under the Companies Act enable government inspections and public electronic disclosure of audited company accounts.
Government uses inspection powers under section 209A of the Companies Act, 1956 to inspect company books on complaint or other information of non compliance, with suitable legal action taken for violations; 263 companies were inspected between 1.4.2003 and 31.1.2009. An electronic registry publishes filed and audited accounts; auditors are appointed by statute and regulated under the Chartered Accountants Act, 1949, while company secretary certification and regulation apply for listed companies under the Company Secretaries Act, 1980. Amendments in 2006 strengthened disciplinary mechanisms and Accounting Standards were notified; the Companies Bill, 2008 was introduced to further strengthen checks against irregularities.

Corporate disclosure integrity strengthened through auditor peer review and event based disclosures to curb financial reporting misstatements.
Investigations were initiated into material misstatements in a listed company's financial accounts, with regulators inspecting auditors' documents, company records and promoters' statements, while the securities regulator mandated a panel-led peer review of auditors' working papers and amended rules requiring event-based and periodic disclosures on promoters' share pledging to strengthen auditor oversight and transparency.

Company disclosure obligations trigger investigation and statutory enforcement including document requisition and management remedies.
Allegations of falsified financial statements at Satyam led the Government to order SFIO investigations under Section 235 and to empower Inspectors under Section 240(1A) and 240(2)(b) to obtain documents and examine on oath entities including Maytas Properties, Maytas Infra and 356 connected persons; the action proceeds within the statutory framework requiring true and fair disclosures, independent statutory audits, company secretary certification for listed entities, and governmental inspection and remedial powers under the Companies Act, subject to Company Law Board approvals.