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The Companies Act, 2013

Chapter XIX - Revival And Rehabilitation of Sick Companies (253-269)

Section 263- Scheme to be binding.

[Section 263 omitted w.e.f.15.11.2016 vide Notification 37 dated 28.05.2016 (Insolvency and Bankruptcy Code, 2016) read with MCA Notification S.O.3453(E) dated 15.11.2016 effective from 15.11.2016

Section 263- Scheme to be binding.[New Provision]


Prior to Omission Section 263 read as under:

Section 263- Scheme to be binding. 

On and from the date of the coming into operation of the sanctioned scheme or any provision thereof, the scheme or such provision shall be binding on the sick company and the transferee company or, as the case may be, the other company and also on the employees, shareholders, creditors and guarantors of the said companies.