Section 143 : Documents to be enclosed

1) Any holding company shall enclose the following documents of its subsidiary company in its balance sheet:

(a) One copy of the annual accounts of the subsidiary company for the immediately expired financial year and the report of its board of directors during that period;

(b) Auditor’s report;

(c) Details of the investment of the holding company in the subsidiary company at he end of the financial year;

(d) In cases where the financial year of the holding company and that of the subsidiary company are different, the matter of change, if any, in any manner, of the right of the holding company over the subsidiary company during such different periods.

2) The details as referred to in Clause (b) of Sub-section (1) shall also contain the net profits derived after deducting the loss suffered in the concerned financial year of the subsidiary company and the profit and loss as well which has not been mentioned in the accounts of the company after it has become the subsidiary company but which may be the concern of the shareholders of the holding company.

3) In cases where the board of directors of the holding company fails to obtain the information as mentioned in Clause (b) of Sub-section (1) ,and Sub-section (2) due to any reason, the balance sheet of the holding company shall contain a written report thereof.

4) The details as referred to in Clause (c) of Sub-section (1) shall also show the loans borrowed against the mortgage of any immovable property of the subsidiary company or the loans borrowed for any purpose other than discharging the existing liabilities.