Who May Apply to the Company Law Board when Oppression or Mis-management is complained of :

The application can be made only by:

(a) In the case of a company having a share capital:

(i) not less than one hundred members or not less than one tenth of the total number of members whichever is less; or

(ii) a member or members holding not less than one-tenth of the issued share capital of company provided that the applicants have paid all calls and other sums due on their respective share [section 399(1)(a)]. It may be noted that joint members are counted as one member.

(b) In the case of a company not having a share capital: not less than one-fifth of the total number of members [section 399(1)(b)].

(c) The Central Government: The Central Government can also apply or authorise a member or members to make an application under section 397 or 398, though the requisite conditions mentioned in the [i] and [ii], given above, are not satisfied [section 399(4)].

An application under section 399(4) must contain the names and addresses of the applicants, the total numbers of applicants, etc., it must be verified by an affidavit. The Central Government may require the applicant to produce documentary evidence in support of the complaint [Section 399(4)]. It may also require the members to give security for costs [section 399(5)].