According to section 230 of Companies Ordinance 1984 a Joint stock company should maintained following books of accouts.
(a) all sums of money received and expended by the company and the
matters in respect of which the receipt and expenditure takes place;
(b) all sales and purchases of goods by the company;
(c) all assets of the company;
(d) all liabilities of the company; and
(e) in the case of a company engaged in production, processing,
manufacturing or mining activities, such particulars relating to utilisation of
material or labour or the other inputs or items of cost as may be
prescribed, if such class of companies is required by the Commission by a
general or special order to include such particulars in the books of
Provided that all or any of the books of account aforesaid may be kept at
such other place in Pakistan as the directors may decide, and when the directors
so decide, the company shall, within seven days of the decision, file with the
registrar a notice in writing giving the full address of the other place.
(2) Where a company has a branch office, whether in or outside Pakistan,
the company shall be deemed to have complied with the provisions of sub-section (1) if
proper books of account relating to the transactions effected at the branch office are kept
at the branch office and proper summarised returns, made up to date at intervals of not
more than three months are sent by the branch office to the company at its registered
office or the other place referred to in sub-section (1).
(3) For the purposes of sub-section (1) and (2), proper books of account shall
not be deemed to be kept with respect to the matters specified therein if there are not
kept such books as are necessary to give a true and fair view of the state of affairs of the
company or the branch office, as the case may be, and to explain its transactions.
(4) The books of account and other books and papers of every company shall
be open to inspection by the directors during business hours.
(5) The directors shall form time to time determine whether and to what
extent and at what time and places and under what conditions or regulations the accounts
and books or papers of the company or any of them shall be open to the inspection of
members, not being directors, and no member, not being a director, shall have any right of
inspecting any account and books or papers of the company except as conferred by the
Ordinance or authorised by the directors or by the company in general meeting.
(6) The books of account of every company relating to a period of not less
than ten years immediately preceding the current year shall be preserved in good order:
Provided that, in the case of a company incorporated less than ten years before
the current year, the books of account for the entire period preceding the current year
shall be so preserved.
(7) If a company fails to comply with any of the requirements of this section,
every director, including chief executive and chief accountant, of the company who has
knowingly by his act or omission been the cause of such default shall,—
(a) in respect of a listed company, be punishable with imprisonment for a
term which may extend to one year and with fine which shall not be less
than 1[twenty] thousand rupees nor more than 2[fifty] thousand rupees,
and with a further fine which may extend to 3[five] thousand rupees for
every day after the first during which the default continues; and
(b) in respect of any other company, be punishable with imprisonment for a
term which may extend to six months and with fine which may extend to
4[ten thousand] rupees.
The term “chief accountant” shall include the chief accountant or
any other person, by whatever name called, who is charged with the responsibility of
maintenance of books of account of the company.
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