law: Companies Act, 2013 
  262.
  
    Sanction
  
  of scheme.
  1.      The scheme prepared
  
  by the company administrator under section 261 shall be placed before the
  
  creditors of the sick company in a meeting convened for their approval by the
  
  company administrator within the period of sixty days from his appointment,
  
  which may be extended by the Tribunal up to a period not exceeding one hundred
  
  twenty days
  2.      The company
  
  administrator shall convene separate meetings of secured and unsecured
  
  creditors of the sick company and if the scheme is approved by the unsecured
  
  creditors representing one-fourth in value of the amount owed by the company to
  
  such creditors and the secured creditors, representing three-fourths in value
  
  of the amount outstanding against financial assistance disbursed by such
  
  creditors to the sick company, the company administrator shall submit the
  
  scheme before the Tribunal for sanctioning the scheme:
  Provided
  
  that where the scheme relates to amalgamation of the sick company with any
  
  other company, such scheme shall, in addition to the approval of the creditors
  
  of the sick company under this sub-section, be laid before the general meeting
  
  of both the companies for approval by their respective shareholders and no such
  
  scheme shall be proceeded with unless it has been approved, with or without
  
  modification, by a special resolution passed by the shareholders of that
  
  company.
  1.     
  2.     
  3.     
               
  
   i.        
  
    The
  
  scheme prepared by the company administrator shall be examined by the Tribunal
  
  and a copy of the scheme with modification, if any, made by the Tribunal shall
  
  be sent, in draft, to the sick company and the company administrator and in the
  
  case of amalgamation, also to any other company concerned, and the Tribunal may
  
  publish or cause to be published the draft scheme in brief in such daily
  
  newspapers as the Tribunal may consider necessary, for suggestions and
  
  objections, if any, within such period as the Tribunal may specify.
              
  
   ii.        
  
    The
  
  complete draft scheme shall be kept at the place where registered office of the
  
  company is situated or at such places as mentioned in the advertisement.
             
  
   iii.        
  
    The
  
  Tribunal may make such modifications, if any, in the draft scheme as it may
  
  consider necessary in the light of the suggestions and objections received from
  
  the sick company and the company administrator and also from the transferee
  
  company and any other company concerned in the amalgamation and from any
  
  shareholder or any creditors or employees of such companies.
  1.     
  2.     
  3.     
  4.      On the receipt of the
  
  scheme under sub-section (3 ), the Tribunal shall within sixty days there
  
  from, after satisfying that the scheme had been validly approved in accordance
  
  with this section, pass an order sanctioning such scheme.
  5.      Where a sanctioned
  
  scheme provides for the transfer of any property or liability of the sick
  
  company to any other company or person or where such scheme provides for the
  
  transfer of any property or liability of any other company or person in favour
  
  of the sick company, then, by virtue of, and to the extent provided in, the
  
  scheme, on and from the date of coming into operation of the sanctioned scheme
  
  or any provision thereof, the property shall be transferred to, and vest in,
  
  and the liability shall become the liability of, such other company or person
  
  or, as the case may be, the sick company.
  6.      The Tribunal may
  
  review any sanctioned scheme and make such modifications, as it may deem fit,
  
  or may by order in writing direct company administrator, to prepare a fresh
  
  scheme providing for such measures as the company administrator may consider
  
  necessary.
  7.      The sanction accorded
  
  by the Tribunal under sub-section (4 ) shall be conclusive evidence that
  
  all the requirements of the scheme relating to the reconstruction or
  
  amalgamation or any other measure specified therein have been complied with and
  
  a copy of the sanctioned scheme certified in writing by an officer of the
  
  Tribunal to be a true copy thereof shall in all legal proceedings be admitted
  
  as evidence.
  8.      A copy of the
  
  sanctioned scheme referred to in sub-section (4 ) shall be filed with the
  
  Registrar by the sick company within a period of thirty days from the date of
  
  receipt of a copy thereof.