Section 11 in Money Circulation Scheme (Banning) Rules, 2013
11.
On conclusion of the investigation, if adequate evidence exists that a money circulation scheme is being run by a company or firm or business association in any form, the investigating officer, apart from prosecuting the case under the Prize Chit and Money Circulation Schemes (Banning) Act, 1978, shall forward a report giving details of the evidence collected during the investigation through the Superintendent of Police concerned to the Competent Authority in the State as defined under Section 2(c). The Competent Authority shall take action for winding-up such businesses in cases where the power to initiate winding-up business entity is vested in the State Government. In case of companies and other business entities where such power is vested in the Central Government, the Competent Authority shall forward a report with its recommendations to the concerned Ministry in the Central Government for initiating action for winding-up of the company.
