1.2 Lakh Companies Deregistered in Black Money Fight

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The government of India has decided to deregister names of 1.20 lakh companies from its official records for non-compliance, reported PTI. The decision is with regard to the government's ongoing efforts to curb illicit fund flows.

1.2 Lakh Companies Deregistered in Black Money Fight

Nearly 2.26 lakh companies have been previously wiped off its official records as of December 2017 and 3.09 lakh associated directors disqualified.

Minister of State for Corporate Affairs P P Chaudhary, directed officials take this action against the companies found non-compliant at the review meeting chaired by him.

The government release also revealed that 1,157 cases had been filed with the National Company Law Tribunal (NCLT) for the restoration of deregistered companies. The order to consider restoration of 180 of these companies has been given by NCLT and 128 of them have already been restored by Registrars of Companies (ROCs) after completion of required compliance formalities.

192 of the remaining cases have been disposed of. Besides, cases are handled under the Condonation of Delay Scheme on a priority basis in order to ensure that eligible companies avail the benefit.

The scheme will be operational until 31 March 2018 and provides an opportunity for defaulting companies to submit their filings.

The ministry also said that more and more companies are coming forward to file their annual returns and statements on the MCA21 after the striking-off and disqualification exercise. There has been an upward trend of increasing compliance.

MCA21 is the portal through which filings under the Companies Act are to be made.

Read more about: black money, corporate affairs
Story first published: Wednesday, January 17, 2018, 11:18 [IST]
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