Due to non-compliance many companies have been Strike Off from the Ministry of Corporate Affairs (MCA) and due to this company can’t be used for business operations. In recent years the Ministry of Corporate Affairs (MCA) is taking strict actions against non-compliant and shell companies. Companies do not filed their financial statements and other mandatory documents with MCA have been removed from the company list.
If you are a director or owner of the company which is Strike Off then this information will help you in taking the right steps for revival or reactivation of the company. Many people are already benefiting from the information provided here for reactivating their company. If you have any questions regarding the Company after Strike Off and its revival then you can contact us our expert team. Our expert team will help you in revival/re-activation of your Strike Off Company.
Due to the strict actions against shell companies and non-compliant companies, many companies have been removed from the company registrar list. Last year alone lakhs of companies under section 248(1) of Companies Act, 2013 have been struck off. Now many directors are looking for the solutions for the revival of the companies. In this post we are discussing the options for the revival or re-activation of the companies.
About struck off of a Company
Under Section 248 of The Companies Act, 2013, the Registrar can strike off company which is found to be defaulter or is defunct, from the Register of companies. Such dissolved company can be revive under the Companies Act, 2013, through an order of National Company Law Tribunal (NCLT). So, if you are looking for the Company revival then there is still a legal solution.
ROC can also remove the name of the company from Register of companies under the Company Under Companies Act, 2013. The stuck off companies can appeal to the NCLT under section 252.
The Companies Rules, 2016 also deal with strike off and under this rule ROC can proceed for the Removal of Name of Companies from the Register of Companies.
The Rule 87A of the NCLT (Amendment) Rules, 2017 and NCLT Rules, 2016 additionally address struck off company matter.
If the company is struck off under section 248 of Companies Act 2013 then the restoration can be done under section 252 of The Companies Act 2013.
What Are The Reasons For Strike Off Company?
There are several reasons due to which ROC can ‘Strike Off’ a company. Here are the following major reasons:
- Companies failed to start a business within one year of incorporation of the company.
- Failure in doing the business for two preceding financial years.
- Company does not file the financial statements and annual returns for a period of 3 years continuously
- When the directors fail in filing the Form DIR-8 on time.
- Non-compliance as per the Companies Act and other legal framework.
Due to any of the above or other reasons ROC may Strike Off a company name from the Name of Companies from the Register of Companies.
Reactivate or revive the Strike-Off Company
The directors of any of the company representative may file application Under NCLT and follow the procedure for the reactivation of their company.
Law professionals will help you in preparing and presenting your case and file an appeal to NCLT. Usually it may take 4-6 months for the completion of legal process and activation of the Company.
Ads: For more information and assistance in regard to the revival/restoration of struck off companies, contact through whatsapp/phone on the phone number: +91 9313063554.