🚀 Reviving Your Struck-Off Company: A Comprehensive Guide 🏢

Has your company’s name been struck off by the Registrar of Companies (ROC)? Don’t panic! The Companies Act, 2013, provides mechanisms to restore your company’s name and resume operations legally. Let’s explore the process and ensure you’re back in business smoothly.​

🔍 Understanding the Strike-Off Process

The ROC may strike off a company’s name due to:​

• Non-Commencement of Business: Failure to start operations within one year of incorporation.​

• Operational Inactivity: Not conducting any business or filing statutory returns for two consecutive financial years.​

• Non-Payment of Subscription Money: Subscribers not paying the subscription amount and failing to file the declaration within 180 days of incorporation.​

​These actions are in accordance with Section 248 of the Companies Act, 2013.​

🛠️ Pathways to Restoration

To revive a struck-off company, consider the following avenues:​

1️⃣ Restoration by the National Company Law Tribunal (NCLT)

• Who Can Apply?

  • The company itself.​

  • Any member, creditor, or workman aggrieved by the strike-off.​

• Time Frame: Applications must be filed within three years from the date of the ROC’s order.​

• Process:

  • File an appeal using Form NCLT-9.​

  • Serve a copy of the appeal to the ROC at least 14 days before the hearing.​

  • If the NCLT is satisfied that the company was operational or the strike-off was unjustified, it may order the restoration.​

​Refer to Section 252(1) & (3) of the Companies Act for detailed provisions.​

2️⃣ Restoration by the Registrar of Companies (ROC)

• Who Can Apply?

  • The company or its members.​

• Time Frame: Application must be made within three years from the date of strike-off notification.​

• Process:

  • Submit the application with evidence proving the company was operational or the strike-off was erroneous.​

  • If the ROC is convinced, the company’s name can be restored in the register.​

​Detailed in Section 252(2) of the Companies Act.​

📄 Essential Documents for Restoration

Prepare the following documents for the restoration process:

• Application Form: Form NCLT-9 for NCLT appeals.​

• Affidavit and Memorandum of Petition.​

• Copy of the ROC’s Striking-Off Notice.​

• Audited Financial Statements.​

• Bank Statements and Income Tax Returns.​

• Proof of Business Operations: Invoices, contracts, etc.​

• Any other documents as required by the authorities.​

⚖️ Judicial Precedents

In the case of Kaynet Finance Ltd. v. Registrar of Companies (NCLAT 2018), the tribunal restored the company’s name after it was struck off due to non-filing of returns, emphasizing that non-filing alone doesn’t imply cessation of business. ​

📝 Conclusion

Restoring a struck-off company is a structured process under the Companies Act, 2013. Timely action, thorough documentation, and adherence to legal procedures are crucial. Engaging professionals experienced in corporate law can facilitate a smoother restoration process.​

📞 Need Assistance?

At Dhan Tax, we specialize in corporate legal services, including company restoration. Our team of experts is ready to guide you through every step of the process.​

• Website: www.dhantax.in

• Call/WhatsApp: +91-7678456921