MCA has vide its notification dated 8th May, 2019 made some amendments to the rules governing strike off of companies. This is the Companies (Removal of Names of Companies from Register), Rules, 2016.
Well, first and foremost, they have doubled the fees for making an application for strike off from Rs.5000/- to Rs.10,000/-.
Secondly, they have clarified that all pending annual e-forms have to be filed by the company before making an application for strike off in form STK-2. Hitherto, this was not required and different ROCs interpreted it differently. This brings in uniformity. But MCA should have provided for closure of the companies without having to file the baggage annual e-forms. It will lead to huge cost to the company to file all delayed annual e-forms because the late fees is now Rs.100 per day from 1st July, 2018 onwards. It is not ease of doing business.
Thirdly if the company intends to file an STK-2 application after the MCA has initiated steps to close down the company, then also the company has to file all pending and overdue annual e-forms to make it upto date.
However, once the MCA has issued a notice to the company in form STK-7 after initiating closure action against the company as per above, then the company cannot file the form STK-2. Meaning once the action gets initiated at the MCA end, then the company cannot subvert it by filing a STK-2 application.
The accounts of the company which has to be attached to the form STK-2 is provided in form STK-8.
The copy of the notification is available at the MCA site.
Well, first and foremost, they have doubled the fees for making an application for strike off from Rs.5000/- to Rs.10,000/-.
Secondly, they have clarified that all pending annual e-forms have to be filed by the company before making an application for strike off in form STK-2. Hitherto, this was not required and different ROCs interpreted it differently. This brings in uniformity. But MCA should have provided for closure of the companies without having to file the baggage annual e-forms. It will lead to huge cost to the company to file all delayed annual e-forms because the late fees is now Rs.100 per day from 1st July, 2018 onwards. It is not ease of doing business.
Thirdly if the company intends to file an STK-2 application after the MCA has initiated steps to close down the company, then also the company has to file all pending and overdue annual e-forms to make it upto date.
However, once the MCA has issued a notice to the company in form STK-7 after initiating closure action against the company as per above, then the company cannot file the form STK-2. Meaning once the action gets initiated at the MCA end, then the company cannot subvert it by filing a STK-2 application.
The accounts of the company which has to be attached to the form STK-2 is provided in form STK-8.
The copy of the notification is available at the MCA site.
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