PROVISIONS UNDER THE ACT
MEANING
Where a company is formed and registered under this Act for a future project or to hold an asset or intellectual property and has no significant accounting transaction, such a company.
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OR
*An Inactive Company, may make an application to the Registrar in such manner as may be prescribed for obtaining the status of a dormant company.
*Meaning of Inactive company
A company which has not been carrying on any business or operation, or has not made any **Significant Accounting Transaction during the last two financial years
OR
A company which has not filed financial statements and annual returns during the last two financial years.
**Meaning of Significant Accounting Transaction
- any transaction other than—
- payment of fees by a company to the Registrar;
- payments made by it to fulfil the requirements of this Act or any other law;
- allotment of shares to fulfil the requirements of this Act; and
- payments for maintenance of its office and
***Other Conditions
- no inspection, inquiry or investigation has been ordered or taken up or carried out against the company;
- no prosecution has been initiated and pending against the company under any law;
- the company is neither having any public deposits which are outstanding nor the company is in default in payment thereof or interest thereon;
- the company is not having any outstanding loan, whether secured or unsecured:
Provided that if there is any outstanding unsecured loan, the company may apply under this rule after obtaining concurrence of the lender and enclosing the same with Form MSC‐1 ;
- there is no dispute in the management or ownership of the company and a certificate in this regard is enclosed with Form MSC‐1;
- the company does not have any outstanding statutory taxes, dues, duties payable to the Central Government or any State Government or local authorities etc.;
- the company has not defaulted in the payment of workmen’s dues;
- the securities of the company are not listed on any stock exchange within or outside India.
- A dormant company shall have such minimum number of directors
PROCESS OF FILING FOR DORMANT STATUS
Steps for application for Dormant Status
1. Pass Board Resolution
2. Pass Special Resolution
3. File Form MGT‐14 within 30 days of passing special resolution as per Section 117
4. Filing of form MSC‐1 for application of Dormant Status with Registrar
Certificate from Registrar in form MSC‐2.
| Name | Last date of filling | Remark |
| Nutrazoot Medicare Private Limited | 31/03/2020 |
|
| Shristi Hydroelectricity Private Limited | 31/03/2020 |
|
Author Bio
can a newly registered company file for dormant company?