What is the meaning of struck-off Company?
Struck-Off Companies means removing the name of the Company from the Register of Companies maintained by the Registrar of Companies. It is more like a Closure of the Company and cannot perform any operation thereafter. It ceases to exist as a legal entity and it cannot trade, sell its assets or make payments or even it cannot get involved in any other business activities.
Disclosure requirements of Relationship with Struck off Companies in Schedule III as per the Companies Act
On March 24, 2021, the Ministry of Corporate Affairs (MCA) has introduced elaborative financial statement disclosure requirements effective from April 1, 2021, i.e., for financial statements prepared for FY 2021-22. One such requirement is a disclosure of transactions with companies struck off by the Registrar of Companies (‘RoC’) under section 248 of the Act or under section 560 of the Companies Act, 1956.
The following particulars are to be disclosed in such case:
|Name of struck-off Company||Nature of transactions with struck-off Company||Balance outstanding||Relationship with the Struck off company, if any, to be disclosed|
|Investments in securities|
|Shares held by stuck off company|
|Other outstanding balances (to be specified)|
Now what needs to be taken care to comply requirements of Relationship with Struck off Companies
It is important for each corporate with a vendor/supplier group to update and monitor the “Struck off company status” of vendors/suppliers before every new financial year to protect future business interests.
The question is how to get status of “Struck off company”?
How MICROVISTA Can Help you
Microvista Technologies can help you identify the list of such organizations. You are required to share the vendors’ GSTIN/PAN and name. Microvista Technologies will take care of the rest. We will identify the struck-off companies, check their status on the MCA website via CIN No. and collate the required supporting document.
For “Struck off company” status, please Connect with Microvista Technologies today.
Call us on – 70167-11841 / 983 983 0986