National Company Law Tribunal allows restoration of firm struck off from Registrar of Companies

The National Company Law Tribunal (NCLT), Chennai, has allowed the restoration of a city-based Real Value Realties India Private Limited, which was struck off from Registrar of Companies, after the Income Tax Department pleaded that the company had pending dues.

The company was struck off in 2017, following the Centre’s nationwide crackdown on shell companies.

In its plea, the Income Tax Department said the company had not filed Income Tax Returns for any of the assessment years since its incorporation in 2007. Further, it said the company had sold a property for about ₹25.85 lakh during the financial year 2011-12 and did not file the return for the assessment year 2012-13. The department said its scrutiny of the proceedings resulted in a tax demand of about ₹14.16 lakh for the assessment year 2012-13, which was due for collection.

In its response, The Registrar of Companies, Chennai, said the company was struck off since it had not filed its statutory returns since its incorporation. The Income Tax Department filed the petition to protect revenue to the government and the company’s tax liability can be assessed only after it was restored, it added.

The NCLT clarified that its order would not come in the way of the Registrar of Companies taking appropriate actions against the company for any offences committed prior to or during the “striking off” period of the company.