Centre strikes off over 10K firms


The Minister further said that there are 12,59,992 Private Limited Companies registered having active status as on January 21, 2021….reports Asian Lite News

The Ministry of Corporate Affairs (MCA) has struck off over 10,000 companies during the ongoing financial year, which have not carried on any business or operation for a period of two immediately preceding financial years and not made any application within such period for obtaining the status of dormant company.

In a reply to the Lok Sabha, Minister of State for Corporate Affairs, Anurag Thakur said that during April 2020-February 2021, total 10,113 number of companies have been struck off by invoking the provisions of section 248 (2) of the Act .

The Minister further said that there are 12,59,992 Private Limited Companies registered having active status as on January 21, 2021.

There are 10,98,780 number of active Private Limited Companies registered till December 31, 2019 which are eligible or due to file Financial Statement (FS) for the year ended March 31, 2020. Out of these 7,15,243 number of Companies have filed FS for the year ended March 31, 2020.

Thereby 65 percentage of active eligible Private Limited Companies have filed Financial statement for the financial year ended March 31, 2020, he said.

Meanwhile, the government may retain non-controlling stake in some of the public sector enterprises that would be put for strategic sale involving change of management control next year.

Highly placed government sources said that a bare minimum government presence may be maintained in sectors such as defence, railways and infrastructure so that necessary hand holding is provided to the new management in the initial years of operation.

Also, the bare minimum presence would also provide the government with additional revenue opportunity to exit the entity after its expansion and growth that enhances the valuation of shares.

More than a dozen companies would be lined up for privatisation in FY22. Depending on the market conditions and the size of the share sale with transfer of management control, the government will decide either to sell its entire stake or retain a portion of it for sale later.

Speaking to IANS earlier, disinvestment secretary Tuhin Kanta Pandey had said that the government is going into a difficult area of ceding control of PSEs under the privatisation policy but would not completely exit from certain companies that would require some hand holding.

Already in proposed disinvestment of state-run defence and construction equipment manufacturer BEML Ltd., the government is offloading only 26 per cent its 54.03 per cent stake in the company while ceding management control. It will have the option to offload the balance 28 per cent equity at a later stage.

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