I want to strike off my defunct private limited company in Purnia — what is the procedure?

Detailed Legal Analysis

What the law says

To strike off a defunct private limited company in India, you must follow the procedure laid down under Section 248 of the Companies Act, 2013. This section allows the Registrar of Companies (RoC) to remove the name of a company from the register if it is not carrying on any business or operations for a period of two consecutive financial years.

Who can file or apply

The application for striking off can be made by:

• The company itself.
• Any director of the company.
• Any shareholder of the company.

It is essential that the company has not commenced any business or has ceased its operations for the last two financial years.

Documents required

To initiate the process of striking off, you will need to prepare and submit the following documents:

• Form STK-2: Application for striking off the name of the company.
• Affidavit: A declaration by the directors confirming that the company has not been carrying on any business.
• Board Resolution: A resolution passed by the board of directors authorizing the application for striking off.
• Indemnity Bond: An indemnity bond executed by the directors of the company.
• Copy of the latest financial statements: To confirm the cessation of business.
• Proof of payment of fees: Payment receipt for the application fee.

Procedure and timeline

The procedure to strike off a defunct private limited company involves the following steps:

1. Hold a board meeting to pass a resolution for striking off the company.
2. Prepare the necessary documents as listed above.
3. File Form STK-2 with the Registrar of Companies along with the required documents.
4. The RoC will review the application, and if satisfied, will issue a public notice in the Official Gazette.
5. After the notice period of 30 days, if no objections are raised, the RoC will strike off the name of the company from the register.

The entire process may take approximately 3 to 6 months, depending on the RoC's processing time and any objections that may arise.

What to do next

Once your application is approved and the company is struck off, you should:

• Ensure that all statutory records are maintained for a period of eight years, as required by law.
• Inform all stakeholders, including employees and creditors, about the striking off.
• Check for any pending liabilities or obligations that may arise post-striking off, as directors may still be liable for any debts incurred prior to the striking off.

It is advisable to consult with a legal professional or a company secretary to ensure compliance with all legal requirements during this process.

Disclaimer: AI-generated for educational purposes only. Does not constitute legal advice. Consult a qualified practitioner.