To

All Regional Directors

All Registrar of Companies

All Official Liquidators

Sir,

The Government had announced a scheme, called Company Law Settlement Scheme, 2000 (CLSS-2000) under which a company may file documents such as balance sheet, annual return etc. alongwith a lump sum fee as indicated in the scheme. However, it has been observed that some of the companies have approached Registrar of Companies for striking off the names of the companies takings the shadow of circulars dated 17-2-87 and 19-2-91 issued by the Department regarding striking off the names. The companies have, however, not filed the annual returns and balance sheets. It is quite clear that as per section 560 of the Companies Act even in case of companies which come for striking off their names under this section the company should file all the Balance Sheets and Profit and Loss Accounts and not only one latest balance sheet. This is more necessary to ascertain whether applicant seeking sanction under section 560 of the Act has met his obligation to depositors, banks and financial institutions from whom it borrowed the money and paid taxes and other Government and statutory dues.

The Government has now reconsidered the circulars referred to above and has decided that the aforesaid circulars are not appropriate. Therefore, the circular numbers dated 9/7/83-CL.III, dated 17-2-87 and 1/3/91-CL-V, 5/4/91-CL.III, dated 19-2-91 are withdrawn till further orders.

Yours faithfully,

(RN Vaswani)

UNDER SECRETARY TO THE GOVT. OF INDIA

Ph: 338 9622