Are you a Director of any Company? Are your company Non-Compliant with RoC compliances? Are you disqualified and yet not filled financial statement and Annual Return with RoC? Are you confused which forms are required to be filled?
If the answer is YES, then this Article is for you. The Condonation of Delay Scheme, 2018 announced by the Ministry of Corporate Affairs is initially active from 1st January 2018 to 31st March 2018. Subsequently, Government extended the scheme for another 1 month i.e. upto 30th April 2018. Directors who were disqualified for failure to file Financial Statements and Annual Returns can file MCA eCODS form 2018 to regularize compliance and avoid disqualification.
• What is CODS-2018?
The Scheme provides for temporary restoration of DIN during the currency of the Scheme 'with a view to giving an opportunity for the non-compliant, defaulting companies to rectify the default” and become compliant.
• Who are eligible to opt for e-Form CODS, 2018?
CODS-2018 is for the defaulting companies whose status in the record of the Registrar of Companies (ROC) is active. In other words, the scheme is not applicable for those companies which have been struck off/ whose name has been removed from the record of ROC. They have to first approach NCLT for revival and then they can take benefit of CODS.
• I am Director of following 3 companies, Name of Company Compliance Status MCA Status DVG ASSOCIATES PRIVATE LIMITED RoC filling upto date Active ABC PRIVATE LIMITED RoC filling pending for 4 years Active XYZ PRIVATE LIMITED RoC filling pending for 4 years Strike off.
Now, I am disqualified, what are the legal ways to remove disqualification?
Option 1:
• File all pending RoC documents of ABC Private Limited alongwith e-CODS form.
• File Petition before NCLT for the revival of XYZ Private Limited and if NCLT allows revival, file pending forms with RoC.
Option 2:
• File Writ Petition before High Court for removal of disqualification if you don't want to revive XYZ Private Limited.
• What are the Forms that only can be filed under CODS-2018 (Overdue documents)?
- F.Y 13-14 Form 23 AC, ACA (XBRL) Balance Sheet and P&L
- Form 20B Annual Return
- Form 23B Appointment of Auditor
- Form 66 Compliance Certificate F.Y 14-15
- Form AOC-4 Balance Sheet and P&L
- Form MGT-7 Annual Return ADT-1 Appointment of Auditor (Can be appointed for 5 years) F.Y 15-16
- Form AOC-4 Balance Sheet and P&L
- Form MGT-7 Annual Return F.Y 16-17
- Form AOC-4 Balance Sheet and P&L
- Form MGT-7 Annual Return CODS Condonation of delay form
Fees: Rs. 30,000/-
• What are the consequences of non-availing of CODS-2018?
The DIN of Directors associated with defaulting companies that have not done the below mentioned shall be liable to be de-activated on expiry of the scheme period; if
• The overdue documents have not been filed; and
• The e-form CODS-2018 is not filed; and
• These are not taken on record in the MCA21 registry; and
• Are still found to be disqualified on the conclusion of the scheme.
Form eCODS can be filed by directors who were disqualified. From 1st January 2018 to 30th April 2018, the DIN of all disqualified Directors will be temporarily re-activated. The disqualified Directors are to use the condonation of delay scheme and this window to regularize compliance. On filing eCODS form, the Director Disqualification would be removed and the DIN of the Directors would remain active even after 30th April 2018.
CAclubindia
