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Company Law settlement scheme

771 views 4 replies

Kanika Gupta

C.S Trainee

100 Points Posted on 23 July 2010

Company Law Settlement Scheme can be availed when the paid up capital of the company is within threshold limits. So my question is if a private company has paid up capital of less then 1 lacs what it should do??

Raise its paid up capital to 1 lac and file it form from back date ( i.e from the date of default )or from current date in order to avail Company Law settlement Scheme........?????

Replies (4)

Mitali Agarwal

Company Secretary

638 Points Posted on 23 July 2010

You can file the form from back date and the penalty amount will be reduced since any form filed till 31st August, 2010 will come under the Sceme automatically and the exemption will be applicable irrespective of the efefctive date specified in the Form.

Mitali Agarwal

Company Secretary

638 Points Posted on 23 July 2010

And the Scheme is applicable even if the paid up capital is < threshold limits explained as under: A company is not having paid up capital up to the threshold limit provided in sub-section (3) and sub-section (4) of Section 3 of the Companies Act, 1956. Whether such company shall be allowed to file its belated documents and avail the benefits of the scheme? Yes , the company can avail the benefits of the scheme. However, such company shall first file its documents to increase the paid up capital up to the threshold limit under the scheme and thereafter would be allowed to file other belated documents.