Fast track exit scheme

MCA 1489 views 3 replies

Sonam Bidasaria

770 Points Joined July 2008

At the timing of filling "Form FTE" for striking off the Company name under Fast Track Exit Scheme, 2011, the field "Reserve and Surplus" was required to be field. I was writing Rs. 1,00,000 in that field but the form is not accepting and a message is appearing "Reserves and Surplus must be equal to zero". However, in the aforesaid company, it is not possible to make the Reserves zero.

Plz give the solution.

Thanks in advance.

Replies (3)

Mayur Agrawal

Audit and Tax Practice

657 Points Joined August 2008

I think Fast track exit scheme is applicable only for comapnies which had not done any business.

Sonam Bidasaria

770 Points Joined July 2008

As per the Guidelines isued by the MCA for FTE mode

(a) Any company will be called as “defunct company” for the purpose

of these guidelines, which has nil asset and liability and

(i) has not commenced any business activity or operation

since incorporation; or

(ii) is not carrying over any business activity or operation for

last one year before making application under FTE.

In my case, the Company is not carrying any business for last 5 years. Hence this scheme is aplicable to the Company.

CA Adesh Gupta

Finance Manager

160 Points Joined January 2011

Can a company having Rs 90000 as Preliminay exp, Rs 50000 as cash in hand and Rs 140000 as share capital be wound under Fast track exit scheme?? Read more at: