Restoration of struck-off company where records showed continuing business activity despite delayed return filings.

A struck-off non-trading company could be restored to the register under section 560(6) of the Companies Act, 1956 where the application was made within the statutory period and the Court was satisfied that the company was carrying on business or otherwise in operation, or that restoration was just. Documentary material such as belated returns, minutes of meetings, and other records supported a finding of continuing activity. Delayed non-filing of returns, by itself, did not disprove actual operation when the surrounding material showed the company had not ceased functioning. Restoration was therefore ordered, reviving the company's corporate existence.

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Issues: Whether the name of a non-trading company struck off from the register could be restored under section 560(6) of the Companies Act, 1956 on proof that it was carrying on business or in operation on the date of striking off.

Analysis: The applicable framework permitted restoration where an aggrieved company, member, or creditor applied within twenty years from publication of the striking-off notice and the Court was satisfied that the company was carrying on business or otherwise in operation, or that it was just to restore it. The Court noted that the petition was filed well within the statutory period. On the facts, the company produced material showing continued activities, including belated filing of returns, minutes of meetings, and other records indicating that it had not ceased functioning. The Court accepted that the failure to file returns for a period did not, by itself, disprove actual operation when the surrounding material showed continuing business activity.

Conclusion: The statutory conditions for restoration were satisfied, and the name of the company was directed to be restored to the register.

Final Conclusion: The striking off was set aside in effect by ordering restoration of the company's name, thereby reviving its corporate existence as if it had not been removed from the register.

Ratio Decidendi: Restoration under section 560(6) turns on the Court's satisfaction, on a timely application, that the company was in fact carrying on business or in operation at the time of striking off, and documentary material showing continued activity can justify restoration notwithstanding delayed compliance with return-filing requirements.

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