Company name restored after 2 years: Tribunal finds justification in financials and ongoing projects

The Tribunal granted restoration of the company's name in the Register of Companies after it was struck off for non-compliance. Despite the company's name being struck off for over two years, the Tribunal found justification for restoration upon reviewing the company's assets, liabilities, and ongoing projects in the Financial Statements. The Petitioner's submission of audited accounts, Balance Sheets, Annual Returns, and Income Tax Returns, along with details of registration under the RERA Act and ongoing construction projects, supported the decision. The Tribunal directed restoration upon payment to the PM-CARES Fund and compliance with pending filings within a specified timeframe to protect stakeholders' interests and ensure business continuity.

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Issues:
1. Restoration of company name in the Register of Companies after being struck off.
2. Failure to file Financial Statements and Annual Returns leading to company dissolution.
3. Petitioner's submission of audited accounts and Income Tax Returns.
4. Company's registration under RERA Act and ongoing construction project details.
5. Observations on company's assets and liabilities from the Financial Statements.
6. Decision on restoration of company name and terms for compliance.

Analysis:
1. The Company Petition sought restoration of the company's name in the Register of Companies as it was struck off due to defaults in statutory compliances, including failure to file Financial Statements and Annual Returns as per the Companies Act, 2013.
2. The Petitioner Company submitted that the defaults were due to inadvertence and provided audited accounts, Balance Sheets, Annual Returns, and Income Tax Returns for the relevant financial years to support their case.
3. Additionally, the Petitioner highlighted its registration under the RERA Act and provided details of an ongoing construction project, emphasizing its business activities and engagements.
4. The Tribunal noted that the company's name was struck off for non-compliance for over two years, indicating a lack of business activity. However, upon reviewing the Financial Statements, it was evident that the company had assets, liabilities, and ongoing projects, justifying the need for restoration to protect the interests of stakeholders.
5. Considering the submissions, the Tribunal found it just and equitable to grant the restoration, directing the Respondent to restore the company's name upon payment of a specified cost to the PM-CARES Fund and compliance with pending filings within a stipulated timeframe.
6. The Tribunal outlined the terms for restoration, including the payment of costs, filing of pending documents, and subsequent communication to unfreeze the company's accounts upon compliance, ensuring continuity of business operations and safeguarding stakeholders' interests.

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