2020 (12) TMI 594 - Tri - Companies Law

Appeal granted: M/s PBM Wires to restore name in Register with conditions for compliance

The Tribunal allowed the appeal for the restoration of M/s PBM Wires Private Limited's name in the Register of Companies maintained by RoC, Jaipur. ... Restoration of the Company's name in the Register of Companies - Section 252 of the Companies Act, 2013 - HELD THAT:- The restoration of the Appellant Company's name, i.e. M/s PBM Wires Private Limited, in the Register of Companies maintained by the RoC, is hereby ordered subject to prior submission to the RoC of physical copies of financial statements for the intervening period, from financial year 2013-14 till date, to the satisfaction of the RoC in respect of the format and requisite content of the said financial statements besides being in compliance with the provisions of the Act. The Appellant shall also submit relevant proof of continued ownership of fixed assets in the form of land and building at Industrial Area, Bagru, as affirmed in affidavit filed vide dairy no. 464/2020 dated 04.03.2020, for the confirmation of the RoC. The RoC shall give effect to this order only after ensuring compliance of tendering of cost and pre-submission of physical copies of financial statements and proof of ownership of fixed assets as stated hereinbefore. The Company is directed to file all the required documents and shall fulfil all other relevant statutory compliances, in accordance with law within 30 days from restoration of its name in the Register of Companies maintained by RoC - Appeal disposed off. Issues Involved:- Restoration of company's name in the Register of Companies maintained by RoC, Jaipur due to default in statutory compliance.Detailed Analysis:Issue 1: Restoration of Company's NameThe appeal was filed by M/s PBM Wires Private Limited under Section 252 of the Companies Act, 2013, seeking restoration of its name in the Register of Companies maintained by RoC, Jaipur. The company's name was struck off by RoC due to non-compliance with statutory requirements, specifically the failure to file statutory documents for the financial years 2013-14 to 2016-17. The appellant acknowledged the error in mentioning its name as 'M/s PBM Wires Ltd.' instead of the correct name 'M/s PBM Wires Pvt. Ltd.' The Tribunal considered the appeal in light of the correct name and relevant documents submitted.Issue 2: Compliance and DocumentationThe company's main objective was stated to be in the business of manufacturing, processing, importing, buying, selling, and distributing various types of wires and wire products. Despite being active since its incorporation, the company failed to file annual returns and financial statements with RoC due to inadvertence and negligence by the management. The appellant provided an affidavit affirming fixed assets worth a certain amount and submitted supporting documents, including an allotment letter for land. RoC, in its report, did not raise any objections but directed the company to file the necessary returns as per the Companies Act, 2013.Issue 3: Decision and Conditions for RestorationAfter considering the facts, circumstances, and submissions made during the hearing, the Tribunal allowed the appeal for the restoration of the company's name, M/s PBM Wires Private Limited, in the Register of Companies. However, certain conditions were imposed for the restoration, including the submission of physical copies of financial statements for the relevant period, proof of ownership of fixed assets, and payment of specified costs to designated entities. The company was directed to fulfill all statutory compliances within 30 days of restoration, and RoC was instructed to ensure compliance before effecting the restoration.ConclusionThe Tribunal's judgment granted the appeal for the restoration of the company's name, emphasizing the importance of compliance with statutory requirements and the submission of necessary documentation. The decision outlined specific conditions and timelines for the restoration process, including the payment of costs and fulfillment of statutory obligations post-restoration.