<h1>MCA-21 System Change Recommended to Allow ARCs to File Charges on Dormant Companies' NPAs, Enhancing Capital Flow.</h1> The current MCA-21 system prevents filings for companies that have not submitted Balance Sheets or Annual Returns for three years, impacting Asset Reconstruction Companies (ARCs) dealing with Non-Performing Assets (NPAs) of these firms. While ARCs can secure their rights through the High Court for companies in liquidation, no such remedy exists for dormant companies not in liquidation. The Committee found no legal barriers preventing ARCs from creating charges on NPAs of dormant companies and recommended modifying the MCA-21 system to allow charge creation or modification filings by recognized ARCs, thereby safeguarding ARC interests and enhancing capital circulation.