The Ministry of Corporate Affairs has setup a new Central Registration Centre for processing of “Name Availability” applications for starting a new company. In cases where the name availability application is compliant with the Companies Act/Rules, the same is processed within the next working day.

The authenticity is ensured by obtaining a declaration and certification by a professional such as an advocate/ chartered accountant / cost accountant / company secretary in practice. In addition, the person named in the Articles of Association as a director/manager/secretary of the company has to give a declaration confirming the fulfilment of all requirements for registration under the Companies Act and Rules thereunder. Any false statement in this regard is punishable under section 448 of the Companies Act, 2013.

This was stated by Shri Arun Jaitley, Minister of Corporate Affairs in written reply to a question in the Lok Sabha today.

Name availability processing requires professional certification and director declaration; false statements are punishable under section 448. A Central Registration Centre processes name availability applications and, if compliant with the Companies Act and Rules, completes processing by the next working day; authentication requires a practising professional's declaration and a declaration from any person named as director/manager/secretary confirming fulfilment of registration requirements, and false statements in such declarations attract penal consequences under the Companies Act.