TaxTMI 
TaxTMI 
2024 (7) TMI 1735
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....d on 13.04.2004. The said company had taken land on lease in Uttar Pradesh in the year 2007. The name of the company was struck off by Registrar of Companies, Delhi (for short 'RoC') on 30.06.2017 in a common action where the company was listed at Item No. 18658. The company was struck off in terms of provisions of Section 248 by the RoC Delhi as it had failed to file its financial statements. 3. The Ld. NCLT had vide the impugned order, dismissed the appeal of the appellants. The relevant portion of the order of the Ld. NCLT, is reproduced below for reference:- "7. After hearing submissions and perusing documents placed on record by the Appellant Company, this bench observes that : i. That the Balance Sheets placed on record by the Appellant shows 'NIL' Revenue from Operations: Balance Sheet for the Financial year Revenue from Operations (in Rs.) 2016-2017 Nil 2017-2018 Nil 2018-2019 Nil ii. That the Appellant Company has neither filed Bank Statement nor any Income Tax Return. 8. That the 'nil' revenue from operations depicts that the company was not utilizing its lease hold property for the purpose of carrying....
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....e Tribunal to order restoration of a struck off company within the permissible time limit to take care of situations where it would be just and fair to restore company in the interest of company and other stakeholders. Such instances can be innumerable. However, this term "or otherwise" cannot be interpreted in a manner that makes room for arbitrary exercise of power by the Tribunal when there is specific finding that the Company has not been in operation or has not been carrying on business in consonance with the objects of the Company. A Shell Company or a Company having assets but advancing loans to sister concerns or corporate persons for siphoning of the funds, evading tax or indulging in unlawful business or not abiding by the statutory compliances cannot be allowed to invoke this expression "or otherwise" which would be a travesty of justice besides defeating the very object of the Company..." 12. In view of the above, this Bench is not inclined to interfere with the striking off action taken by the RoC against the Appellant Company under Section 248(5) of the Companies Act 2013. 13. The Appeal is accordingly dismissed." 4. In its written submissions dat....
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.... that the said actions of RoC has been upheld by the Ld. NCLT. 7. In its reply dated 26.07.2023 on behalf of Respondent No. 2 (Income Tax Department, New Delhi) has submitted that as per the record, the said company has filed Income Tax Returns regularly from Assessment Year 2007-08 to 2020-21 except that of Assessment Year 2018-19. As per the record there is an outstanding Income Tax demand of Rs. 1000/- for Assessment Year 2019-20; and that there are other companies also working from same address where the Appellants are Directors which were struck off or are in the process of striking off due to non-operation or non-compliance by RoC except two companies. The intention of the said company is only for revival to hold the property in its name and not for the purpose of any operation and that no other company of this group has filed appeal for revival except M/s. SKS Boilers Pvt. Ltd. 8. In its oral submissions, the Learned Counsel for the Appellants stated that the said company was intending to carry on business and though it had temporarily no revenue from operation, but there were assets and liabilities including plants and machinery, land and loans and advances as reflect....
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....mittedly the property is free from all encumbrances. 25. For the reasons aforesaid we find it just and equitable to restore the name of the appellant company to the record of ROC and thus we set aside the impugned order dated 27.05.2022 passed by the Ld. NCLT and direct the ROC, New Delhi to restore the name of the company to the Register of Companies subject to the following compliances:" 10. The relevant portion of the Judgement of this Tribunal dated 08.02.2023, in Comp. App. (AT) No. 165 of 2021, in the matter of 'GRS Properties Private Limited' Vs. Office of Registrar of Companies, NCT of Delhi & Haryana', is reproduced below for reference: "7. After hearing the parties, going through the pleadings made on behalf of the parties and in view of the fact that the Audited Financial Balance Sheets of the Year 2015-16, 2016-17, 2017-18, 2018-19 & 2019-20 of the Appellant /Company shows that the Appellant/Company is having substantial movable as well as immovable assets. Therefore, it cannot be said that the Appellant/Company is not carrying on any business or operations. Hence, we are of the view that the order passed by the National Company Law Tribunal (New De....