{"id":5845,"date":"2023-06-09T15:04:56","date_gmt":"2023-06-09T15:04:56","guid":{"rendered":"https:\/\/www.caindelhiindia.com\/blog\/?p=5845"},"modified":"2023-06-25T07:38:35","modified_gmt":"2023-06-25T07:38:35","slug":"consequences-of-a-struck-off","status":"publish","type":"post","link":"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/","title":{"rendered":"Reasons &#038; Consequences of a\u00a0company become struck off"},"content":{"rendered":"<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-5915\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/download.png\" alt=\"1\" width=\"1048\" height=\"587\" \/><\/h2>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69d08c63c5f67\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69d08c63c5f67\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#Reasons_Consequences_of_a_company_become_struck_off\" title=\"Reasons &amp; Consequences of a\u00a0company become struck off\">Reasons &amp; Consequences of a\u00a0company become struck off<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#Reasons_a_company_become_struck_off\" title=\"Reasons a\u00a0company become struck off:\">Reasons a\u00a0company become struck off:<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#Ministry_of_Corporate_Affairs_plans_to_further_intensify_Crackdown_on_Shell_Companies\" title=\"Ministry of Corporate Affairs plans to further intensify Crackdown on Shell Companies :\u00a0\">Ministry of Corporate Affairs plans to further intensify Crackdown on Shell Companies :\u00a0<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#Company_being_struck_off-_Various_Consequences\" title=\"Company being struck off- Various Consequences?\">Company being struck off- Various Consequences?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#Voluntary_Strike_Off_Closure_Services\" title=\"Voluntary Strike Off\/ Closure Services\">Voluntary Strike Off\/ Closure Services<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.caindelhiindia.com\/blog\/consequences-of-a-struck-off\/#About_India_Financial_Consultancy_Corporation_Pvt_Ltd\" title=\"About India Financial Consultancy Corporation Pvt Ltd.\u00a0\u00a0\">About India Financial Consultancy Corporation Pvt Ltd.\u00a0\u00a0<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Reasons_Consequences_of_a_company_become_struck_off\"><\/span><span style=\"color: #000080;\"><strong>Reasons &amp; <span style=\"color: #000080;\">Consequences<\/span> of a\u00a0company become struck off<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li>There are many ways for a company to go out of existence. One of them is having its name removed from the list of company names. This approach may be used by a business that has ceased operations and wants to have its name removed from the registrar&#8217;s records.<\/li>\n<li>Let&#8217;s first describe striking off and liquidation before moving on to the next section of this discussion. Striking off is the phrase we use to describe when a firm is about to be struck off. In contrast, the procedure is finished at the liquidation or dissolution step. When the name is struck from the records, a company is considered liquidated.<\/li>\n<li>A company that has been &#8220;struck off&#8221; the official Registrar of Companies (RoC) is no longer regarded by the law as a legitimate business structure. This may occur for a variety of reasons, including failing to submit necessary paperwork or pay fees to the appropriate regulating body, stopping operations, or ceasing to be active for a lengthy period of time.<\/li>\n<li>Being struck off can have major repercussions for a business, such as losing its legal standing, having its assets seized, having its directors potentially held personally liable, having its reputation damaged, and having trouble getting back on its feet.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Reasons_a_company_become_struck_off\"><\/span><span style=\"color: #000080;\"><strong>Reasons a\u00a0company become struck off:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-5913\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/Striking-off-a-Company.jpg\" alt=\"Striking-off-a-Company. \" width=\"1024\" height=\"512\" srcset=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/Striking-off-a-Company.jpg 1024w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/Striking-off-a-Company-300x150.jpg 300w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/Striking-off-a-Company-768x384.jpg 768w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/Striking-off-a-Company-800x400.jpg 800w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/h2>\n<p>There are various reasons may lead a company may be struck-off, including:<\/p>\n<ul>\n<li>The Company may be struck-off if it Being inactive for an extended period of time:<\/li>\n<li>A company may be struck-off if it is found to be conducting fraudulent or illegal activities.<\/li>\n<li>In case Company failure to submit required documentsor pay fees to the relevant regulatory agency:<\/li>\n<li>Company may be struck-off if it Ceasing to carry on business and has no assets or liabilities,<\/li>\n<\/ul>\n<p>The process for striking off a company is depending on the jurisdiction in which the company was incorporated and the particular circumstances surrounding the striking off,<\/p>\n<p>Procedure will often begin with the relevant regulatory body sending a notice to the company, giving it a chance to address any problems or provide justifications for why it shouldn&#8217;t be deregistered. If the problems are not fixed, the agency may proceed with suspending the company&#8217;s operations.<\/p>\n<p>It is important for Directors and shareholders of a company must be aware of their responsibilities and make sure the business complies with all applicable rules and regulations. Failure to do so may result in the company being struck off, which could have detrimental effects on the business<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ministry_of_Corporate_Affairs_plans_to_further_intensify_Crackdown_on_Shell_Companies\"><\/span><span style=\"color: #000080;\"><strong>Ministry of Corporate Affairs plans to further intensify Crackdown on Shell Companies :\u00a0<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"color: #000080;\">According to the report the Ministry of Corporate Affairs is an Indian government ministry primarily concerned with administration of the Companies Act 2013,\u00a0 is planning to rake up the physical verification of non-functional or non-compliant firms by the Registrar of Companies (ROC).\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Company_being_struck_off-_Various_Consequences\"><\/span><span style=\"color: #000080;\"><strong>Company being struck off- Various Consequences?<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-5914\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/download-1.jpg\" alt=\"reason Striking-off-a-Company\" width=\"1005\" height=\"303\" srcset=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/download-1.jpg 408w, https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/06\/download-1-300x90.jpg 300w\" sizes=\"(max-width: 1005px) 100vw, 1005px\" \/><\/p>\n<p><span style=\"color: #000080;\"><strong>A company being struck off has lots of consequences, including:<\/strong><\/span><\/p>\n<p>\u00b7 Asset seizure: If a struck-off company has any assets, they may be taken and sold to settle any unpaid liabilities or debts. The business and its stockholders may suffer a large financial loss as a result of this.<\/p>\n<p>\u00b7\u00a0 Reputation damage: Being struck off can damage the reputation of a company and may make it difficult for the company to regain the trust of suppliers, customers &amp; other stakeholders. This could significantly impair the company&#8217;s capacity to conduct business and cause a loss of revenue and profit.<\/p>\n<p>\u00b7 Personal liability for directors: Directors of a company that has been struck off may occasionally be held personally accountable for the company\u2019s debts and liabilities. This is referred to as &#8220;lifting the corporate veil.&#8221; It is crucial for directors to be aware of their potential personal liabilities and to take the required precautions to safeguard their assets.<\/p>\n<p>\u00b7 Legal recognition Loss: A company that has been struck off is no longer allowed to run businesses or sign contracts since it is no longer recognised by the law as an authorised structure. This could have negative effects on the business operations and make it difficult for the organisation to stay in business.<\/p>\n<p>\u00b7 Difficulty restoring the company: Restoring a company can be difficult if it has been struck off the register. The procedure for reviving a firm that has been struck off can be challenging and may call for legal counsel. Before being reinstated, the corporation might also have to make good on any unpaid liabilities or debts, which could be a major financial strain.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Voluntary_Strike_Off_Closure_Services\"><\/span><span style=\"color: #000080;\"><strong>Voluntary Strike Off\/ Closure Services<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>We provide\u00a0Voluntary Closure\u00a0service for the companies\/ LLP who have not filed Annual accounts and returns for previous financial years or since incorporation of the company\/LLP or any other possible cases.<\/p>\n<p><span style=\"color: #000080;\"><strong>Who needs this Voluntary Strike Off\/ Closure Services &amp; who can approach us?<\/strong><\/span><\/p>\n<ul>\n<li>Company who has\u00a0not\u00a0filed Annual accounts &amp; returns for previous financial years.<\/li>\n<li>The Company has some\u00a0pending Charge satisfaction\u00a0matters and looking to close the company.<\/li>\n<li>Company who has any\u00a0pending\u00a0Director\u00a0Dispute\u00a0matter<\/li>\n<li>Any other matter in which the company wishes\u00a0to file a closure application.<\/li>\n<\/ul>\n<p>Although the process of closing a company in Delhi, India is simple, it is still advised to start the process online with the assistance of a company strike off specialist. At India Financial Consultancy Corporation Pvt Ltd, we have a team of professionals ready to help and support you at affordable company strike off fees that have excellent understanding of the private limited company closure procedure.<\/p>\n<p><span style=\"color: #000080;\"><strong>IBC Consultants in Delhi :<\/strong><\/span><\/p>\n<p><span style=\"color: #000080;\"><strong>Popular blog:-<\/strong><\/span><\/p>\n<ul>\n<li><span style=\"color: #000080;\"><strong><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/sale-as-going-concern-under-liquidation\/\">Sale as Going concern under liquidation\u00a0<\/a><\/strong><\/span><\/li>\n<li><span style=\"color: #000080;\"><strong><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/liquidator-fees-to-be-paid-cirp-regulations\/\">Liquidator fees to be paid CIRP Regulations<\/a><\/strong><\/span><\/li>\n<li><a href=\"https:\/\/www.caindelhiindia.com\/blog\/initiation-of-liquidation-under-the-ibc\/\"><strong>Initiation of Liquidation under the IBC Code\u00a0<\/strong><\/a><\/li>\n<li><span style=\"color: #000080;\"><strong><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/liquidation-process-for-cd-under-ibc\/\">Liquidation Process for CD under IBC\u00a0<\/a><\/strong><\/span><\/li>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/ibc-forms-insolvency-and-bankruptcy-code-2016-forms-demand-notices-returns\/\"><strong>IBC Forms Insolvency and Bankruptcy Code 2016 Forms Demand Notices Returns<\/strong><\/a><\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"About_India_Financial_Consultancy_Corporation_Pvt_Ltd\"><\/span><span style=\"color: #000080;\"><strong>About India Financial Consultancy Corporation Pvt Ltd.\u00a0\u00a0<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p class=\"x_MsoNormal\"><i>After growing and gaining experience in the Corporate World over a decade, now have own platform to provide Secretarial and Legal Services with the highest degree of professionalism. Our Co. aims at providing innovative and commercial solutions to corporate entities and has a network of associates in major cities around the country. Time is always the essence of our work. We firmly believe in strong work ethic culture, Few major areas of practice\/service are:-<\/i><\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Drafting of Commercial Agreements\/contracts.<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Company Secretarial Services<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Litigation, representation and appearances<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Secretarial Audits<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Legal Due diligence<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0\u00a0Corporate Compliance Management<\/p>\n<p style=\"padding-left: 40px;\">\u00d8\u00a0 IBC law practice&#8217;s<\/p>\n<p style=\"padding-left: 40px;\">Other allied and related services.<\/p>\n<p>India Financial Consultancy Corporation Pvt Ltd is one of the top Company closure consultants in Delhi and offers services for Company Closure in India. With the lowest Company Closure fees, we make this task simple and cost-effective. Therefore, you can email us at <a href=\"mailto:Singh@caindelhiindia.com%20\">Singh@caindelhiindia.com<\/a>,\u00a0 or call on 9555 555 480 if you&#8217;re looking for someone who can help you strike off your Company or LLP.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Reasons &amp; Consequences of a\u00a0company become struck off There are many ways for a company to go out of existence. One of them is having its name removed from the list of company names. This approach may be used by a business that has ceased operations and wants to have its name removed from the &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[658],"tags":[989,986,988],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/5845"}],"collection":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/comments?post=5845"}],"version-history":[{"count":5,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/5845\/revisions"}],"predecessor-version":[{"id":5847,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/5845\/revisions\/5847"}],"wp:attachment":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/media?parent=5845"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/categories?post=5845"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/tags?post=5845"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}