TOPIC 3: QUICK REFERENCE TO “DORMANT COMPANY”

.
.
Quick Reference to "Dormant Company":-
.
Legal Provision:-
.
Section 455 of Companies Act, 2013.
.
.
Points:-
.
1. Dormant Company means a inactive company which has not carrying any business or significant accounting transaction in last 2 F.Y.
.
2. It is technically different from Defunct Company.
.
3. The Company can make application in form MSC-1 to to get Dormant Status. Special Resolution is required.
.
4. Registrar issue Certificate in form MSC-2. to Company.
.
5. Return of Dormant company can file in form MSC-3.
.
6. To get again active status by Dormant Company form MSC-4 is required to file. Then Registrar give Certificate in form MSC-5.
.
7. No investigation is carried out against company for obtaining Dormant Status.
.
8. It should not be listed company.
.
9. There should not be default on workmen's due.
.
10. Cash flow statement is not required for Dormant Company.
.
11. The Company should not have outstanding loan, outstanding tax, outstanding deposits, duties etc before applying for Dormant Status.
.
12. The Board of Directors can meet atleast once in each half of the calendar year and gap between 2 meetings should not be less than 90 days.
.
13. No prosecution is pending against the Company.
.
.
Regards
ACA SOURAV BAGARIA