The Registrar of Companies at Coimbatore has struck off 291 out of the 4,266 companies that have been identified as shell companies in the region and initiated action against another 1,500 for taking loans from multiple sources without filing statutory returns with the RoC.

“Action will continue on a war-footing. The names of the companies that have failed to file their statutory returns such as the balance sheet and annual returns for the last two years and have no pending cases or charges with banks will be struck off shortly,” said Registrar Josekutty VE.

Break-up

Coimbatore tops in the number of shell companies at 2,423, followed by Salem at 447 and Erode at 426. The region comprises nine districts including Erode, Salem, Namakkal, Nilgiris, Dharmapuri, Krishnagiri, Dindigul and Tirupur.

Industrywise classification (of shell companies) revealed that those engaged in business services topped the list followed by finance and trading companies.

Josekutty said the list of these companies had already been published in the website of the Corporate Affairs Ministry and notified in the gazette as well.

Notices issued

He said notices have been issued to 4,266 companies and to around 12,000 directors, intimating them of the proposed action for striking off the names from the RoC and of blocking the Director Identification Number (DIN), so they cannot be appointed directors of any company.

It is also proposed to initiate action against professionals of such shell companies including auditors, cost accountants and company secretaries, he said.

Iqbal Hussain Ansari, Deputy Registrar of Companies, said prosecution has been launched against all defaulting listed companies and 10 unlisted public companies.

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