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GENERAL CIRCULAR

GENERAL CIRCULAR NO. 12/2020 [F.No. 02/01/2020-CL-V], dt. 30-3-2020

COMPANIES FRESH START SCHEME, 2020

In furtherance of the Ministry's Circular No. 11/2020, dated 24th March. 2020 and in order to facilitate the companies registered in India to make a fresh start on a clean slate, this Ministry has decided to take certain alleviative measures for lire benefit of all companies.

2. Companies Act, 2013 requires all companies to make annual statutory' compliance by filing the Annual Return and Financial Statements. Apart from this, various other statements, documents, returns, etc are required to be filed on the MCA21 electronic registry within prescribed time limits. Filing fees for filing such statements, documents, returns, etc is governed by section 403 of the Companies Act, 2013 read with Companies (Registration Offices and Fees) Rules 2014.

3. The Ministry has received representations from various stakeholders requesting for grunt of one-time opportunity, so as to enable them to complete their pending compliances by filing necessary documents in the MCA-21 registry including annual filings without being subject to a higher additional fees on account of any delay.

4. In order to give such an opportunity to the defaulting companies and to enable them to file the belated documents in the MCA-21 registry', the Central Government in exercise of powers conferred under section 460 read with section 403 of the Companies Act, 2013 has decided to introduce a Scheme namely 'Companies Fresh Start Scheme, 2020 (CFSS-2020) condoning the delay in filing the above mentioned documents with the Registrar, insofar as it relates to charging of additional fees, and granting of immunity from launching of prosecution or proceedings for imposing penalty on account of delay associated with certain filings. Only normal fees for filing of documents in the MCA-21 registry will be payable in such ease during the currency of CFSS-2020 as per the provisions of section 403 read with Companies (Registration Offices and Fee) Rules, 2014 and section 460 of the Act.

5. In addition, the scheme gives on opportunity to inactive companies to gel their companies declared as 'dormant company' under section 455 of the Act by Tiling a simple application at a normal fee. The said provision enables inactive companies to remain on the register of the companies with minimal compliance requirements,

6. The details of the Scheme are as under:

(i) The scheme shall come into force on the 01.04.2020 and shall remain in force till 30.09.2020

  Definitions

(ii) In this Scheme, unless the context otherwise requires,

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