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KYC of Companies - Verification of registered office etc.

  • Admin
  • 06 Mar, 2020

After having introduced KYC of directors of Companies in 2018, Ministry of Corporate Affairs (MCA) has introduced KYC of Companies by way of notification dated 21st February, 2019.

The said notification shall be effective from 25th February, 2019

By way of above notification, MCA the amended the Companies (Incorporation) Rules, 2014 by insertion of Rule 25A.

Highlights:

Every Company incorporated on or before 31st December 2017 is required to file e-Form ACTIVE (Active Company Tagging Identities and Verification) latest by 25th April, 2019.

In case of default in filing of e-Form ACTIVE, the status of the Company in MCA records shall be changed from Active to ACTIVE-non compliant and it shall attract penalties under Section 12(9) of Companies Act, 2013. Further, defaulting Company shall not be able to report the Corporate Actions to Registrar of Companies like Changes in Share Capital, Changes in directors except cessation, change in registered office and corporate restructuring.

Belated filing will attract an additional fees of Rupees Ten Thousand.

In the e-form ACTIVE, the following details are required to be intimated to Registrar of Companies:

  • Address of registered office with photo of registered office also showing at least one Director/Key Managerial Personnel who will sign the e-Form ACTIVE
  • Email ID of Company: Email ID shall be verified through One time password (OTP)
  • Number of Directors with list of directors as on date of filing of e-form
  • Details of Auditors - Statutory and Cost Auditor
  • Details of Managing Director, Chief Executive Officer or Manager or Wholetime Director, Chief Financial Officer and Company Secretary
  • Details of annual returns filed for financial year 2017-18
  • Photograph of registered office showing external building and inside office also needs to be attached to e-form

This is one of regulatory reform which will warrant the attention of India Inc. and consultants. Appropriate actions needs to be taken to meet the KYC norms introduced for Companies.

For downloading the MCA notification, please follow the below weblink:

http://www.mca.gov.in/Ministry/pdf/CompaniesIncorporationAmendmentRules_21022019.pdf

For any assistance, please write to us at legal@corpcode.in or call at +91 98910 87878

Corpcode Consulting LLP

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