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2010 Supreme(Del) 1193

IN THE HIGH COURT OF DELHI AT NEW DELHI
Sudershan Kumar Misra, J.
Mace Plastronics Pvt. Ltd. - Appellant
Versus
Registrar of Companies - Respondent
Company Petition No. 330 of 2009
Decided On : 28-09-2010

Advocates Appeared:
Mr. P.K. Mittal, Advocate for the Petitioner.
Mr. K.S. Pradhan, Dy. Registrar for the Registrar of Companies.

Headnote:

Companies (Court) Rules, 1959 - Rule 94 r/w Sections 560(6), 162 of Companies Act, 1956- Restoration of name - Failure to file annual returns and balance sheets - Plea that Chartered Accountant firm did not file the returns and other necessary documents with the respondent which was later known to petitioner - Restoration of the company's name to the Register maintained by the respondent will be subject to the payment of Rs. 75,000/- as exemplary costs, payable to the common pool fund of the Official Liquidator - Respondent can take any penal action.

Sudershan Kumar Misra, J.

1. This petition under S.560(6) of the Companies Act, 1956, seeks restoration of the name of the petitioner company to the Register of Companies maintained by the Registrar of Companies. M/s Mace Plastronics Pvt. Ltd. was incorporated under the Companies Act, 1956 on 19th June, 1985 vide Certificate of Incorporation No. 21262 as a private limited company with the Registrar of Companies, NCT of Delhi and Haryana.

2. The Registrar of Companies, i.e the respondent herein, struck the petitioner's name off the Register due to defaults in statutory compliances, namely, failure to file annual returns and balance sheets in respect of the financial years 1999-2000 to 2006-2007. Consequently, the respondent initiated proceedings under S.560 of the Companies Act, 1956, for the purpose of striking the petitioner's name off the Register maintained by the respondent. It is stated that the procedure prescribed under S.560 of the Companies Act, 1956 was followed, notices as required under S.560(1), S.560(2), S.560(3) and, ultimately, under S.560(5) were issued, and that the name of the petitioner company was published in the Official Gazette on 23rd June, 2007 at S.No. 2286. However, the name that appeared in the Official Gazette at the aforesaid serial number is "Mage Plastronics Pvt. Ltd.". To clarify this position, counsel for the respondent submitted that the petitioner's name in the respondent's electronic records was erroneously recorded as "Mage Plastronics Pvt. Ltd.", and therefore, the same name was also published in the Official Gazette. Counsel for the respondent further submitted that, however, the petitioner's name in the respondent's physical records is correct.

3. The petitioner alleged that it did not receive any show cause notice, nor was it afforded any opportunity of being heard before the aforesaid action was taken by the respondent. On examination, it appears that the address of the petitioner's registered office in the records of the respondent is correct. It is therefore presumed that the petitioner was duly served with the notices issued under S. 560 by the respondent.

4. It is averred that the petitioner has been active since incorporation, and has never been defunct or non-operational. In support of this statement, copies of the Factory License Fee receipts issued by the Municipal Corporation of Delhi in respect of factory operations for the years 2004-2005, 2005-2006 and 2006 - 2009, and insurance premium receipts for the years 2002-2003 till 2008-2009 in respect of the insurance premium for the Standard Fire and Special Perils Policy, have been annexed to this petition.

5. It is also submitted by the petitioner that it had prepared and maintained all statutory documentation, including accounts that were audited every year, and that it had engaged the services of Vijay Bhatia & Co., Chartered Accountants, to perform the task of filing the documents with the respondent's office. It is submitted that the aforesaid Chartered Accountant firm did not file the returns and other necessary documents with the respondent. It is further submitted that it was only in March 2009, when the petitioner tried to file Form 32 electronically, that the fact that it's name had been struck off the Register, was known to it.

6. Counsel for the respondent does not have any objection to the revival of the company, subject to the petitioner filing all outstanding statutory documents, i.e. annual returns and balance sheets in respect of the financial years 1999-2000 to 2006-2007, along with the filing and additional fee, as applicable on the date of actual filing. The certificates of "No Objection" of the Directors, to the restoration of the name of the petitioner to the Register, have also been placed on record.

7. In Purushottamdas & Anr. (Bulakidas Mohta Co. P. Ltd.) v. Registrar of Companies, [1986] 60 Comp Cas 154 (Bom), the Bombay High Court, in paragraph 20 thereof, has held, inter alia, that;

"The object of section 5

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