16 October 2013
An application must be made by a defunct company (as defined above) through the Fast- Track Exit Scheme Form, annexed electronically on the ministry portal, and accompanied by a filing fee of Rs5,000. If the application is not digitally signed by any of the directors, a manager or a secretary, a physical copy of the form must be duly completed, signed manually by a director who is authorised by the board of directors and attached with the application form at the time of its electronic filing. In all cases, the form must be certified by a chartered accountant, company secretary or cost accountant in full-time practice. If the applicant's name is not available in the database of directors maintained by the ministry, the application must be accompanied by a certificate from a chartered accountant, company secretary or cost accountant in full-time practice, along with his or her membership number, certifying that the applicant is a director of the company. In such cases the applicant will not be asked to file Form 32 and Form DIN3. The company must disclose pending litigation, if any, in which the company is involved while applying under the fast-track exit scheme. If any pending prosecutions are only for non-filing of annual returns under Section 159 of the Companies Act 1956 and a balance sheet under Section 220 of the act, such application may be accepted, provided that the applicants have already filed the compounding application. However, steps for final striking off of the company's name will be taken only after disposal of the compounding application by the competent authority. The form must be accompanied by an affidavit that has been sworn by each director of the company before a first-class judicial magistrate, executive magistrate, oath commissioner or notary, to the effect that the company has not carried on any business since incorporation or carried out business only for a period up to a particular date (which should be specified) and then discontinued its operations. The form must also be accompanied by an indemnity bond, duly notarised, to be given by every director individually or collectively, to the effect that any losses, claims and liabilities of the company will be met in full by every director, individually or collectively, even after the name of the company has been struck off the Register of Companies. For foreign nationals and non-resident Indians, the indemnity bond and affidavit must be notarised under their respective national law. The company must also file a statement of accounts prepared not more than one month before the date of filing of the application, duly certified by a statutory auditor or chartered accountant in full-time practice. In the case of 100% government-owned companies, if no board exists, an officer of at least the rank of deputy secretary of the administrative ministry concerned is authorised to enter his or her name and other details in the forms in place of the name and other details of the directors, and to sign the relevant documents before filing.
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