Features of MCA Company Law Settlement Scheme, 2014

Ministry of Corporate Affairs on 12th of August has via its Circular Number 34/2014 has  started the Company LawSettlement Scheme, 2014. The said scheme gives the chance to all the Stakeholders to file the Annual Documents which were pending before 30th June, 2014 without penalty and with only 25% of Actual Additional Fees.

SCHEME-

This schemes gives the chance to all the defaulting company who have not filed there Annual Returns, Balance Sheet, P/L and Certificates with the Registrar of Companies to file it before 15th of October, 2014. Following Documents are only allowed to be filed under the scheme:

1. Form 20B- Form for filing Annual Return (With Share Capital) 
2. Form 21A- Form for Filing Annual Return (Without Share Capital)
3. Form 23AC, 23ACA, 23AC XBRL and 23ACA XBRL- Form for filing Balance Sheet and P/L
4. Form 66- Form for filing Compliance Certificate
5. Form 23B- Form for Appointment of Auditor

ADVANTAGES OF SCHEME-

1. Waiver of 75% of Additional Fees
2. Immunity from Penalty and Proseuction
3. Inactive Company can be declared Dormant Company
4. Director will be protected from Disqualification

FORM FOR FILING UNDER SETTLEMENT SCHEME-

Form which is to be filed is CLSS-2014 and will be available from 1st September, 2014.

SCHEME SHALL NOT APPLY TO-

1. Company against which action for striking off the name under sub-section (5) of section 560 of Companies Act, 1956 has already been initiated by the Registrar of Companies

2.Where application has been filed for striking off the name with the registrar of the companies 

3.Where application has been filed for dormant status 

4.Vanishing Companies