The government today said there are 87 firms in the list of ‘vanishing companies’.
“Currently,there are 87 companies that are falling in the list of ‘vanishing companies’,” Minister of State for Corporate Affairs R P N Singh said in the Lok Sabha today.
Explaining the term ‘vanishing companies’,Singh said it is applied to the companies which cease to file their statements of return or where,after raising capital,the whereabouts of their registered office or directors aren’t known.
Replying a question on whether any action till date has been taken against such companies and their promoters,he said,”A Central Coordination and Monitoring Committee was constituted in 1999 to identify such companies and recommended further action against them”.
Initially,Singh said 238 such companies were identified,out of which 119 subsequently started filing their returns with Registrars of Companies (RoCs) concerned and were,therefore,removed from the list.
“Another 32 companies of such cases have gone into liquidation,” he said,adding that prosecutions in respect of 86 firms have so far been filed under Companies Act for inducing investment of money by misrepresentation of facts…
Similarly,Singh said 82 FIRs have been filed with police in respect of certain companies and their directors whose whereabouts could not be traced despite efforts.
On the amount of money realised till date,he said,”It is,however,not possible to exactly quantify the amounts realised as the process of liquidation is still going on in large number of cases”.