Ambika Mittal and Ors. v. Union of India and Ors.

1. This writ petition has been filed by four directors of the company Amba Devi Paper Mills Ltd.

2. It appears that for the reason that statutory returns with regard to the affairs of the Company were not filed for three years i.e. 2013 onwards, the respondents issued a show cause notice dated 2"^* March, 2017 to the Company under Section 248(1) of the Companies Act, 2013 notifying that * + W.P.C 10300/2017 2018:DHC:8546-DB \ \ s V

4. -r unless cause was shown within the stipulated time, the name of the Companywould bestruckofffrom the registerofCompanies.

3. The respondents, however, did not proceed to take action under Section248 oftheCompaniesAct. InsteadjurisdictionunderSection 164(2) ofthe Companies Act, 2013 was invoked and byway ofpublicnotices dated 6 September, 2017 and 12* September, 2017 the respondents declared that the petitioners were to be placed in the list ofpersons disqualified from functioning as directors ofcompanies. Aggrieved thereby the present writ petition was filed which came to be listed before us on the 20» ofNovember, 2017. By an order passed on this date, we directedstay ofthenotices dated 06"- September, 2017 and 12'" September, 2017 so far as the petitioners were concerned.

5. Our attention has been drawn to the Condonation ofDelay Scheme, 2018 (hereinafter refeired to the "CODS Scheme, 2018") floated by the respondents to enable disqualified directors and companies to make good the deficiencies and defaults. It is submitted that in case any person wishes to seek restoration ofthe directorship, they would be required to comply With the requirements under this scheme.

6. It IS submitted by Ms.ManinderAchaiya, learned ASG on instructions of Mr.Sanjay Shorey, Joint Director (Legal) and Mr.Rakesh Tiwari, ROC (Delhi& Haryana) thatinviewofthe submissionsmade inthewritp'etition and the expression of intention on behalfofthe petitioners before this Court that the writ petitioners would make good all deficiencies in filing of die returns within the period stipulated by this Court, along with the submission ofthe required form under the CODS Scheme, 2018 as well as payment of the prescribed charges, the respondents would take steps for removal ofthe Page 2 of[4] names ofthe petitioners from tlie list ofthe disquahfied directors.

7. Learnedcounselforthepetitionerssubmits thatthepetitioners may be permittedto comply with the requirements ofthe CODS Scheme, 2018.

8. In ™wofthe above, this writpetitionis disposedwiththe following directions:

(i) The petitioners shall file, all returns in the prescribed form as well as the fee which are necessary for being entitled to the > benefits under the Condonation of Delay Scheme, 2018. This compliance will be effected by the petitioner within aperiod of two weeks.

(ii) The respondents shall inform the petitioners ofthe deficiencies, if any, in the compliances, within aperiod of one week of the submission ofthe documents by the petitioners. The petitioners shall be afforded one opportunity to make good such deficiencies within a reasonable period by the respondents. In the eventuality that the time granted is beyond 31'' March, 2018, the CODS Scheme, 2018 shall stand extended by such period so far as the petitioners are concerned.

(iii) So far as the date of filing of the documents under the CODS

(iv) The respondents shall pass appropriate orders so far as the removal of the names of the petitioners from the list of disqualified Directors within a period of two weeks after petitioners have effected all required compliances and removed the deficiencies under the CODS scheme. f f

9.

10. This writ petition is disposed ofin the above terms. Dasti.

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