Govt extends company law settlement scheme till December 31

Giving more time for compliance, the government has again extended till December 31 the scheme that allow such entities to make their statutory filings without attracting any prosecution.
This is the second time that the Corporate Affairs Ministry has extended the deadline. The scheme, which was to first end on October 15, was last month extended till November 15.
Under 'Company Law Settlement Scheme 2014' -- which started on August 15 -- the defaulter entities can make statutory filings for a period of two months without attracting any prosecution.
The scheme has now been extended till December 31, 2014.
The Ministry has decided to extend the deadline after taking into consideration requests received from various stakeholders, according to a circular dated November 14.

The new Companies Act, whose many provisions came into force from April 1, has stringent norms to deal with defaulting entities and even directors can be disqualified for failing to make necessary annual filings.

A stricter regime for companies defaulting in filing statutory returns, with higher additional fees and penalties, has been brought in through the new Act.
As many as 1.41 lakh companies had not filed their annual returns or balance sheets for more than three consecutive years, according to data available till September end.
"The scheme condones delays in late filing, by granting immunity from prosecution and reduced additional fee," Corporate Affairs Secretary Naved Masood had said recently.