Indore: Physical verification must for registered company’s office

Indore (Madhya Pradesh): Now the physical verification of the office of a registered company will be made mandatorily and the officers will be doing so. For this, the necessary corrections to the Companies’ Act have been made. Under Section 12(9) of the Companies Act, 2013, the new Rule 25B has been inserted.

The ministry of corporate affairs (MCA), vide its notification dated August 18, has amended the Companies’ (Incorporation) Rules, 2014, by notifying the Companies’ (Incorporation) Third Amendment Rules, 2022. However, the Companies’ (Incorporation) Third Amendment Rules, 2022, shall come into force from the date of their publication in the official gazette.

Accordingly, physical verification of the registered office of a company will be made and the registrar, based on the information or documents made available on MCA 21, shall visit the address of the registered office of the company and may cause physical verification of the registered office for the purposes of sub-Section (9) of Section 12, in the presence of two independent witnesses of the locality in which the registered office is situated. He may also seek assistance of the local police for such verification, if required.

The registrar shall carry the documents as filed on MCA 21 in support of the address of the registered office of the company for the purposes of physical verification and to check the authenticity of the same by cross-verification with the copies of supporting documents of such address collected during the said physical verification, duly authenticated by the occupant of the property where the registered office is situated. The registrar shall take a photograph of the registered office of the company while causing physical verification of the same.

CA Abhay Sharma said that it was a very good amendment and would help in stopping the formation of fake companies.

Published on: Sunday, August 21, 2022, 12:19 AM IST