New Delhi: A total of 16,527 companies were struck off from official records during the period from April 2020 to June 2021, according to official data.
Minister of State for Corporate Affairs Rao Inderjit Singh on Monday informed the Lok Sabha that pursuant to provisions of Section 248 of the Companies Act, 2013, "during April 2020 to June 2021, name of total 16,527 number of companies were struck off from the register of
companies".
Under Section 248, a company can be struck off the official records subject to certain conditions.
These include instances where the Registrar of Companies has a reasonable cause to believe that companies are not carrying on any business or operation for two immediately preceding financial years and have not made any application within such period for obtaining dormant company
status.
In written replies, the minister said that terms 'shut down' or 'closed unit' or 'corporate unit' are not defined under
the Act.