Income Tax Officer, Ward-10(4) vs Registrar Of Companies And Ors.

This petition has been filed by Income Tax Authority invoking the provisions of Section 252 of the Companies Act, 2013 for restoration of the name

of the Respondent No. 2 Company, viz M/S Giriraj Global Limited, in the Register of Companies maintained by the RoC, Respondent no. 1.

Vide Proceedings initiated by the Ministry of Corporate Affairs, through the office of the RoC, names of several companies were struck off for

want of filing Statutory Returns.

Respondent No. 2 company, which had also not filed any Return or Financial Statement was duly struck off from the Register of Companies vide

STK-7 dated 01.09.2017

Invoking the provision of Section 252 of the Act, the Income Tax Dept. prays for its restoration in order to carry out the assessment proceedings

initiated against them. As per averments, on the basis of the AIR information received by the dept, the respondent company has made undisclosed

cash deposit amounting to Rs. 72, 50, 01, 865/- in the bank account for the relevant AY 2012-13. Though the ITR was filed for the A.Y. 2012-13, an

income of Rs. 33,302/- only was reflected therein the return was processed U/S 143 of the Income Tax Act. At the assessment stage the Assessing

Officer considered the major transactions as unexplained cash credit but did not consider amount of Rs. 4,94,74,861/- (additional information).

Therefore, the Assessing Officer has reasons to believe that commission @ 1% of Rs. 4,94,74,861/- has escaped assessment within the meaning of

Section 147/148 of the Income Tax Act, 1961.

Ld. Standing Counsel for the IT dept. submits that there are recovery & penalty proceedings pending U/S 148 of Income Tax Act. Action in

accordance with law is required to be initiated against the company. Notice dated 30.03.2019 U/S 148 of the Income Tax Act, 1961 was issued to the

respondent at its registered address/ email id as well as vide affixation to which there has been no respOnse and the proceedings for assessment of

income will be getting time barred by limitation on 31.12.2019 as per the provisions of Section 153(2) of Income Tax Act, 1961.

The grievance of the Income Tax Dept is that the name of the respondent company had been struck off by the RoC seriously affecting the

assessment and recovery proceedings. It is submitted that ""Strike Off' status of the company will affect the validity of the assessment order and

penalty proceedings.

Ld. Counsel for the Income Tax Submits that the aforesaid facts necessitate restoration of the name of the Respondent Company in the Register of

Companies to proceed further in accordance with law. In view of the grounds raised by the applicant, being an aggrieved person, the prayer can be

entertained u/s 252(3) of the Companies Act, 2013.

Service was duly effected on the respondent company. Other than the RoC, none appeared on behalf of the other respondent to oppose the prayer

made by the petitioner. While respondent no. 2, 3 and 4 were proceeded ex-parte, respondent no.1, the RoC submitted that they have no objections to

the prayer of the applicant being granted by this bench.

In view of the facts deposed before this Bench which have not been contested the prayer for restoration of the name of the company M/S Giriraj

Global Limited Is allowed.

We however make it clear that this Bench has only directed restoration of the name of the appellant company in the Register of Companies

maintained by the ROC on the basis of averment made in the petition and in no way endorse or have adjudicated about their entitlement to recover

which shall be adjudicated by the department subject to the laws of limitation governing such recoveries. Charges involved in seeking restoration of the

company's name with the office of the RoC shall be borne by the Petitioner. Petition is disposed off in terms of the above. Compliance be made with

the RoC within 30 days.

The petition stands allowed. The RoC is therefore directed to restore the name of the Respondent Company in their Register and also proceed to

take such other and further penal action against the respondents in accordance with the statutory provisions.