Ministry of Corporate Affairs has recently uploaded a notification on its website informing that it is in the process of identifying and flagging directors disqualified under Companies Act, 2013 (“Act”) due to default in filing annual return and financial statements for a continuous period of 3 years.
Accordingly, the MCA has directed all defaulting directors who have failed to file their financial statement or annual returns for a continuous period of 3 financial years, i.e. 2015-16, 2016-17 and 2017-18, to find the pending statutory return and do necessary compliance as per law. The DIN’s of such defaulter directors are prohibited from filling any e-forms provided on MCA 21 portal.
A failure to comply with such pending statutory return would attract the provisions of disqualification under of Section 164 of the Companies Act, 2013.
Source: Ministry of Corporate Affairs
