What are the exceptions for winding up of a company?

What are the exceptions for winding up of a company?

The basic exceptions related to exception from winding up and closing the company are as follows:

Companies that cannot file for voluntary strike-off

A company cannot fill the form STK 2 at any time in the previous 3 months if the company has

  1. Has changed its name or shifted its registered office from one State to another;
  2. Has made a disposal for value of property or rights held by it, immediately
  3. Before cesser of trade or otherwise carrying on of business, for the purpose of disposal for gain in the normal course of trading or otherwise carrying on of business;
  4. Has engaged in any other activity except the one which is necessary or expedient for the purpose of making an application under that section, or deciding whether to do so or concluding the affairs of the company or complying with any statutory requirement;
  5. Has made an application to the Tribunal for the sanctioning of a compromise or arrangement and the matter has not been finally concluded; or
  6. Is being wound up under Chapter XX of Companies Act or under the Insolvency and Bankruptcy code, 2016

Companies that cannot use Fast Track Exit option:

  • Companies Registered Under Section 8
  • Listed companies;
  • Companies that have been delisted due to non-compliance of listing regulations or listing agreement or any other statutory laws;
  • Vanishing companies;
  • Companies where inspection or investigation is ordered and being carried out or actions on such order are yet to be taken up or were completed but prosecutions arising out of such inspection or investigation are pending in the Court;
  • Companies where notices have been issued by the Registrar or Inspector (under Section 234 of the Companies Act, 1956 (old Act) or section 206 or section 207 of the Act)and reply thereto is pending;
  • Companies against which any prosecution for an offense is pending in any court;
  • Companies whose application for compounding is pending;
  • Companies which have accepted public deposits which are either outstanding or the company is in default in repayment of the same;
  • Companies having charges which are pending for satisfaction.

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