EASY EXIT FILING SCHEME (EES)

Closing down a company is complex. Several formalities need to be taken care of before the venture’s name is officially struck off the Registrar of companies. The Easy Exit Filing Scheme provides companies with the assistance to combat such situations.

Overview:

The Easy Exit Filing Scheme makes easy and hassle-free work of closing down of a company. It also provides assistance in filing an application for loans, providing security or guarantee, etc.

Benefits:

What benefits does this scheme provide?

This scheme provides the following benefits:

  1. Hassle-free closing down process
  2. Easy application of loans
  3. More security/guarantee

Eligibility Criteria:

Who is eligible to apply for this scheme?

Any defunct company which has an ‘active’ status on the ministry’s portal is eligible to apply for this scheme.

Exclusions:

The companies that classify as exclusions to applying for the scheme are as follows:

  1. Companies who are carrying out business activity/operation on or after April 1, 2008
  2. Defunct company whose status is non-active on the MCA portal
  3. Listed companies
  4. Companies registered under Section 25
  5. Vanishing companies
  6. Companies against which an investigation or inspection has been ordered and yet to be taken up or pending
  7. The companies where order u/s 234 has been issued by ROC and reply is pending
  8. Companies where prosecution for a non-compoundable offence is pending in court
  9. The companies which have accepted deposits which are outstanding or have defaulted in repayment
  10. Companies having secured loan
  11. The companies having management dispute
  12. Companies for which filing of docs have been stayed by court or CLB or CG or any other competent authority
  13. The companies having dues of income tax / sales tax / central excise / banks / financial institutions / CG / SG / other local authorities

Application:

How can a firm apply for this scheme?

  1. A firm can apply for this scheme by clicking here
  2. The applicant is required to fill the form in the prescribed format along with the prescribed fee of ₹3,000
  3. Company should pass a board resolution for applying under Scheme and authorizing the signing director to file the application

Documents Required:

What are the documents required to apply for this scheme?

The documents required to apply for this scheme are:

  1. A certificate that states the Company is ‘true and correct’ is required by a Chartered Accountant or Company Secretary in practice
  2. The Director identification number or PAN number or Passport number attested by a Chartered Accountant or Company Secretary
  3. The application form digitally signed by the Director of the Company
  4. The position of balance sheet as on any date within 1 month preceding the date of filing of the application certified by the Chartered Accountant or Company Secretary. It has to be submitted separately, as Annexure “C”
  5. Affidavit in Annexure “A”

The affidavit needs the following attachments:

  • Copy of residential address proof (permanent/ present) attested by a Chartered Accountant/ Company Secretary or alternatively an affidavit sworn before a Magistrate
  • Statement of assets and liabilities
  1. Indemnity Bond as per Annexure ‘B’
  2. Statement of Accounts as per Annexure ‘C’

For more information on this scheme kindly click here

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