Lok Sabha Question No. 4828 (UNSTARRED), answered on 2018-03-23
Subject: Complaints and Pending Cases
Ministry: CORPORATE AFFAIRS
Asked by: C.S. PUTTARAJU, POONAMBEN HEMATBHAI MAADAM

## GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 4828 ANSWERED ON FRIDAY, THE 23RD MARCH, 2018 [CHAITRA 02, 1940 (SAKA)]

## COMPLAINTS AND PENDING CASES QUESTION

## 4828. SHRI C. S. PUTTA RAJU:

## SHRIMATI POONAMBEN MAADAM:

Will the Minister of CORPORATE AFFAIRS be pleased to state:

- (a) the details of number of complaints received on violation of terms and conditions by the private companies with regard to deposit of money by the public and its return along with the names of companies against which such complaints have been made during the last three years;
- (b) the action taken by the Government on such complaints during the said period along with the outcome thereof;
- (c) the details of the 'number of cases out of the said complaints filed in the court along with the number of said cases pending in the court at present and the number of persons jailed in this regard;
- (d) whether the Government has constituted or proposes to constitute any specialized team for setting up a mechanism to bring down the number of pending cases related to the Ministry and if so, the details thereof; and
- (e) whether a serious concern has been raised on the rising number of cases in various courts and if so, the details thereof?.

## ANSWER

MINISTER OF STATE FOR LAW AND JUSTICE         (SHRI P. P. CHAUDHARY) AND CORPORATE AFFAIRS

- (a): As per Section 73 of the Companies Act, 2013 read with Companies (Acceptance of Deposits) Rules, 2014 the Private Company is permitted to accept deposits from its directors and their relatives and also up to certain limit from its members only. Therefore, a private Company is not eligible to accept public deposits under Section 76 read with Companies (Acceptance of Deposits) Rules, 2014.

Contd ……. 2/-

However,  various  complaints  in  respect  of  violations  of  terms  and conditions of the deposits have been received by respective Registrars of Companies  (ROCs)  against  24  number  of  Private  Companies  as  per  the provisions of Companies Act, 1956/2013.  A statement containing names of such  companies  for  last  three  financial  years  is  enclosed  herewith  as Annexure-A. (b) & (c): Prosecutions under the provisions of Companies Act, 1956/2013 have  been  filed  against  4  companies  involving  15  cases  which  are  subjudice, and  in other cases  the matter is under examination  or at inquiry/inspection/investigation stage.  Till date no person has been jailed for aforesaid offences. (d) & (e): No  such  proposal  is  under  consideration.    46,886  number  of prosecutions  filed  by  Registrar  of  the  Companies  (ROCs)  against  the companies for violation of provisions of the Companies Act were pending as on  01.01.2017  with  the  various  Courts.    During  the  year  2016-17  (upto 30.11.2017) 4,775 fresh prosecutions were filed.  Thus, out of total 51,661 cases, 4,703 prosecutions were disposed off and 46,958 prosecutions were pending as on 30.11.2017.

*******

## Annexure - A

## ANNEXURE REFERRED TO IN REPLY TO THE UNSTARRED QUESTION NO.4828 FOR ANSWER IN LOK SABHA ON 23.03.2018.

## LIST OF PRIVATE LIMITED COMPANIES AGAINST WHICH COMPLAINTS RECEIVED DURING THE LAST THREE YEARS:

| 2014-15                                                                                                                                                                                                                                                                                                                                                    | 2015-16                                                                                                                                                                                                                                                                                  | 2016-17                                                                                                                                                                                                                                                                   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 1) Achal Automobiles Pvt. Ltd. 2) Car Source India Pvt Ltd 3) Escalations Travel ware India Private Limited 4) KBC Multitrade Private Limited 5) Veronica Construction Private Limited 6) Starnet Breeding and Research Farms Private Limited 7) Staywell infoteh Private Limited 8) Gayathri Bricks Private Limited 9) Makhouse Infratech Private Limited | 1. Kapil Consultancy Services Pvt Ltd. 2. Kapil Foods Structure Pvt Ltd. 3. Kapil Chits (Kosta) Pvt. Ltd. 4. Kapil Infra Avenues Pvt. Ltd. 5. Hira retail (Hyderabad Pvt. Ltd) 6. New look Retails Private Limited 7. Tulip Global Private Limited 8. Preeya Homes Study Private Limited | 1 Vipachi Builders Developers Pvt. Ltd. 2. Royal Twinkle Stars Club Private Limited 3. Bulmen Marketing Private Limited 4. My Recharge Private Limited 5. Paynut digital Private Limited 6. Young Attitude Propcon Private Limited 7. Kuldeep Real Tradex Private Limited |

*******