Lok Sabha Question No. 1002 (UNSTARRED), answered on 2017-07-21
Subject: Action on Shell Companies
Ministry: CORPORATE AFFAIRS
Asked by: PR. SENTHILNATHAN

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

LOK SABHA UNSTARRED QUESTION NO. 1002 ANSWERED ON FRIDAY, THE 21 ST  JULY, 2017 [ASHADHA 30, 1939 (SAKA)]

## ACTION ON SHELL COMPANIES QUESTION

1002. SHRI PR. SENTHIL NATHAN:

Will the Minister of CORPORATE AFFAIRS be pleased to state:

- (a) whether the Government has cancelled the registration of shell companies with no proper business or with fake addresses in the country;
- (b) if  so,  the number of such shell companies whose registration got removed, State/UT-wise;
- (c) whether  these  shell  companies  are  mostly  connected  with wholesale  trading  and  real  estate  business  and  are  used  for converting black money into white and the details thereof; and
- (d) whether  the  Government  is  taking  any  action  against  these companies  and  if  so,  the  details  thereof  and  if  not,  the  reasons therefor?

## ANSWER

THE MINISTER OF STATE IN THE           (SHRI ARJUN RAM MEGHWAL) MINISTRY OF CORPORATE AFFAIRS

(a) to (d): The term Shell Company  is  not defined under the Companies Act.  However, the Registrars of Companies (ROCs) have removed 1,62,618 companies  from the register of companies as of 12.07.2017 after following the due process under section 248 of the Companies Act, 2013 as detailed in Annexure-1 maintained by the Ministry as per the respective ROCs.

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## Annexure-I

## ANNEXURE REFERRED TO IN REPLY TO PART (a) to (d) OF THE UNSTARRED QUESTION NO. 1002 FOR ANSWER IN LOK SABHA ON 21.07.2017.

## Details of Companies Struck off, maintained by the Ministry, as per Registrar of Companies in different State/UT as of 12.07.2017

| Sl. No.   | Name of Registrar of Companies   | Number of companies struck off   |
|-----------|----------------------------------|----------------------------------|
| 01.       | Mumbai                           | 33000                            |
| 02.       | Delhi                            | 22863                            |
| 03.       | Bangalore                        | 11286                            |
| 04.       | Pune                             | 10083                            |
| 05.       | Bilaspur                         | 906                              |
| 06.       | Chandigarh                       | 4381                             |
| 07.       | Cuttack                          | 1824                             |
| 08.       | Goa                              | 1802                             |
| 09.       | Jammu                            | 679                              |
| 10.       | Ranchi                           | 641                              |
| 11.       | Puducherry                       | 405                              |
| 12.       | Shillong                         | 249                              |
| 13.       | Coimbatore                       | 3916                             |
| 14.       | Gwalior                          | 4655                             |
| 15.       | Jaipur                           | 5177                             |
| 16.       | Ahmedabad                        | 9625                             |
| 17.       | Bihar                            | 1543                             |
| 18.       | Ernakulum                        | 4063                             |
| 19.       | Himachal                         | 754                              |
| 20.       | Kanpur                           | 3236                             |
| 21.       | Uttara Khand                     | 731                              |
| 22.       | Kolkata                          | 8078                             |
| 23.       | Chennai                          | 12133                            |
| 24.       | Hyderabad                        | 20588                            |
| Total     |                                  | 1,62,618                         |

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