The possession of immovable property by the Company cannot be a ground to state that the Company has been active and carrying on business nor can be a valid ground to invoke the ‘just’ ground as envisaged under Section 252(3) of the Companies Act, 2013, unless the object of the Company pertains to the same – Sivagnanagovindasamy Nambi Vs. The Registrar of Companies – NCLT Chennai Bench
NCLT holds that filing of income tax return will not establish that the company is in operation, as this is primary/statutory responsibility to file the income tax return. It also holds that since the Applicant Company is required to show that the subject Company was active and carrying on business immediately two years preceding the date of strike off. The possession of immovable property by the Company cannot be a ground to state that the Company has been active and carrying on business nor can be a valid ground to invoke the ‘just’ ground as envisaged under Section 252(3) of the Companies Act, 2013, unless the object of the Company pertains to the same.