2023 MAY 18
Economic Development > Indian Economy and Issues > Corporate Governance
Why in news?
- The Ministry of Corporate Affairs (MCA) has established the Centre for Processing Accelerated Corporate Exit (C-PACE) to centralize the process of striking off companies from the MCA Register.
- C-PACE has been set up to ensure a clean registry, provides hassle-free filing and timely, process-bound striking off of company names from the Register.
- It operates through the Registrar of Companies (RoC) and is part of MCA’s efforts to improve the Ease of Doing Business and facilitate company exits.
- It is located at Indian Institute of Corporate Affairs in Gurgaon.
- Section 248 of the Companies Act, 2013 provides for the removal of the name of the company from the RoC, if it is not carrying on any business or operation for a period of two immediately preceding financial years and has not made any application within the said period for obtaining the status of a dormant company under Section 455.
C-PACE, recently launched by the government aims for:
(a) Centralizing the strike off process of companies
(b) Integrating land database all over India
(c) Centralized certification for medical equipment
(d) Standardizing procedure for providing grants to universities