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HC upholds RoC’s decision to include director in defaulters’ list; refers division bench for conflicting views

October 17, 2020[2020] 120 234 (Calcutta)

COMPANY LAW : Where defaulting company was in default in filing annual returns for continuous three financial years commencing from 1-4-2014 till 31-3-2017 and petitioner-director assailed action of Registrar of Companies in including petitioner in list of Directors of Companies who had defaulted in filing Annual Returns, it was held that petitioner stood disqualified to be a director by operation of provisions of Section 164(2)(a) for failure of defaulting company to file financial statements and annual returns for period from 1-4-2014 to 31-3-2017, his DIN stood cancelled immediately upon defaulting company failing to comply with Section 164(2)(a) of and decision of Registrar of Companies in placing petitioner in list of disqualified directors did not suffer from vice of breach of principles of natural justice, however, since there were conflicting views of Court on same issue, it would be appropriate to refer instant writ petition to Division Bench

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