MCA Registered Office Physical Verification

Registered Office is the primary location for the authorities to make any kind of correspondence. In the past times, it has been found that there have been instances where following malpractices have taken place at time of incorporation of Companies:

Physical verification of Registered Office

1. A fictious address has been provided at the time of incorporation;
2. Falsified documents being attached as proof of address
3. Books and papers not being maintained at registered office of the company as per the requirement of legal provisions.

Power to cause physical verification at registered office address of Company

To curb such malpractices Ministry of Corporate Affairs introduced a rule 25B in the Companies (Incorporation)Rules, 2014 through Companies (Incorporation) Third Amendment Rules, 2022

Powers with ROC pursuant to rule 25B of Companies (Incorporation) Rules, 2014

1. ROC shall be accompanied by at least two independent witnesses of locality in which registered office is situated

2. Power to seek assistance of Local Police: The ROC on its discretion may take assistance from the local police.

3. Power to serve notice under section 248 of Companies Act, 2013 to directors, proposing striking off the name of companies from register of companies: Such a notice would be served by ROC where he believes that registered office address is not in a position of receiving acknowledging all communication and notices.

CIRCUMSTANCES UNDER WHICH PHYSICAL VERIFICATION OF REGISTERED OFFICE CAN BE DONE BY ROC

1. SUO-Moto
2. roc received any compliant
3. Notice/ Letter or any other document returned back
4. Non-Filing of E-form INC-22 i.e. intimation of Registered office of the Company
5. Non-Filing of E-form INC-20A i.e. Commencement of Business
6. Any other reason/cause which ROC deems fit

PENALTY FOR NON MAINTENANCE OF REGISTERED OFFICE

Penalty of 3 Lacs levied for Non Maintenance of Registered Office (non receipt of document by Company sent by Department)

So, if your Company is not having proper registered office or board outside the office then please do it immediately.