Rajasthan govt puts 14,000 shell cos under scanner

Struck off by the Ministry of Corporate Affairs, thousands of shell companies registered in Rajasthan have now come under the state government scanner. The state industries department has on Thursday written to all district collectors and several departments to identify assets of these companies in the next 15 days.

"More than 14,000 companies registered in Rajasthan are among the 2,24,734 listed as suspicious by the central ministry. The industry department is a nodal agency that has now initiated action against these at the state-level," said Rajpal Singh Shekhawat, Rajasthan industries minister.

To be struck off, these companies have been dormant for nearly two years or have registered suspicious transactions since demonetization.

After the central ministry action, which had extended restrictions on their bank accounts, the responsibility to prevent sale of their immovable properties and other assets is to be ensured by respective state government.

Industry department of the state, as nodal agency, has now written to departments of transport, revenue, tourism and other concerned departments to ensure that no vehicle, land or asset gets disposed.

In addition to the companies registered at state, such companies based in other states could also have held assets in Rajasthan.

"However, the state agencies have to remain aware of the dubious operations of many of these companies. Also the department is yet to decide on action against the operation of 'suspicious board directors' of these companies," he said.

The central ministry, while cancelling registration of these companies, also disqualified over three lakh board directors for irregularities in financial statements.

On the radar

To be struck off, these companies have been dormant for nearly two years or  have registered suspicious transactions since demonetisation