On March 30, 2020, MCA introduced the Companies Fresh Start Scheme, 2020 (‘CFSS’) which grants a one-time opportunity to defaulting companies to make delayed filings, with the ‘MCA21’ registry, without any penalty. The CFSS has come into force on April 1, 2020, and will remain in force until September 30, 2020. Some of the key provisions of the CFSS are:

i.     Every defaulting company will be granted immunity against the launch of prosecution or proceedings for the imposition of penalties pertaining to any delays in the filing of documents. However, this immunity does not extend to consequential proceedings, proceedings involving interests of shareholders or any other person qua a company or its directors and KMPs;

ii.     Companies are granted an additional 120 days to file appeals with the Regional Director, in matters relating to delays in making filings, and where the original limitation period for making such appeal expires between March 1 to May 31, 2020;

iii.     The CFSS requires companies to make an application (in e-Form CFSS-2020) for the grant of immunity in respect of documents filed under the CFSS, within timelines specified therein; and

iv.     The CFSS will not apply to companies: (a) against which an action for final notice for striking-off has already been initiated or where an application for striking off the name has been filed; (b) which have been amalgamated; (c) which have already filed an application for obtaining status as a ‘dormant company’; (d) which are vanishing; or (e) where charge related documents or any increase in authorized capital is involved.