Section 375 of the Companies Act, 2013
Section 375 of the Companies Act, 2013 deals with:
"Power of Tribunal to wind up foreign companies, etc."
Full Title:
Section 375 – Winding up of unregistered companies
This section falls under Part II – Winding Up of Unregistered Companies (Chapter XX), and it outlines the circumstances under which the Tribunal can wind up unregistered companies, including foreign companies.
Key Provisions of Section 375:
An unregistered company may be wound up by the Tribunal under the following circumstances:
If the company is dissolved, or has ceased to carry on business, or is carrying on business only for winding up its affairs.
If the company is unable to pay its debts.
If the Tribunal is of the opinion that it is just and equitable that the company should be wound up.
Explanation:
For the purposes of this section:
The term "unregistered company" includes foreign companies.
However, it does not include a company registered under the Companies Act, 2013 or under any previous company law.
Important Notes:
Section 375 enables the Tribunal (NCLT) to wind up foreign companies operating in India or other unregistered entities.
The process and conditions are broadly similar to those for registered Indian companies, but tailored for non-registered entities.
RELATED Blog
0 comments