Suprabhat Chouksey & others Vs. Union of India and Another

Madhya Pradesh High Court (Single Judge)

WRIT PETITION, 11258 of 2018, Judgment Date: Jul 19, 2018

Law laid down -

On striking off the name of the defaulting company on the ground of not filing the financial statement or annual returns for the statutory period as contemplated under Section 164(2) of the Companies Act, 2013, the directors of the defaulting company become ineligible for being reappointed as Director of that company or appointed as Director in other companies for 5 years and on incurring the said disqualification the office of the Director becomes vacant under Section 167 of the Act in all the companies other than the defaulting company. Hence, in such an eventuality the ROC is entitled to show the DIN status of directors of the defaulting company as disqualified under Section 164(2) and in that case DIN of such Directors gets eclipsed and cannot be used till the disqualification continues.

Suprabhat Chouksey & others Vs. Union of India and Another