Companies witnessing zero business to experience closure
Image Credit: PXhere
Making use of the provisions of Section 248 of Companies Act, the ministry of corporate affairs decided to close those companies which have witnessed zero business in the past two years. These companies are referred to as 'shell companies'. The director of these companies will be given a notice and asked for a response within next 30 days. The govt. is allowed to remove names of such companies through this provision.