Winding up the Company

Eligibility for Winding up:
The book value of assets of the company upto INR 1 crore; and
– Anyone of the below conditions based on the latest audited balance sheet:
1. Company has taken deposits, the total outstanding deposits do not exceed Rs 25 lakh or
2. Company has outstanding loans(including secured) loan does not exceed Rs 50 lakh; or
3. The paid-up share capital of the company does not exceed Rs 1 crore; or
4.The turnover of the company is up to Rs 50 crore.

Procedure of Summary Winding up:

1. Hold Board Meeting to discuss and decide for winding up 
2. Convene EGM for passing resolution
4. File Special Resolution in MGT-14 within 30 days
5. Apply to RD then RD shall appoint Official liquidator
6. The OL shall maintain registers and books of accounts in the manner provided in rules 79 and 80.
7. For purpose of filing and audit of the OL’s account the procedure laid down in the preceding rules 91 to 99 shall be followed by modification that wherever the word Tribunal is mentioned it shall be read as Central Government.
8. For Disposing assets also in the rules (165 to 167) Tribunal shall be read as Central Government.
9. The monies received by the Official Liquidator as referred to in section 349 shall be paid by him into the public account of India in the Reserve Bank of India as mentioned in that section not later than the next working day of the said Bank.
10. For the proving of claims the Tribunal in the rules (100 to 125) shall be read as Central Government.
11. In the absence of any rules under this Part, on any subject for conduct of liquidation proceeding by the Official Liquidator, the relevant rules in the other Parts of these rules shall be followed with necessary modifications as directed by the Central Government.
# Powers are delegated to Regional Directors at Mumbai, Kolkata, Chennai, New Delhi, Ahmedabad, Hyderabad and Shilong.