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Deregistered companies don't want to claim their assets worth Rs 37,500 crore

The development reinforces the government’s belief that most of the companies struck off the company registry were likely paper companies used for activities such as money laundering.

March 26, 2018 / 16:13 IST
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Tarun Sharma Moneycontrol News

Even as the country grapples with the fleeing on Nirav Modi who is accused of swindling banks of nearly Rs 13,000 crore,  more than triple that amount is lying in banks unclaimed.

A majority of corporate entities that were struck off the government’s companies roster following demonetisation have not come back to claim their bank deposits, which are to the tune of Rs 37,500 crore, an official in the Ministry of Corporate Affairs told Moneycontrol on condition of anonymity.

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The development reinforces the government’s belief that most of the companies struck off the company registry were likely paper companies used for activities such as money laundering.

Under Section 248 of the Companies Act, about 2.97 lakh were deregistered by the government in a drive to weed out defunct companies on various grounds of compliance. The MCA asked companies to comply with norms in order for their status to be restored to active – and said until such time, they would not be able to access their deposits.