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No, the surplus will not be distributed amongst the members of the company. As per Section 8(9) of Companies Act, 2013, any asset remaining after satisfaction of the debts will be transferred to another company registered under Section 8 of the Companies Act, 2013 having similar objects, subject to such conditions as the NCLT may impose, or the same m...
Wazzeer Professional Network
ProfessionalMy company that I incorporated for charitable purposes is being wound down. If there is any surplus left after settling all debts of the company, will it be distributed amongst the members of the company? Please advise
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Wazzeer Professional Network
ProfessionalNo, the surplus will not be distributed amongst the members of the company. As per Section 8(9) of Companies Act, 2013, any asset remaining after satisfaction of the debts will be transferred to another company registered under Section 8 of the Companies Act, 2013 having similar objects, subject to such conditions as the NCLT may impose, or the same may be sold and proceeds thereof will be credited to the Insolvency and Bankruptcy Fund formed under Section 224 of the Insolvency and Bankruptcy Code, 2016.
about 3 years ago
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My company that I incorporated for charitable purposes is being wound down. If there is any surplus left after settling all debts of the company, will it be distributed amongst the members of the company? Please advise
-
Wazzeer Professional Network
ProfessionalNo, the surplus will not be distributed amongst the members of the company. As per Section 8(9) of Companies Act, 2013, any asset remaining after satisfaction of the debts will be transferred to another company registered under Section 8 of the Companies Act, 2013 having similar objects, subject to such conditions as the NCLT may impose, or the same may be sold and proceeds thereof will be credited to the Insolvency and Bankruptcy Fund formed under Section 224 of the Insolvency and Bankruptcy Code, 2016.
about 3 years ago
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