The Corporate Affairs Commission (CAC) has published another batch of companies at risk of being struck off the Register of Companies for non-compliance with their statutory obligations.
With approximately 100,000 companies reportedly affected in Batch 6, businesses listed in the exercise should not ignore the notice. Being listed does not necessarily mean that a company has already been struck off, but it is a clear indication that action is required within the applicable period.
What Does the CAC Strike-Off Exercise Mean?
The CAC’s strike-off exercise is aimed at removing companies that have failed to comply with their statutory obligations from the Register of Companies.
Companies may be affected where they have outstanding annual returns or other unresolved compliance requirements, including issues relating to their Persons with Significant Control (PSC) or beneficial ownership information.
For an affected company, this is an opportunity to regularise its records before the strike-off process is completed.
What Should an Affected Company Do?
If your company appears on the CAC Batch 6 list, the first step is to confirm its status and identify the specific compliance issues that need to be addressed.
Depending on the company’s circumstances, this may include:
* Filing outstanding annual returns;
* Updating PSC or beneficial ownership information;
* Reviewing and regularising company records;
* Resolving outstanding compliance issues with the CAC; and
* Obtaining and retaining evidence of the steps taken to regularise the company.
The appropriate steps will depend on the company’s individual circumstances. A company should therefore avoid assuming that filing one outstanding document will automatically resolve every issue.
Why Should You Act Early?
Waiting until the deadline can create unnecessary pressure.
Where a company has multiple outstanding obligations, the regularisation process may require gathering corporate documents, reviewing previous filings, making the necessary filings and addressing issues that may arise during the process.
Acting early gives the company more time to identify its outstanding obligations, provide the necessary information and address any issues that may arise during the regularisation process.
It also reduces the risk of leaving compliance matters until the final days of the CAC’s timeline.
What Happens If You Ignore the Notice?
Failure to take the necessary steps within the applicable period may result in the company being struck off the Register of Companies.
For businesses that are still operating, this can create significant practical and legal complications.
Rather than waiting until the final stage of the process, affected companies should review their status and take the necessary steps to regularise their records as soon as possible.
How Can We Help?
At Syntax Legal Practitioners, we can assist affected companies with reviewing their CAC status and identifying the steps required to regularise their records.
Our support may include:
* CAC compliance reviews;
* Filing of outstanding annual returns;
* PSC and beneficial ownership updates;
* Regularisation of company records;
* Assistance with outstanding CAC compliance requirements; and
* Ongoing corporate and company secretarial compliance support.
The first step is to understand what is outstanding and what needs to be done.
Is Your Company on the CAC Batch 6 List?
If your company has been included in the CAC Batch 6 strike-off exercise, you do not have to wait until the deadline before taking action.
Contact us at office@syntaxlaw.com for a review of your company’s position and guidance on the appropriate steps to regularize your records.
You can also complete our CAC enquiry form here to request further guidance: