Rs 24,000 Crore Deposited By 73,000 Deregistered Companies Post Demonetization, Says Report

At least 73,000 deregistered companies deposited Rs 24,000 crore in bank accounts after demonetisation that was announced on 8 November 2016, Times of India has reported citing data released by the government.

According to the report, the data shows that 1.68 lakh out of 2.26 lakh companies which have been deregistered had deposited cash into their bank accounts after the announcement of demonetisation of high-value currency notes.

The Ministry of Corporate Affairs had cancelled the registration of 2.26 lakh companies that had not been carrying out business activities for long suspected they were being used for illegal fund flows, the daily’s report says.

The Companies Act gives the government the power to strike off names of firms from the register on various grounds.

"Out of this, 73,000 companies deposited Rs 24,000 crore. Details of companies from various banks is under process," the report quoted the ministry as saying.

According to a document detailing the ministry's achievements in the last four years, 68 companies are under the scanner. While the Serious Fraud Investigation Office is looking into the working of 19 companies, the Registrars of Companies are investigating 49 firms.