Changes in the verification of office address, the government issued its new rule
At the time of physical verification, the Registrar of Companies can verify the documents which were submitted at the time of registration. Cross verification of documents will be done to find out right or wrong.
The government has changed the rules for physical verification of office addresses. The government has issued a new rule for the physical verification of the registered office address of a company. According to the new rule, at the time the company's office address is physically verified, it will be necessary to have witnesses in the office. The presence of witnesses will have two advantages. First, if the officers of the authority act arbitrarily, then there will be evidence against them. Second, by having a third party as a witness in the verification, transparency will be brought in the entire work.
According to the Companies Act, 2013, the Registrar of Companies can do a physical verification of the registered office of a company if he finds that business is not being done properly at the given address. Under this Act, the rule of physical verification has also been included. It will be necessary to have two witnesses at the time of physical verification at the address given by the registered company. These witnesses should be from the same area where the registered office of the company is running. The Ministry of Corporate Affairs has said that the Registrar, if required, can take the help of the local police at the time of physical verification.
This will be the physical verification
At the time of physical verification, the Registrar of Companies can verify the documents which were submitted at the time of registration. Cross verification of documents will be done to find out right or wrong. Address proof should be the same as given at the time of registration, in whose name the property is, if it is on rent, then full details of its rent will have to be given. At the time of physical verification, the registrar will take the photograph of the registered office of the company. Once the physical verification is completed, a detail report will be prepared with the rest of the information including location and photograph.
Preparing to curb corruption
This new step of the government will bring transparency in the working of the company. The name and work by which companies register themselves, for the same purpose, the work should be done at the registered office address. The Ministry of Corporate Affairs enforces the rules so that there is no malpractice or rigging in this. The new rule of physical verification is a new attempt to prevent irregularities. This will also end the arbitrariness of the officials and curb corruption. At the time of verification, two witnesses will be present who can later testify on any disturbances. With this the theft of the officer will be caught. Along with this, steps like verification of papers and taking photographs on the spot will also help to see the cleanliness in the work of physical verification.