CAC issues 90-day ultimatum to over 91,000 dormant companies

The Corporate Affairs Commission (CAC) has announced a 90-day grace period for more than 91,000 dormant companies to file their outstanding annual returns or face being delisted from its register.

These companies have not filed annual returns for the past ten years, according to a statement published on the CAC website on Wednesday.

The statement, titled “NOTICE OF INTENTION TO STRIKE OFF COMPANIES FROM THE REGISTER,” emphasized the importance of annual returns for registered companies and NGOs. According to Section 692 (3) (4) of the Companies and Allied Matters Act No. 3 of 2020 (CAMA), the CAC is mandated to remove defunct companies from the Register of Companies.

“This is to inform the General Public that the Commission, pursuant to its powers contained in Section 692 (3) (4) of the Companies and Allied Matters Act No. 3 of 2020, intends to strike off from the Register names of defunct or dormant companies that have not filed Annual Returns for a period of 10 years,” the statement read.

READ ALSO: CAC extends registration deadline for PoS operators

Affected companies are urged to file their annual returns within 90 days from the date of the publication and email proof of compliance to [email protected] to avoid delisting. The CAC provided a full list of companies at risk on its website, www.cac.gov.ng.

The CAC also warned that it is illegal to conduct business under the name of a delisted company, as such companies are considered dissolved.

Eight months ago, Nairametrics reported that the CAC planned to delist 91,843 companies for failing to file annual returns. In an update on December 5, 2023, the CAC reiterated its position:

“Further to its earlier notice of the commencement of striking off the names of Companies from the Register of Companies and published on August 2, 2023, the Commission hereby notifies the General Public that the list of Companies that have failed to comply with the provisions of the Companies and Allied Matters Act 2020, to file up-to-date annual returns is now ready for publication in accordance with the provisions of Section 692 of the Act.”

Companies that have filed complete annual returns in response to the earlier notice are advised to confirm their removal from the list. The updated list for publication is available on the CAC website.

Advertisement

Additionally, the CAC clarified that businesses that have filed their annual returns but are still on the list should email [email protected] within 30 days with proof of their filings. A company removed from the register cannot conduct business unless a Federal High Court orders its name to be reinstated.