Strike Off Company Services in Malaysia
Package Fees for Company Strike Off Service
subjected to 6% Service Tax
|Company Strike Off under Section 308 (1) @
Striking-off process is a process in which the Registrar’s exercises his discretionary power to strike the name of a defunct company off the register if the Registrar has reasonable cause to believe that:
- the company is not in operation or is not carrying under Section 308 (1) on business as of the Companies Act (CA) 1965;
- The company has been wound up but no liquidator is acting under Section 308 (3)(a) of the CA 1965;
- the liquidator’s failed to lodge any return and the Liquidator’s Account of the wound up within the stipulated period as required by the law under Section 308 (3)(b) of the CA 1965; or
- the company has no asset or insufficient funds to pay the costs of obtaining an order from the Court to dissolve the company under Section 308 (3)(c) of the CA 1965
Requirements for Striking-Off a Company under Section 308 (1)
We provide professional services in the closing (or strike off) of local companies under Section 308(10), working with the (Companies Commission of Malaysia) SSM and other relevant government agencies.
SSM will striking off a company off the register only if the company meets the following requirements:
- The directors must obtain the resolution of the shareholders for the initiation of the application to strike off the name of the company from the register on the basis that the company is not carrying on business or the company is not in operationThe resolution must be enclosed together with the application to reflect the consent of the majority shareholders in respect of the striking off application.Where a director or shareholder is untraceable – The remaining director or the shareholder concerned may still submit an application for striking off provided the remaining director or shareholder concerned must have made attempts to trace the where about of the other directors or shareholders by writing to him at the residential address as stated in the Registrar’s records or any other records. These attempts must be made by way of registered post. Where the notification from the postal agency is being relied on as proof, this should be submitted as an attachment to the application. Proof of any other modes of attempt (if any) must also be attached to the application.
- The company has no assets and liabilities at the time when the application is made The Registrar will examine the management accounts certified as true and correct by a Director. However, the Registrar reserves the right to require the applicant to submit audited financial statements.If the company has not commenced operation, the applicant must inform the Registrar -the company was incorporated on (date) and there has been no transaction since then; and/or the company has not opened a bank account or if there is an account, the latest bank statement is to be attached and to inform SSM about the closure of the account.
- The company has no outstanding charges in the Register of ChargesIn respect of charges, the applicant must ensure that the company has no outstanding charges in the Register of Charges kept at the Registrar of Companies.
- The company has no outstanding penalties or offer of compounds under the Companies Act 1965The company must ensure that all such liabilities are settled before an application for striking off is made.
- The company has no outstanding tax or other liabilities with any government department or agencyWhere a company has commenced operation, it must settle all outstanding tax and obtain a tax clearance prior to the filing of the application for striking off.
- The information of the company with the Registrar is up to dateThe particulars of directors of the company and any other information as the Registrar deems fit must be the same as in our records. If there are any differences or changes in respect of the information of the directors of the company, the company must first ensure that the Registrar’s records are updated before an application for striking off is made. (Applicant may check the records by getting a print-out from the nearest SSM office or through e-info service).
- The company is not involved in any legal proceeding within or outside MalaysiaThe company should not make any application for striking off if it is aware that there is an impending court action against it so as not to deprive others, who have initiated court action against the company, from proceeding with the court action.
- The company has not made any return of capital to the shareholdersThe right procedure for any return of capital to the shareholders should be through the process of winding up or capital reduction exercise or any scheme of arrangement or reconstruction exercise.
- The company is not a holding company or a subsidiary of another corporate bodyThe duty lies on the holding company to take necessary steps to wind-up its subsidiary company.
- The company is not a “Guarantor Corporation”A “Guarantor Corporation” means a corporation that has guaranteed or has agreed to guarantee the repayment of any money received or to be received by any third party.Read more about Closing Down A Company – Strike Off or Wind UpThe Strike Off process may be completed within 6-12 months subject to the approval from SSM Malaysia.For further details on strike off, please refer to SSM Official Portal – Striking-Off Process