Section 460 of the Companies Act, 2013
Section 460 of the Companies Act, 2013 empowers the Central Government to condone certain delays by companies or individuals in complying with procedural requirements of the Act.
🧾 Text of Section 460: Condonation of delay in certain cases
The Central Government may, in such manner as may be prescribed, condone the delay in:
(a) Filing any application to the Central Government under this Act; or
(b) Filing any document with the Registrar,
where such delay is due to any accidental or inadvertent omission or some other sufficient cause, and the company or person has acted in good faith.
✅ Key Highlights:
Applies To:
Applications required to be filed with the Central Government
Documents required to be filed with the Registrar of Companies (ROC)
Conditions for Condonation:
Delay must be due to accidental, inadvertent omission, or sufficient cause
The company or person must have acted in good faith
Discretionary Power:
The Central Government has the discretion to accept or reject the condonation request.
Relief Mechanism:
Helps companies avoid penalties or prosecution due to minor delays in procedural compliance.
🧑⚖️ Practical Example:
If a company fails to file a required form (like Form MGT-14 or Form INC-28) within the prescribed time due to an unintentional mistake, it can apply under Section 460 for condonation of delay, and upon approval, avoid penalties.
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