See reason why CAC is deregistering 94,581 companies

More than 94,000 companies risked being removed from the Corporate Affairs Commission (CAC) register, ValidViewNetwork has learnt.

The commission in a statement said on Monday, it has begun the process of removing the companies due to the noncompliance with the provisions of the Companies and Allied Matters Act of 2020.

CAC urged companies to check its website for affected companies.

About 94,581 firms are being prepared for removal, according to a public notice on the list of affected organisations obtained from the commission’s website.

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“The commission has commenced the process of striking off companies that have not complied with the provisions of the Companies and Allied Matters Act 2020 from the register in accordance with the requirements of the Act,” the statement reads.

“Names of the companies to be struck off have been published on the commission’s website. Companies and the general public are advised to check the website for the lists of the affected companies.

“The affected companies should note that any company that fails to comply with the provisions of the Act by taking steps to update its annual returns up to date within 30 days of publication on the commission’s website shall be struck off the register.”

The commission added that for a company to return to business after it has been struck out of the register, it must “first be restored to the register by an order of the federal high court”.

According to CAC, it would be “unlawful for any company struck off the register to carry on business”.

“This notice is pursuant to section 692 (3) and (4) of the Companies and Allied Matters Act 2020,” it added.