Corporate Affairs Commission to Strike Off 100,000 Companies for Failing to File Annual Returns

In a recent development aimed at streamlining corporate compliance and curbing financial misconduct, the Corporate Affairs Commission (CAC) has announced its intention to strike off 100,000 companies that have failed to file their annual returns over the past decade.

Speaking at a training workshop on the use of the Beneficial Ownership Register (BOR) in Lagos, CAC’s Registrar-General/CEO, Alhaji Garba Abubakar, said that notices of striking off would be sent to the affected companies as per section 692 of the CAMA 2020, before embarking on action.He however noted that the companies can be relisted upon the payment of outstanding debts and an order of a court, as provided by law.

Alhaji Abubakar highlighted the importance of timely payment of annual returns to avoid being struck off and advised companies to prioritize compliance to maintain their active status.

The CAC has developed Africa’s first BOR with World Bank support and assistance, to curb corruption, money laundering, and terrorism financing.

Abubakar urged stakeholders, including civil society organizations, legal practitioners, and journalists to utilize the BOR in discharging their responsibilities. The workshop also featured presentations from the Special Control Unit against Money Laundering (SCUML), the Nigeria Financial Intelligence Unit (NFIU), and the Securities and Exchange Commission (SEC).

This significant move by the Corporate Affairs Commission represents a crucial step towards promoting corporate accountability and ensuring a transparent business environment in Nigeria.

Author: Olaife Ilori