BIS consultation on statement of capital and objecting to an RO address - summary of responses

Statement of capital

BIS consulted on this earlier in the year. Based on our own experiences as well as client feedback, Jordans submitted a response.
See this link to the consultation.

It appears that the main issue being addressed is in relation to the share premium. ICSA has been lobbying on this issue for some time. BIS' proposal is to simply state the total of the share premium rather than to attempt to try and allocate it per share which is particularly difficult for companies that have bought back, cancelled or consolidated shares.

Responses 

It seems likely to be some time in the next parliamentary year that this will be looked at.

Objecting to registered office address

In addition there was a consultation concerning objecting to an address being used as an RO address.

Summary of responses.

Please contact Legal Services for further information on this and other issues relating to the Companies Act.

Breaking News - Administrative Restoration 

Companies House have confirmed that the new procedure applies to all companies that have been struck off by the Registrar (under s652 1985 Act and s1000 and 1001 2006 Act) where the application to restore is made within 6 years from the date of strike off.

Jordans, sought clarification on this matter as this policy only recently came to light. Companies House website until now said that "Administrative Restoration can only be used where:

• the company was carrying on business / or in operation at the time of dissolution
• the company has been struck off under section 1000 or 1001 (power of registrar to strike off defunct company)
• the application is made within a period of 6 years after the date of dissolution, the application is made by a former director or former secretary of the
  company the Crown has signified consent (bona vacantia issue)
• the company has delivered all the necessary documents to bring the company up to date, i.e. all outstanding documents at the time of dissolution and
  any that have fallen due during the period of dissolution."

Companies House will be amending this information to make clear that it will apply to companies struck off by the Registrar under the 1985 Act as well. "This is good news for those clients with existing companies who wish to take advantage of this process. We are pleased that Companies House will act to clear up the confusion. Understandably those who thought this process was not open to them will be less pleased if they have already undertaken the court procedure." says Kathleen O'Reilly, our Head of Internal Legal Services.

For more information on this speak to Helen Goose 0117 918 1497