look news india
Ahmedabad: While India is moving ahead with good relations with America and Western countries to become a global superpower, on the other hand it is also committed to defeat India's arch rival China in every field. The Indian government is preparing for another surgical strike on China. According to the report, India can cancel the recognition of 400 Chinese companies in 3 months. The Ministry of Corporate Affairs under the aegis of the Central Government can cancel the registration of 400 Chinese companies registered in 17 states of the country in the next three months. The ministry can take this action due to financial fraud and some other reasons.
A government official said that the Ministry of Corporate Affairs is investigating 700 companies. Out of these, 600 Chinese companies have already been investigated. Registration of 300-400 companies will be cancelled. Most of the companies standing on the verge of closure of Khambati lock are companies from loan app, online job etc. segment.
MCA has been investigating this type of loan applications in the country for the last few years. There have been many complaints of using unfair means to provide loans through this app and cheating the public by violating financial rules.
In recent years, the increasing number of digital loan apps has increased the concern of governments including RBI and most of these apps are linked to Chinese companies.
These companies are accused of charging stiff fees, charging very high interest rates and engaging in unethical activities. Apart from this, there are also allegations of illegal fund transfer from India to other countries. The directors of many companies are Indians, while the bank accounts are operated from China.
Under Section 248 of the Companies Act, the process of closing down a business takes 3 months. These companies will first be sent a notice and asked for a response. A second notice will be sent after a month. If there is no response to both the notices, the company's registration will be cancelled. The official said that the 300-400 companies likely to face this action are currently present in 17 states of the country, most of which are located in Delhi, Bengaluru, Uttar Pradesh, Andhra Pradesh, Mumbai, Chennai etc.