In 2016, the Companies (Amendment) Act 2014 were implemented to give ACRA the power to strike off a company if there is reasonable cause to believe that a company is not carrying on business or is not in operation. For example, the failure to file with ACRA the ARs for consecutive years.
ACRA will also disqualify a director with at least 3 companies struck off by ACRA within a period of 5 years. Once disqualified, an individual will not be allowed to be a company director or take part in the management of any local or foreign company for five years, commencing on the date on which the third company is struck off. A disqualified director cannot take on any new appointment as a director, or be in any way directly or indirectly concerned or take part in the management of a company. For the avoidance of doubt, the striking off of the three companies refers to striking off initiated by the Registrar and does not include voluntary applications for striking off
In 2016, a debarment regime was introduced to empower the Registrar to debar any director or company secretary who is in default of a relevant requirement in the Companies Act, including failure to lodge any documents, for a continuous period of 3 months or more. A debarred person cannot take on any new appointment as a director or company secretary of other companies
Making Representation to ACRA
If a director would like to make representations to ACRA to review the summonses issued against him (for e.g. to reduce the number of charges), ACRA will require time to review these representations and such representations are rarely acceded to.
To make a representation to ACRA, please retrieve a Representation Form (PDF, 301KB) and provide the basis for the representation. Please also attach supporting documents (if any) to support the basis.
Once the Representation Form has been completed, please send it to ACRA [Attention: Enforcement Department (Enforcement)] via:
- Email at: firstname.lastname@example.org; or
- Post to: 10 Anson Road, #05-01, International Plaza, Singapore 079903
We may take up to 8 weeks to respond if the case is complex in nature.
To check on the status of the representation, please email to email@example.com
Seeing a Compliance Manager
If a person wishes to see a compliance manager to discuss his case, he would need to make an appointment with his compliance manager so that an appropriate date and time is set aside for the compliance manager to meet up with him.
The person would be required to complete a Representation Form (PDF, 300KB) and send it to us (please refer to paragraphs 17 to 21 above). This is to enable the compliance manager to first assess if the case can be dealt with either through a telephone conversation or a written reply without the need for a physical meeting.
If the person does not provide sufficient information, basis or supporting documents in the Representation Form, the compliance manager would need to spend time to contact the person to obtain more information and this will lead to further delay in reviewing the case.
If an appointment is necessary, the compliance manager will contact the person by phone or via email to inform him of the appointment date and time.
IMPORTANT POINTS TO NOTE
Companies are statutorily required to hold an AGM (unless the company has dispensed with or is exempted from holding AGM) and lodge an AR within the stipulated timeframes.
The company and its directors should endeavour to hold the company’s AGM, if applicable, and lodge the AR within the stipulated timeframes to avoid facing enforcement action from ACRA.
In addition, company directors are to ensure that the particulars of the company (e.g. registered office address) and its officers are kept up to date.