Annual returns: CAC says de-registration a continuous process

Corporate Affairs Commission (CAC) on Tuesday in Abuja said that de-listing of companies for failure to file their annual returns is an ongoing process.
Mr Moses Adaguusu, Head Public Affairs, CAC, said that there was no need leaving companies that are not complying on the register.
He said that in 2008, the number of companies de-registered stood at 10,000 while in 2016, 38,000 companies were also de-registered.
“So, it is a continuous process and there will be no need to leave companies that are not complying on the register,’’ Adaguusu.
Adaguusu urged companies operating in the country to voluntarily file in their annual returns as provided by the law.
He pointed out that filing of annual returns by companies would keep the commission abreast that such companies were still in operation or otherwise.
“An annual return is a mandatory requirement every enterprise or incorporated trustees must file annually by delivering to CAC a return in the prescribed form containing specified matters related to the organisation in accordance with Companies and Allied Matters Act (CAMA).
“A very vital importance is that filing of the annual return by a company helps to simply keep the commission abreast that such company is still actively in operation and still engaging in business activities or otherwise,’’ Adaguusu said.
While emphasising that the Enforcement and Monitoring Department of the Commission would intensify efforts to ensure compliance, Adaguusu said that the approach would not be aggressive.
According to him, although, we go out on enforcement, we are not going like task force because the economy is difficult.
“We want companies to embrace voluntary compliance so that there won’t be penalties.
“Penalties run into millions of naira and that is enough to close a company,’’ he said.