Companies continue to face technical challenges in using the ministry of corporate affairs’ (MCA) upgraded Version 3 portal for corporate filings, despite the government’s efforts to address such problems.
According to sources, industry associations may seek physical filings of more forms until the portal is fully functional. As of now, such a special dispensation for filing in physical mode has been given for eight forms.
The sources said that the improvement on the portal has been very slow and most issues remain unresolved, even though a high-level panel is understood to be reviewing the issue.
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A number of users have also taken to social media and have submitted their complaints to the specially set-up help desk of the MCA.
Sumit Maheshwari, partner, Ashok Maheshwary & Associates, a chartered accountant firm, said, “Subsequent to the transition, a lot of teething issues are being encountered by the stakeholders across India, causing delays in filings of various forms. While the filings are delayed, the failure to generate OTPs to create a login and conduct KYC’s, especially for overseas and foreign directors, has been difficult. Forms flash multiple errors as the website is undeveloped and under the correction phase.”
Ankit Singhi, head corporate affairs & compliances, Corporate Professionals, said the ministry should relax additional fees for all filings during the January-March quarter. “The V3 of the MCA portal is definitely putting up lot of challenges for both professionals and India Inc. While the MCA appears to be seriously looking into the issues, I think a lot more is required,” he said.
Users are understood to be facing several glitches such as those relating to filing incorporation forms even after approval of name (Spice Part A) and registering digital signatures of directors, due to which forms are not being filed. Even after registering digital signatures, the system does not show it as registered.
Further, the director information number (DIN) and DIN allotment letter are not being received even after approval of Form DIR-3 (for DIN). After approval of forms, the master data takes a lot of time to reflect the change.
Another problem users are facing is that while the name or incorporation form gets approved, the approval letter or certificate of information is not being received even after a period of 30 days. There are also delays in receiving one-time passwords.
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The MCA had shifted 56 corporate filing forms on its upgraded V3 portal by January this year. However, with many users facing glitches, Union finance & corporate affairs minister Nirmala Sitharaman had asked the ministry to form a special team to address public grievances on priority and monitor the problems on a daily basis. The ministry has also been working with the Institute of Company Secretaries of India, the Institute of Chartered Accountants of India, as well as technology company LTI Mindtree, which is the developer of the new portal, and consultants EY India and National Institute of Smart Governance, to resolve the matter expeditiously.
As a relief to users, the MCA has permitted physical filing of eight company forms till March 31, 2023 and has also extended the time for the 45 recently launched forms, as well as PAS-03 to March 31, without payment of additional fees.