Gujarat tops the list of vanishing firms, said corporate affairs minister Arun Jaitley in Lok Sabha. While Odisha and Punjab have least number of ‘vanishing’ or ‘fly by night’ firms with one each, Gujarat has 17 such firms.
“Companies which after raising funds through public issues fail to file documents and balance sheets and become untraceable are called vanishing companies,” said Jaitley. Andra Pradesh (13), Tamil Nadu (10) and Maharastra (9) hold second, third and fourth spots, respectively.
Jaitley said 78 companies are categorised as ‘vanishing’ with a total Rs 310.21 crore of untraceable public money. FIRs have been lodged against these firms and “a coordinating and monitoring committee” is already in place “to identify and monitor” their activities, he said.
