regarding disso1ution of defunct companies as contained in Section 560 of the Act may be noted as follows:

regarding disso1ution of defunct companies as contained in Section 560 of the Act may be noted as follows:
1. Where the Registrar has reasonable cause to believe that a company is not carrying on its business or is not in operation, he may send a letter to the company enquiring whether it is carrying on its business or operation [Section 560(1)].
2. If the Registrar does not within one month of sending the letterreceive any answer thereto, he shall, within fourteen days after the expiry of the month, sent to the company by post a registered letter referring to the first letter and stating that no answer thereto has been received and that, if no reply is received within a period of further one month, the name of the company will be struck off the Register after publication of the notice in the Official Gazette [Section 560(2)].
3. If the Registrar either receives an answer from the company to the effect that it is not carrying on business or is not in operation, or does not within one month after sending the second letter receive any answer, he may publish in the Official Gazette and send to the company by registered post, a notice that, at the expiration of three months from the date of that notice, the name of the company, unless cause is shown to the contrary, be struck off the register and the company will be dissolved [Section 560(3)].
4. At the expiry of the period mentioned in the notice, and if cause to the contrary is not shown by the company, the Registrar shall strike the name of the company off the Register and publish a notice to that effect in the Official
Gazede. On the publication of this notice, the company shall stand dissolved.
Restoration of a Company's Name
Sub-section (5) of Section 560 provides for the restoration of a company's name previously struck off the Register. The sub-section reads:
If a company, or any member or creditor thereof, feels aggrieved by the company having been struck off the register, the Court, on an application made by the company, member or creditor before the expiry of twenty years from the publication in the Official Gazette of the notice, may order the name of the company to be restored. However, before making such an order of restoration, the Court shall satisfy itself that the company was carrying on business at the time of the striking off or it shall be just to restore the name of the company.
In Re, Portrafram Ltd. (1986) BCLC 533 (Ch.D), it was observed that before the
Court makes an order for restoration it must be satisfied that:
1. the applicant was a creditor or contributory at the time the company was
dissolved;
2. the company is solvent;
3. on the date of striking off, the company was carrying on business, or other
wise it is in the interest of jus~ce that the order of restoration should be made.
A person who acquires shares or debt of a company whose name has been struck off the register, and who has had knowledge of that fact at the time of the acquisition is not entitled to apply, as he is not a person aggrieved (Re, New Timbiqui Gold Mines Ltd., (1961) 1 All ER 865). The Court may also order that the company and all other persons affected by the striking off will be restored in the same position as nearly as may be as if the name of the company had not been struck off.