A warning letterWe may issue a warning letter to a company in breach of the Corporations Act:requesting the company to correct the default (such as lodge outstanding financial reports) andspecifying a time frame in which this must be done - usually 28 days.What happens if a company does not meet the requirements of a warning letter?We may issue a:Compliance notice (return of particulars), ORa notice under s1274(11) of the Corporations Act.A notice under s1274(11)We may issue a s1274(11) notice to a company in breach of its requirements under the Corporations Act:requesting the company to lodge a particular document that a company has failed to lodgerequiring the company to comply within 14 days after the date of service of the notice.What happens if a company does not meet the requirements of a s1274(11) notice?We may take further action by commencing court proceedings. If so we will:apply to the Court asking it to make an order to direct the company to lodge the outstanding document and pay costs, andserve a copy of the application on the company. So normally ASIC doesn’t de-register a business.
AB1 Price at posting:
18.0¢ Sentiment: Hold Disclosure: Held
