Govt bets on artificial intelligence, data analytics to weed out shell cos

Continuing efforts to have a robust corporate governance system and ensure high level of compliance, the ministry is also in the process of having an advanced MCA 21 portal. The portal is used for submission of requisite filings under the companies law and is also a repository of data on corporates in the country. Corporate Affairs Secretary Injeti Srinivas told PTI that once the third version of MCA 21 becomes fully operational, the portal would make it "almost impossible for a shell company to survive." Generally, shell companies are those which are not complying with regulations and many such entities are allegedly used for money laundering and other illegal activities. Noting that the third version of the portal might be fully operational in a year from now, the secretary said the ecosystem would have zero tolerance for non-compliance.