Jarkiholi, Shettar's kin, Paes in barred companies list

Elite directors of shell firms banned for five years

Cutting across party lines, leading politicians, their families, industrialists and a star sportsman are among the prominent persons disqualified by the Ministry of Corporate Affairs (MCA) as directors of shell companies in Karnataka.

The list includes sitting Karnataka minister Ramesh Jarkiholi, who holds cooperation portfolio, leader of the Opposition and former chief minister Jagadish Shettar’s wife and sons, Tennis ace Leander Paes, former chief minister, the late J H Patel’s son Mahima Patel, noted industrialist Dinesh Sipani and several other businessmen. All these directors lose their position for a period of five years from the date of notification by the MCA.

According to MCA, as many as 21,798 directors from Karnataka have been disqualified under Section 164(2)(a) of the Companies Act, 2013 falling under the ambit of Registrar of Companies (RoC), Bangalore. According to the section, “Any person who is or has been a director of a company which has not filed financial statements or annual returns for any continuous period of three financial years stands disqualified.”

Among various other politicians, Ramesh Jarkiholi’s family members Lakkanna Jarkiholi, Lakshmanrao Jarkiholi, Bhimashi Jarkiholi and Suvarna Jarkiholi have been disqualified, for non-filing of returns by their company Shri Lakshmanrao Jarkiholi Sugars Limited. The company was incorporated on April 13, 2006 and its last Annual General Meeting (AGM) was held on June 21, 2010. Repeated attempts to elicit response from Jarkiholi did not yield any result.

Jolt to BJP

Also, in a major jolt to Opposition Bharatiya Janata Party, which is already battling corruption charges against B S Yeddyurappa, former chief minister, senior leader Shettar’s wife Shilpa Shettar, sons Sankalp and Prashanth Shettar have been disqualified for not filing annual return of their company Jagadish Sugars, which was incorporated on July 18, 2011.

Confirming the development, Shettar told DH, “As per my information, my family members had already intimated government officials that there is no transaction taking place in the company.”

Yet another former chief minister, the late Patel’s son Mahima Patel has also been disqualified by the MCA, for non-filing of returns by his company JH Patel Hotels India. Set up in February 2009, the company has not conducted its AGM as per data available with the MCA.

Tennis star and Olympic medalist, Leander Paes is also among the disqualified directors for non-filing of returns of two companies -- Oly Property Management Private Limited and Leander Sport Private Limited – in which he was a director. Set up on October 3, 2005, Leander Sport Private Limited hasn’t held its AGM since September 15, 2010, the MCA data revealed.

Arvind Jatti and Danappa Jatti, proprietors of well known automobile dealer Jatti Motors Pvt Ltd have also been barred. The company, that was incorporated in 1989, hasn’t held its AGM since September 29, 2009.

Another list soon

Noted industrialist and Managing Director of Sipani Energy, Dinesh Sipani, has also been disqualified due to his involvement as director of Longas Autogas India. Set up in 2009, the company has not filed its annual returns since September 2011.

The RoC is expected to release a further disqualified directors’ list under Section 164(2)(b)of the Companies Act, 2013. The bank accounts of all these companies have already been frozen by MCA.