ASIC has today released an updated regulatory guide on company reinstatements to simplify and improve the process, with new information to clarify existing guidance.
Regulatory Guide 83, Reinstatement of companies (RG 83) outlines if and when ASIC may reinstate a company's registration under section 601AH(1), and how to apply to a court to reinstate a company's registration under section 601AH(2) of the Corporations Act 2001.
The guide has been updated to reflect minor developments in the law relating to reinstatements and changes to ASIC's policies, management and administration of reinstatement applications. The guide also takes into account the introduction of the ASIC Supervisory Cost Recovery Levy.
RG 83 clarifies the circumstances in which a third party may apply to ASIC for reinstatement of a company. This will assist third parties currently making reinstatement applications to the court in instances where administrative reinstatement is more appropriate.
ASIC will not ordinarily reinstate a company where, upon reinstatement, the company would not have a director to manage the company's business. ASIC is aware of instances of former directors being unaware (and making complaints to ASIC) that a reinstatement application had been made. RG 83 requires an application to include evidence that directors of the company at the time of its deregistration have been notified about the reinstatement application.
The updated RG 83 provides additional information about what supporting documentation should be provided with an application. The amendments aim to reduce the confusion and time spent by applicants in preparing and submitting an application as well as reducing ASIC's processing time.