NCLT Chandigarh Admits RoC Plea To Wind Up Siraj-Ul-Uloom Welfare Foundation

The Chandigarh Bench of the National Company Law Tribunal (NCLT) on 11 June admitted a petition filed by the Registrar of Companies (RoC), Jammu & Kashmir and Ladakh, seeking winding up of Siraj-Ul-Uloom Welfare Foundation under Section 271(b) of the Companies Act, 2013.

Judicial Member Khetrabasi Biswal and Technical Member Shishir Agarwal observed:

“..we are prima facie satisfied that the Respondent Company has been used as a vehicle for activities prejudicial to the sovereignty, security, and integrity of India.

On the basis of the entirety of the material available on record, we are prima facie satisfied that a case under Section 271(b) of the Act is made out against the Respondent Company”

The company incorporated on 18 April 2025 as a Section 8 entity with objectives of education and social welfare. A CID Jammu & Kashmir report dated 6 March 2026 flagged its activities as fraudulent and prejudicial to national security. The Ministry of Corporate Affairs thereafter directed the initiation of winding-up proceedings and ordered freezing of assets of the directors and key managerial personnel.

The RoC issued a show-cause notice on 25 March 2026 alleging secessionist and anti-national activities. The company filed a reply on 6 April 2026, but it referred to a different entity, “Jamia Siraj-Ul-Aloom Welfare Foundation.”

In its revised response, the company admitted that it maintained records and activities under an earlier trust, “Jamia Siraj-Ul-Uloom,” indicating overlap of identities. The Regional Director rejected the explanation and authorised the RoC to file the petition.

The Divisional Commissioner, Kashmir, by order dated 24 April 2026, dismissed the objections as “misconceived, factually untenable, and devoid of legal merit.” Authorities also notified the premises of Darul Uloom Jamia Siraj-Ul-Uloom, Shopian, as an unlawful entity/place under the Unlawful Activities (Prevention) Act, 1967.

The Tribunal held that the material on record prima facie established that the company operated in a manner prejudicial to national security. It also noted that the company incorporated shortly after denial of security clearance to earlier related entities, with alleged continued control by Mohammad Yousuf Mantoo.

Finding a risk of asset dissipation and destruction of records, the NCLT dispensed with prior notice under Section 273(1)(c) due to exceptional circumstances. It also appointed the Official Liquidator attached to the High Court of Jammu & Kashmir and Ladakh to take charge of all affairs, assets, bank accounts, and records.

Lastly, It directed the directors to file a verified statement of assets, liabilities, and affairs within 30 days.

The matter will be heard next on 13 July 2026.