LLP agreement issue (not on stamp paper) + GST + bank account problem — should I close and restart?

[User_2925b629]

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User_2925b629
PARTICIPANT
May 5, 2026 at 9:37 am

Hi everyone, need some practical advice on a messy LLP situation.

I formed an LLP in Bangalore in 2022 with my wife. We have all the basic registrations (PAN, TAN, Certificate of Incorporation).

However, there are a few complications:

The LLP agreement was filed through MCA but not executed on e-stamp paper at that time (my CA handled it that way).

Due to address proof issues (rented house, landlord didn’t provide municipal docs), I couldn’t apply for GST back then.

The LLP was never operational:

No business commenced

No GST

No current account opened

Recently, the LLP address was updated to my permanent address in Assam (this happened later; I wasn’t actively using the LLP).

Now in 2026:

My wife has started a D2C business, and I wanted to use this LLP

I got a new LLP agreement executed on e-stamp paper, but:

Bank is refusing to open a current account, saying the agreement is not valid since it’s dated 2026 (not original)

Without a bank account, my GST is going to expire soon.

My questions:

Is there any way to regularize/fix this LLP legally (e.g., revised agreement, filings, penalties, etc.) so banks will accept it?

Or is it more practical to close this LLP and start fresh (LLP or proprietorship)?

If restarting — what would be the least friction path for a D2C business (considering GST + banking + compliance)?

Appreciate any advice from legal experts in business compliance or anyone who has faced a similar issue like this.

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