The Registrar of Companies, Ernakulam, passed an adjudication order under Section 454 of the Companies Act, 2013 against Aasvas Nidhi Limited and its officers for violation of Section 117(2). The company failed to file Form MGT-14 for board resolutions approving financial statements for multiple financial years, constituting non-compliance with statutory filing requirements. Despite admitting the default and seeking compounding, the authority clarified that the offence attracts penalty adjudication rather than compounding. A show cause notice and hearing opportunity were provided, and the company was directed to rectify the default by filing the requisite forms. However, non-compliance persisted. Consequently, penalties of ₹10,000 each were imposed on the company and its defaulting officers, with provisions for additional penalties in case of continuing default. The order also mandates rectification within 90 days and outlines appeal provisions before the Regional Director.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Ernakulam
Registrar Of Companies, Corporate Bhawan, BMC Road, Thrikkakara, Ernakulam, Kerala, India, 682021
Phone: 0484-2421626/2421310
Fax: 0484-2422327
E-mail: roc.ernakulam@mca.gov.in
Order ID: PO/ADJ/03-2026/EK/01881 | Dated: 30/03/2026
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 117(2) OF THE COMPANIES ACT, 2013.
A. Appointment of Adjudicating Officer:
Ministry of Corporate Affairs vide its Gazette notification number S.O. 831(E) dated 24/03/2015 appointed undersigned as Adjudicating Officer in exercise of the powers conferred by section 454 of theCompanies Act, 2013 [herein after known as Act] read with Companies (Adjudication of Penalties) Rules, 2014 for adjudging penalties under the provisions of this Act.
B. Company details:
In the matter relating to AASVAS NIDHI LIMITED [herein after known as Company] bearing CIN U65929KL2016PLC047400, is a company registered with this office under the Provisions of the Companies Act, 2013/1956 having its registered office situated at ROOM NO:10, XXI/656 N4, 2ND FLOOR, LOTUS CITY CENTRE, NEAR STATUE JUNCTION, NA TRIPUNITHURA ERNAKULAM KERALA INDIA 682301
Individual details:
In the matter relating to SURYA RATHEESH__________
In the matter relating to SREEJITH SUDHAKARAN. ________
In the matter relating to RAJVIHAR SASI RAJEEV_______
C. Provisions of the Act:
(2) If any company fails to file the resolution or the agreement under sub-section (1) before the expiry of the period specified therein, such company shall be liable to a penalty of ten thousand rupees and in case of continuing failure, with a further penalty of one hundred rupees for each day after the first during which such failure continues, subject to a maximum of two lakh rupees and every officer of the company who is in default including liquidator of the company, if any, shall be liable to a penalty of ten thousand rupees and in case of continuing failure, with a further penalty of one hundred rupees for each day after the first during which such failure continues, subject to a maximum of fifty thousand rupees.
D. Facts about the case:
1. Default committed by the officers in default/noticee – Section 179(3)(g) read with Section 117 of the Companies Act, 2013 1.The company Aasvas Nidhi Limited (hereinafter referred to as the company) had filed Form NDH-4 vide SRN R81868309 dated 31.12.2020, which was rejected vide order dated 20.09.2021, inter alia citing various reasons, including that the company has not filed Form MGT-14 for filing Board Resolution passed for approval of Financial Statements alongwith attached documents for the FY 2016-17, 2017-18, 2018-19 resulting into violation of Section 179(3)(g) read with Section 117 of the Companies Act, 2013.
2.The company has subsequently filed an application in e-Form GNL-1 vide SRN F95566717 seeking compounding of offences for violation of above Section in respect of the company and its present directors and has also admitted the default. Further the penal consequence of such violation is specifically covered under Section 117 of the Act, which provides for adjudication of penalty and not for compounding. Accordingly, adjudication proceedings are initiated against the company and its officers in default during the relevant period.
3.Further, in exercise of powers under Section 454(3)(b) of the Companies Act, 2013, the company is also directed to rectify the defect by filing the relevant details of Form MGT-14, through Form GNL-2, in order to bring the records on par.
2. Opportunity for hearing was given.
E. Order:
1. A Show Cause Notice dated 07.01.2026 was issued to the company and its officers in default under Section 454 of the Companies Act, 2013, calling upon them to explain why penalty should not be imposed under Section 117(2) of the Act for the default committed.
Subsequently, a notice for e-hearing was issued on 23.02.2026 in terms of Section 454(4) of the Act, fixing the date of hearing on 03.03.2026. Hearing was attended by the representative of the company and requested a minimum penalty. The company was also directed to file Form MGT-14 directly in the prescribed form along with the requisite filing fees and additional fees, instead of filing as an attachment to GNL-2.
After considering the submissions and material available on record, and in exercise of the powers conferred under Section 454(3) of the Companies Act, 2013 read with Rule 3 of the Companies (Adjudication of Penalties) Rules, 2014, penalty as prescribed under Section 117(2) of the Act is hereby imposed on the company and its officers in default.
However, the company has not complied with the directions with respect to filing the relevant MGT-14 forms in the MCA portal.
2. The details of penalty imposed on the company, officers in default and others are shown in the table below:
| (A) | Name of person on whom penalty imposed (B) | Rectification of Default required
(C) |
Penalty Amount
(D) |
Additional Penalty (E) (*Per day of continuing default i.e. date of rectification of default less order issue date) | Maximum limit for Penalty (F) |
| 1 | AASVAS NIDHI LIMITED having CIN as U65929KL2016PL C047400 | 10000 | 0 | 200000 | |
| 2 | SURYA RATHEESH having DIN as 07336768 |
10000 | 0 | 50000 | |
| 3 | SREEJITH SUDHAKARAN . having DIN as 07336772 | 10000 | 0 | 50000 | |
| 4 | RAJVIHAR SASI RAJEEV having DIN as 07336780 | 10000 | 0 | 50000 |
3. The notified officers in default/noticee shall rectify the default mentioned above and pay the penalty, so applicable within 90 days of receipt of the order.
4. The notified officers in default/noticee shall pay the penalty amount via ‘e-Adjudication’ facility which can be accessed through the respective login IDs on the website of Ministry of Corporate Affairs and upload the copy of paid challan / SRN of e-filing (if applicable) on the ‘e-Adjudication’ portal itself. It is also directed that the penalty so imposed upon the officers in default shall be paid from their personal sources/income.
5. Appeal against this order may be filed in writing with the Regional Director, RD Bangalore within a period of sixty days from the date of receipt of this order, in Form ADJ setting for the grounds of appeal and shall be accompanied by a certified copy of this order [Section 454 (5) & 454 (6) of the Act, read with Companies (Adjudication of Penalties) Rules, 2014].
6. For penal consequences of non-payment of penalty within the prescribed time limit, please refer Section 454(8) of the Companies Act, 2013.
Arun meganathan,
Registrar of Companies
ROC Ernakulam
