Regulatory Update: The Registrar of Companies, Chandigarh, issued Order ID PO/ADJ/07-2026/CH/02490 dated 06.07.2026 under Section 454 of the Companies Act, 2013 for adjudication of penalty against Chandigarh Power Distribution Limited for violation of Section 118(11). The company filed a suo motu application for adjudication. It was observed that the company failed to comply with the requirements relating to meetings under Section 118(11) and did not maintain minutes in the manner prescribed under Section 118 and Secretarial Standards SS-1 and SS-2 during government ownership. The Registrar imposed a penalty of ₹25,000 on the company and ₹5,000 each on Dharam Pal, Nitin Kumar Yadav, Vijay Namdeorao Zade, and Chandra Bhushan Ojha. The company and the officers were directed to rectify the default and pay the applicable penalties within 90 days through the MCA e-Adjudication facility. The order also states that an appeal may be filed before the Regional Director, Chandigarh, within 60 days in Form ADJ, and refers to Section 454(8) for penal consequences of non-payment.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Chandigarh
Corporate Bhawan Plot No.4 B, Sector 27 B, Chandigarh, Chandigarh, India, 160019
Phone: 0172-2639415/2639416
E-mail: roc.chandigarh@mca.gov.in
Order ID: PO/ADJ/07-2026/CH/02490 | Dated: 06/07/2026
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 118(11) OF THE COMPANIES ACT, 2013.
A. Appointment of Adjudicating Officer:
Ministry of Corporate Affairs vide its Gazette notification number S.O. 698(E) dated 10/02/2026 appointed undersigned as Adjudicating Officer in exercise of the powers conferred by section 454 of the Companies 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 CHANDIGARH POWER DISTRIBUTION LIMITED [herein after known as Company] bearing CIN U40106CH2022PLC044339, is a company registered with this office under the Provisions of the Companies Act, 2013/1956 having its registered office situated at 4TH FLOOR, SCO 33, 34 & 35, SECTOR 34A SECTOR 34(CHANDIGARH) CHANDIGARH CHANDIGARH CHANDIGARH INDIA 160022
Individual details:
In the matter relating to DHARAM PAL ______
In the matter relating to NITIN KUMAR YADAV ______
In the matter relating to VIJAY NAMDEORAO ZADE ______
In the matter relating to CHANDRA BHUSHAN OJHA ______
C. Provisions of the Act:
(11) If any default is made in complying with the provisions of this section in respect of any meeting, the company shall be liable to a penalty of twenty-five thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees.
D. Facts about the case:
1. Default committed by the officers in default/noticee – The applicant company has filed a suo moto application under Section 454 of the Companies Act, 2013 for adjudication of penalty in respect of violation of Section 118(11)of the Companies Act, 2013. It is observed that the company failed to comply with the provision of this section in respect of meetings within the prescribed period as mandated under Section 118(11) of the Companies Act, 2013. There is non maintenance of minutes in the manner prescribed under section 118 and secretarial standards SS-1 and SS-2 during government ownership .Consequently, the company and its officers in default have violated the provisions of Section 118(11) of the Companies Act, 2013. In terms of Section 118(11)of the Companies Act, 2013, the company and its directors are liable for penalty for the aforesaid default
2. Suo-moto Application is filled by the company
E. Order:
1. Suo-moto Application is filled by the company
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 | CHANDIGARH POWER DISTRIBUTION LIMITED having CIN as U40106CH2022P LC044339 | 25000 | 0 | 25000 | |
| 2 | DHARAM PAL having DIN as 02354549 | 5000 | 0 | 5000 | |
| 3 | NITIN KUMAR YADAV having DIN as 03104045 | 5000 | 0 | 5000 | |
| 4 | VIJAY NAMDEORAO ZADE having DIN as 05142336 | 5000 | 0 | 5000 | |
| 5 | CHANDRA BHUSHAN OJHA having DIN as 09100251 | 5000 | 0 | 5000 |
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 Chandigarh 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.
Anupam Vashista,
Registrar of Companies
ROC Chandigarh
