Director Limit Violation: MCA imposes Rs. 2 Lakh Penalty

Registrar of Companies, Punjab and Chandigarh, adjudicated a penalty against Sh. Laxit Awla for violating Section 165(1) of the Companies Act, 2013, which limits the number of directorships an individual can hold. Sh. Awla, holding more than the permissible 20 companies overall and exceeding 10 public companies, admitted the violations through a suo-moto application. Following a hearing, the adjudicating officer imposed a penalty under Section 165(6), which mandates a fine of ₹2,000 per day of violation, subject to a maximum of ₹2,00,000. For delays spanning from October 2021 to May 202

Please become a Premium member. If you are already a Premium member, login here to access the full content.