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 2022 and August to September 2023, the total penalty imposed amounted to ₹2,00,000. The penalty must be paid via the Ministry of Corporate Affairs portal, and appeals can be filed with the Regional Director within 60 days. Failure to pay within 90 days may lead to further fines or prosecution under Section 454(8). The order highlights compliance requirements and outlines repercussions for future non-compliance, emphasizing adherence to statutory limits on directorships.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
OFFICE OF THE REGISTRAR OF COMPANIES
PUNJAB AND CHANDIGARH,
CORPORATE BHAWAN,
PLOT NO.4-B, SECTOR 27B, CHANDIGARH
PHONE NO.172-2639415,2639416
No. ROC/Chd/Adj.Order/833
Dated: 20/11/2024
ORDER OF ADJUDICATION OF PENALTY UNDER SECTION 454 OF COMPANIES ACT, 2013 READ WITH RULE 3 OF THE COMPANIES (ADJUDICATION OF PENALITES) RULES 2014 FOR VIOLATION OF PROVISIONS OF SECTION 165(1) OF THE COMPANIES ACT, 2013 BY SH. LAXIT AWLA.
