The Registrar of Companies cum Official Liquidator, attached to Rajasthan High Court, Jaipur Bench at Jaipur, issued an order on October 5, 2023, concerning penalties under Section 454 of the Companies Act, 2013, read with relevant rules, for the violation of Section 77(1) of the Companies Act, 2013, by Akshat Telecom Private Limited and its directors.
The relevant provisions of the Companies Act, 2013, state that it is the duty of every company creating a charge on its property or assets to register the particulars of the charge with the Registrar within thirty days of its creation. Failure to comply with this provision attracts penalties.
The facts of the case indicate that Akshat Telecom Private Limited did not register charges created on its property with the Registrar, despite taking loans from HDFC Bank Limited during the financial years 2018-19 to 2020-21. This violation was brought to the company’s attention through various correspondences, including letters and notices from the Registrar’s office.
During the hearing on September 11, 2023, none of the company’s representatives appeared, although replies were received from some of the directors. Upon review, it was confirmed that the company had indeed failed to comply with Section 77(1) of the Companies Act, 2013.
In light of this, penalties were imposed as follows:
- Akshat Telecom Private Limited: Rs. 2,50,000/-
- Ashish Daga (Director): Rs. 25,000/-
- Raj Kumari Daga (Director): Rs. 25,000/-
- Banshi Lal (Director): Rs. 25,000/-
- Krishan Kumar Manihar (Director): Rs. 25,000/-
- Sunita Sundardas Damani (Director): Rs. 25,000/-
The total penalty amounted to Rs. 3,75,000/-. It was emphasized that the penalty should be paid from personal sources/income of the officers in default and should be remitted through the Ministry of Corporate Affairs portal.
The order also informed the parties of their right to appeal within sixty days to the Regional Director (NWR), Ministry of Corporate Affairs, Ahmedabad, accompanied by a certified copy of the order.
Attention was drawn to the provisions of the Companies Act, 2013, which stipulate fines or imprisonment for non-payment of penalty amounts.
Copies of the order were sent to Akshat Telecom Private Limited and its directors, as well as to the Regional Director (NWR), MCA.
In conclusion, the order disposed of the adjudication notice, outlining the penalties imposed for the company’s failure to register charges with the Registrar, and provided instructions for further action or appeals.
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Government of India
Ministry of Corporate Affairs
Office of Registrar of Companies cum Official Liquidator,
Attached to Rajasthan High Court, Jaipur Bench at Jaipur
Corporate Bhawan, G/6-7, Residency Area, Civil Lines, Jaipur-302001
Order for Penalty under Section 454 of the Companies Act, 2013 read with Companies (Adjudication of Penalties) Rules, 2014 and Companies (Adjudication of Penalties Amendment) Rules, 2015 for the violation of Section 77(1) of Companies Act, 2013 in the matter of: –
1. Akshat Telecom Private Limited, Company
Cabin No, 303, Third Floor, A-5 Shruti Tower, Hariom Colony, Nayapura, Kota, Rajasthan, 324001.
2. Ashish Daga, Director,
3. Raj Kumari Daga, Director,
4. Banshi Lal, Director
5. Krishan Kumar Manihar, Director
6. Sunita Sundardas Damani, Director
…… Respondents
Date of Hearing – 11.09.2023
Present: –
01. Shri Ruvit kumar, ROC-Cum-OL, Rajasthan, Jaipur
02. Shri Raunak Agrawal, AROC-cum-AOL, Jaipur
ADJUDICATION ORDER
1. Appointment of Adjudicating Officer: –
Whereas the Ministry of Corporate Affairs vide its Gazette Notification No. SO 831″(E) dated 24.03.2015 appointed the Registrar of Companies/undersigned as Adjudicating Officer in exercise of the Power conferred by Section 454 of the Companies Act, 2013 read with Companies (Adjudication of Penalties) Rules, 2014. The Registrar of Companies vide the Companies (Amendment) Act, 2019 is entrusted with power to adjudicate penalty as provided under Section 86 (1) of the Companies Act, 2013 (petal provision of section 77 (1) of the Companies Act, 2013).
2. Respondent Company:
Whereas Akshat Telecom Private Limited, Company (CIN U64201RJ2013PTC044710) has its registered office at Cabin No. 303, Third Floor, A-5 Shruti Tower, Hariom Colony, Nayapura, Kota, Rajasthan, 324001.
3. Relevant Provisions of the Companies Act, 2013: –
Whereas as per Provision of Section 77 (1) of the Companies Act, 2013 “it shall be the duty of every company creating a charge within or outside India, on its property or assets or any of its undertakings, whether tangible or otherwise, and situated in or outside India, to register the particulars of the charge signed by the company and the charge-holder together with the instruments, if any, creating such charge in such form, on payment of such fees and in such manner as may be prescribed, with the Registrar within thirty days of its creation.”
Whereas as per the provision of section 86 (1) of the Companies Act, 2013 “if any company is in default in complying with any of the provisions of this Chapter, the company shall be liable to a penalty of five lakh rupees and every officer of the company who is in default shall be liable to a penalty of fifty thousand rupees.”
4. Facts of the Case:
➣ That this office has received complaint(s) from Sunita Sundardas Daman. in the affairs of the company namely Akshat Telecom Private Limited. The same has been taken up with the company vide this office letter dated 31.03.2022 followed vide reminder letter dated 27.04.2022.
➣ In this regard, the company has furnished its reply vide letter dated 30.04.2022. Further, this office vide letter dated 19.07.2022 has sought further additional information under section 206(1) of the Companies/act, 2013. Accordingly, the company vide letter dated 01.08.2022 has furnished the same.
➣ During the course of examination, this office was in view that the company has violated the provision of section 77(1) of the Companies Act, 2013 as the company has not created charge(s) with Registrar pursuant to loan(s) taken by the company from the HDFC Bank Limited during the Financial Year 2018-19 to 2020-21. Accordingly, this office has issued a Show Cause Notice vide letter dated 15.11.2022.
➣ Further, this office has issued an Adjudication Notice dated 26.07.2023 to the company and its directors and accordingly the matter has been fixed for a hearing on 11.09.2023.
5. During the course of hearing, none appeared on behalf of the company and its directors, however, this office has received replies from the Director(s) namely Rajkumari Daga and Sunita Damani.
Accordingly, the matter has been decided on the merits and observed that the company has not complied with the provision of section 77(1) of the Companies Act, 2013.
6. In view of the above facts, the undersigned has reasonable cause to believe that the provision of section 77 (1) of the Companies Act, 2013 has not been complied with by the company and its directors and therefore liable for penal action under section 86 (1) of the Companies Act, 2013. Accordingly, in exercise the power of 454 (3) of the Companies Act, 2013, I inclined to impose a penalty on the company and its directors in accordance with section 44(6)13 of the Companies Act, 2013, as under-.
| Nature of default | Violations under companies Act, 2013 | Name of Persons on whom penalty imposed | Total default amount (In Rs.) |
Maximum Limit for Penalty (in Rs.) | Final Penalty Imposed (In Rs.) pursuant to section 446B of the Companies Act, 2013. |
| Non filing of e-Form CHG-1 for the creation of secured charge | Section 77 (1) | Akshat Telecom Private Limited | 5,00,000/- | 5,00,000/- | 2,50,000 |
| Ashish Daga | 50,000/- | 50,000/- | 25,000 | ||
| Rajkumari Daga | 50,000/- | 50,000/- | 25,000 | ||
| Bansi Lal | 50,000/- | 50,000/- | 25,000 | ||
| Krishan Kumar Manihar | 50,000/- | 50,000/- | 25,000 | ||
| Sunita Sundardas Damani | 50,000/- | 50,000/- | 25,000 | ||
| Grand Total | 3,75,000 | ||||
I am of this opinion that penalty is commensurate with the aforesaid failure committed by the Notice and penalty so imposed upon the Officers-in-default shall be paid from their personal sources/ income. It is further directed that penalty imposed shall be paid through the Ministry of Corporate Affairs portal only as mentioned under Rule 3(14) of Company (Adjudication of Penalties) (Amendment) Rules, 2019 under intimation to this office.
7. Appeal against this order may be filed in writing with the Regional Director (NWR), Ministry of Corporate Affairs, Ahmedabad within a period of sixty days from the date of receipt of this order, in e-Form ADJ (available on Ministry website www.rrica.gov.in setting forth the grounds of appeal and shall be accompanied by a certified copy of this order (section 454(5) & 454(6) of the Companies Act, 2013 read with Companies (Adjudicating of Penalties) Rules, 2014).
8. Attention is also invited to section 454(8)(i) and 454(8)(ii) of the Companies Act, 2013, which state that in case of non-payment of penalty amount, the company shall be punishable with fine which shall not be less than twenty five thousand rupees but which may extend to five lakh rupees and officer in default shall be punishable with imprisonment which may extend to six months or with fine which shall not be less than twenty five thousand rupees but which may extend to one lakh rupees or both.
9. In terms of the provisions of sub-Rule (9) of Rule 3 of the Companies (Adjudicating of Penalties) Rules, 2014, copy of the order is being sent to the following: –
(I) Akshat Telecom Private Limited at Cabin No. 303, Third Floor, A-5 Shruti Tower, Hariom Colony, Nayapura, Kota, Rajasthan,324001.
(II) Ashish Daga at ______
(III) Raj Kumari Daga at ______
(IV) Banshi Lai at ______
(V) Krishan Kumar Manihar at ______
(VI) Sunita Sundardas Damani at ______
(VII) The Regional Director (NWR), MCA, pursuant to Rule 6 of the Companies (Adjudicating of Penalties) Rules, 2014.
The adjudication notice stands disposed off with this order.
(RUVIT KUMAR)
ROC-cum-OL & Adjudicating officer,
Rajasthan, Jaipur
No/ 999
Signed on the 05th day of October 2023
