The Registrar of Companies (ROC), Mumbai-I, issued an adjudication order under Section 454 of the Companies Act, 2013, imposing a penalty for non-compliance with Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014. The case arose from a suo-motu application filed by the Managing Director regarding errors in E-Form AOC-4 XBRL for FY 2022–23, including omission of AOC-1 and AOC-2, incorrect attachment of the standalone auditor’s report instead of the consolidated report, and incorrect AGM date. As the authorized signatory is responsible for accuracy of filings, the ROC held that the incorrect certification constituted a contravention. The default was considered from the date of filing (05.07.2024). Accordingly, a penalty of ₹10,000 was imposed under Section 450. The order clarified that rectification must not alter approved financial statements and is limited solely to correcting filing errors, with no further legal consequences.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Mumbai I
100, Everest, Marine Drive, Mumbai, Maharashtra, India, 400002
Phone: 022-22812627
E-mail: roc.mumbai@mca.gov.in
Order ID: PO/ADJ/03-2026/MH/01746 | Dated: 17/03/2026
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 450 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 CHHEDA JEWELLERS LIMITED [herein after known as Company] bearing CIN U74999MH2017PLC294240, is a company registered with this office under the Provisions of the Companies Act, 2013/1956 having its registered office situated at SHOP NO.1 GROUND FLOOR, TRINITY SQUARE, MONGHIBAI ROAD VILEEPARLE (EAST) MUMBAI MUMBAI MAHARASHTRA INDIA 400057
Individual details:
In the matter relating to PARAG KUVARJI CHHEDA______________
C. Provisions of the Act:
If a company or any officer of a company or any other person contravenes any of the provisions of this Act or the rules made thereunder, or any condition, limitation or restriction subject to which any approval, sanction, consent, confirmation, recognition, direction or exemption in relation to any matter has been accorded, given or granted, and for which no penalty or punishment is provided elsewhere in this Act, the company and every officer of the company who is in default or such other person shall be 1[liable to a penalty of ten thousand rupees, and in case of continuing contravention, with a further penalty of one thousand rupees for each day after the first during which the contravention continues, subject to a maximum of two lakh rupees in case of a company and fifty thousand rupees in case of an officer who is in default or any other person]
D. Facts about the case:
1. Default committed by the officers in default/noticee – Whereas the Registrar of Companies, Mumbai – I (hereinafter referred to as the ROC, Mumbai I) is in receipt of a suo-motu Adjudication Application on 24.02.2026. The instant Adjudication Application filed by Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577) (hereinafter referred to as the Applicant) under Section 454 of the Companies Act, 2013 (hereinafter referred to as the Act) on account of filing of incorrect details in E-form AOC-4 XBRL filed vide SRN F96656459 for FY 2022-23. Whereas Rule 8(1) and (3) of the Companies (The Registration Office and Fees) Rules, 2014 are reads as follows: (1) An electronic form shall be authenticated by authorised signatories using digital signature.
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(3) The authorised signatory and the professional, if any, who certify e-form shall be responsible for the correctness of the contents of e-form and correctness of the enclosures attached with the electronic form.
Whereas the applicant stated that due to inadvertent clerical error occurred such as omission of AOC-1 and AOC-2, incorrect attachment of Auditor report pertaining to Standalone financial statements instead of consolidated Auditor report and incorrect mention of date of Annual General Meeting int the E-form AOC-4XBRLfiled vide SRN F96656459 on 05.07.2024. The said form was digitally signed and Declaration was given by Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577).
Whereas the authorized signatory, who certifies e-form shall be responsible for the correctness of the contents of e-form and correctness of the enclosures attached with the electronic form as required under the proviso of Rule 8(3) of Companies (The Registration Office and Fees) Rules, 2014. Thus, Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577) is liable to penalty subject to the provisions Section 450 of the Companies Act, 2013.
2. The Noticee did not request for an E- hearing and the Adjudicating officer is also of the view that no E-hearing is required in the instant case.
E. Order:
1. A. Show Cause notice bearing ID: SCN/ADJ/03-2026/MH/03966 dated 12.03.2026 was issued to the Officer in default viz. Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577) (hereinafter referred to as the Noticee) under Section 454 read with Section 450 of the Act for default under Rule 8(1) and Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014 of the Act on account of incorrect filing of E-form AOC-4 XBRL for FY 2022-23.
B.A reply of the noticee to the said Show Cause Notice was received on the E-adjudication portal on 13.03.2026.
C. The Noticee did not request for an E- hearing and the Adjudicating officer is also of the view that no E-hearing is required in the instant case.
D. On perusal of the Application and considering the facts, it is observed that the Company filed E-Form AOC-4 XBRL vide SRN F96656459 on 05.07.2024. While filing the said form the Company inadvertently attached Auditors report pertaining to standalone financial statement instead of consolidated financial statement and omitted to file AOC-1 and AOC-2. The said form got auto approved under Straight through Process (STP) mode. Certification of E-form which was in AOC-4 XBRL resulted in contravention of Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014 of the Act.
E. The Rule 8(1) and Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014 of the Act reads as under: 1.An electronic form shall be authenticated by authorised signatories using digital signature.
3. The authorized signatory and the professional, if any, who certify e-form shall be responsible for the correctness of the contents of e-form and correctness of the enclosures attached with the electronic form.
F. Further, the aforementioned E-form AOC-4 was digitally signed, and Declaration was given Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577). Thus, he is liable for a penalty under Section 450 of the Act for default under Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014 of the Act.
G. The period of default is considered to be the date of filing Form AOC-4 XBRL that is 05.07.2024. Therefore, the officer in default namely Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577) shall be liable to a penalty of Rs. 10,000/-(Rupees Ten Thousand Only). The Company does not fall under proviso of Section 2(85) of the Act.
H. Now, in exercise of the powers conferred on the Adjudicating Officer vide Notification dated 24th March 2015, I hereby impose a penalty of Rs. 10,000/- (Rupees Ten Thousand only) on Mr. Parag Kuvarji Chheda, Managing Director (DIN: 05196577) under Section 450 of the Act for default under Rule 8(3) of the Companies (Registration Offices and Fees) Rules, 2014.
I. It is hereby clarified that while filing new Form AOC-4 XBRL, the Company shall not cause any change in financial statement and enclosures thereof as adopted by the Shareholders in General meeting which was filed in E-Form AOC-4 XBRL vide SRN F96656459 on 05.07.2024.
J. Further, it is also clarified that order is limited to rectifying the mistake in E-form AOC-4 XBRL and it shall have no consequence except rectification of E-form AOC-4 XBRL.
2. The details of penalty imposed on the company, officers in default and others are shown in the table below:
| (A) | Name of person | Rectification of | Penalty Amount | Additional Penalty | Maximum limit for |
| on whom penalty imposed (B) | Default required (C) | (D) | (E) (*Per day of continuing default i.e. date of rectification of default less order issue date) | Penalty (F) | |
| 1 | PARAG KUVARJI CHHEDA having DIN as 05196577 | NA | 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 Mumbai 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.
Chandan Kumar,
Registrar of Companies
ROC Mumbai I
