The Registrar of Companies, Chennai passed an adjudication order under Section 454 of the Companies Act, 2013, imposing penalties for violation of Section 134(8) read with Section 134(3)(q) and Rule 8(5)(x) of the Companies (Accounts) Rules, 2014. Following an inspection under Section 206(5), it was observed that the company’s Board’s Reports for FY 2018–19 and 2019–20 failed to disclose compliance with the requirement of constituting an Internal Complaints Committee under the Sexual Harassment of Women at Workplace Act, 2013. Such disclosure is mandatory. As no reply was filed to the show cause notice, adjudication proceedings were initiated. The Registrar held that the omission constituted a statutory default and imposed a penalty of ₹3,00,000 on the company and ₹50,000 each on two officers in default. Directions were issued for rectification and payment of penalties within the prescribed timeline, with a right of appeal provided.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Chennai
Registrar Of Companies, Block No.6,B Wing 2nd Floor, Shastri Bhawan 26, Haddows Road, Chennai, Tamil Nadu, India, 600034
Phone: 044-28276652/28276654
E-mail: roc.chennai@mca.gov.in
Order ID: PO/ADJ/12-2025/CN/01215 | Dated: 12/01/2026
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 134(8) OF THE COMPANIES ACT, 2013.
A. Appointment of Adjudicating Officer:
Ministry of Corporate Affairs vide its Gazette notification number S.O. 831(E) dated 24/03/2015 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 THE MYLAPORE HINDU PERMANENT FUND NIDHI LIMITED_________________
Individual details:
In the matter relating to PARTHASARATHY ARUMUGAM DEVASENATHIPATHY _________________
In the matter relating to DHEVANATHANYADAV . _________________
C. Provisions of the Act:
(8) If a company is in default in complying with the provisions of this section, the company shall be liable to a penalty of three lakh rupees and every officer of the company who is in default shall be liable to a penalty of fifty thousand rupees
D. Facts about the case:
1. Default committed by the officers in default/noticee – An Inspection of Books and accounts of the company The Mylapore Hindu Permanent Fund Nidhi Limited was conducted U/s. 206(5) of the Companies Act,2013 by an Officer authorized by the Central Government wherein the Inspecting Officer observed that ” during the financial years 2018-19 to 2019-20, the Board’s report which is a part of the financial statements has not given any disclosure on whether the company has complied with the provisions relating to the constitution of Internal Complaints Committee under the Sexual Harassment of Women at workplace (Prevention, Prohibition and Redressal)Act, 2013 as mandated under Rule 8(5)(x) of the Companies (Accounts) Rules, 2014. This is a violation of Section 134(3)(q) of the Companies Act, 2013 read with Rule 8(5)(x) of Companies ( Accounts) Rule, 2014.Hence, the company and all the Officers in default are liable under Section 134(8) of the Companies Act, 2013″.
Section 134(3)(q) of the Companies Act, 2013 provides- Financial Statement, Board?s Report, etc.
(3)There shall be attached to statements laid before a company in general meeting, a report by its Board of Directors, which shall include
(q) such other matters as may be prescribed.
Rule 8(5)(x) of Companies ( Accounts) Rules, 2014 provides- Matters to be Included in Board’s Report
4. Every listed company and every other public company having a paid up share capital of twenty five crore rupees or more calculated at the end of the preceding financial year shall include, in the report by its Board of directors, a statement indicating the manner in which formal annual evaluation has been made by the Board of its own performance and that of its committees and individual directors.
5. In addition to the information and details specified in sub-rule (4), the report of the Board shall also contain (x) a statement that the company has complied with provisions relating to the constitution of Internal Complaints Committee under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.
Upon submission of the report, the Ministry has directed to initiate action against defaulters for violation of Section 134(3)(q) of the Companies Act, 2013 read with Rule 8(5)(x) of Companies (Accounts) Rules, 2014.
2. The adjudicating authority upon receiving the inspection report the adjudication authority issued show cause notice dt. 30.04.2025 for violation of section 138(3)(q) to which no replies were received from the company and other directors. Further the adjudicating authority issued notice on 11.08.2025 for e-hearing on 25.08.2025. Mr. Chennai Loganathan Nanthakumar has authorized Mrs. Lakshmi Adduri, practicing company secretary to attend the E-Hearing, who attended the e-hearing and duly made their submissions.
E.Order:
1. Pursuant to the inspection u/s 206 (5) of the companies act, 2013 conducted into the affairs of the company, Ministry vide letter dt. had directed ROC, Chennai to take penal action against the company and its officers in default for violation of section 134 (3) (q) of CA, 2013 r/w Rule 8(5)(x) of Companies (Accounts) Rules, 2014. It was noticed in the inspection report that the company Mylapore Hindu Permanent Fund Nidhi Limited, in its board report for FY 2018-19 and 2019-20 failed to disclose whether the company has complied with the requirements of constituting an ICC under the Sexual harassment of women at workplace act, 2013. This disclosure is mandatory under section 134 (3) (q) of CA, 2013 r/w Rule 8(5)(x) of Companies (Accounts) Rules, 2014. The omission constitutes a violation, making the company liable under section 134(8). Therefore, adjudication proceeding had been initiated against the company & its officers in default for the above contravention and imposed penalty for contravention.
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 | THE MYLAPORE HINDU PERMANENT FUND NIDHI LIMITED having CIN as U65991TN1872P LC001381 | 300000 | 0 | 300000 | |
| 2 | PARTHASARATH Y ARUMUGAM DEVASENATHIP ATHY having DIN as 00861338 | 50000 | 0 | 50000 | |
| 3 | DHEVANATHAN YADAV . having DIN as 01431689 |
50000 | 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 Chennai 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.
B SRIKUMAR,
Registrar of Companies
ROC Chennai
