The Regional Director, Hyderabad, adjudicated an appeal under Section 454 of the Companies Act, 2013 against a penalty imposed by the Registrar of Companies, Vijayawada for violation of Section 42(9) relating to delayed filing of return of allotment (PAS-03). The appellants argued that part of the delay was covered under a Ministry of Corporate Affairs circular extending the filing deadline until 31.03.2023 due to portal-related issues. Accepting this contention, the authority excluded the exempted period and recalculated the delay from 01.04.2023 to 04.07.2023, totaling 95 days. Consequently, the original penalty of ₹5,40,000 was modified and reduced to ₹2,85,000, computed at ₹1,000 per day of default for the company and its directors. The appellants complied by paying the revised penalty. The order directed rectification within 60 days and warned of further action under Section 454(8) for non-compliance.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
RD Hyderabad
3rd Floor, Corporate Bhawan, Bandlaguda, Nagole, Tattiannaram Village, Hayat Nagar Mandal, Ranga Reddy District, Hyderabad, Telangana, India, 500068
Appeal Order ID: PO/ADJ/04-2026/HYD/000224 Dated: 22-04-2026
To the appellant(s),
1. CHALASANI HOSPITALS PRIVATE LIMITED,——
2. VIJAYA LAKSHMI CHALASANI,——–
3. SAILEESH CHALASANI, ———
AND
the respondent ROC Vijayawada
Appeal under section 454 of the Companies Act, 2013 read with rule 4 and 5 of the Companies (Adjudication of Penalties) Rules, 2014 against the order for adjudication of penalty dated 24-02-2025 of the ROC Vijayawada issued under section 42(9) of the Companies Act, 2013.
A. Facts about the case:
1. An appeal in e-Form ADJ vide SRN AB3122651 dated 31-03-2025 under section 454 of Companies Act, 2013 was filed by the appellant CHALASANI HOSPITALS PRIVATE LIMITED in reference to the subject cited above.
2.
This is an appeal filed under section 454(5) of the Companies Act, 2013 by the above appellants in e-form ADJ vide SRN AB3122651 dated 31.03.2025 against the adjudication order Petition No. PO/ADJ/02-2025/VW/00092 dated 24.02.2025 under section 454 read with section 42 (9) of the Companies Act, 2013 passed by the Registrar of Companies, Andhra Pradesh for default in compliance with the requirements of Section 42 (9)
Registrar of Companies in his order of adjudication has stated that due to delay in filing the return of allotment within prescribed period from the ate of allotment. Hence, the penalty is imposed as per Section 42(9) of the Companies Act, 2013.
ROC, Andhra Pradesh had issued e adjudication notice dated 24.02.2025 and imposed a penalty vide their adjudication order No. PO/ADJ/02- 2025/VW/00092 dated 24.02.2025, Rs. 1,80,000/- on Company and Rs.1,80,000/- on its defaulting officers., namely Ms. Vijaya Lakshmi Chalasani, Director and Mr. Saileesh Chalasani, Director (total aggregating to Rs.5,40,000/-)
Aggrieved by the said order dated 24.02.2025, the applicants herein have filed the instant appeal and the matter was fixed for hearing on 29.05.2025. The authorized representative, Mr. S.Hari Kishore Babu, Company secretary appeared on behalf of the appellant.
The Authorised Representative of the appellant stated that the company was required to file the form in January, 2023 but could file it only in July, 2023 due to issues in the portal. Appellant has provided General Circular No.4/2023 dated 21.02.2023 issued by Ministry of Corporate of Affairs extending the time for filing PAS-03 e-form till 31.03.2023.
In view of the circular placed are recorded by the appellant the period of January to March 2023, is exempted from the period of delay. The period of delay is thus counted from 01.04.2023 to 04.07.2023 i.e., 95 days.
The order of the AO is modified reducing the penalty in accrodance of the period of delay at Rs. 1000/- for each day of default
The penalty is modified to an amount of Rs. 95,000/- for company and Rs. 95,000/- for each director who were directors/promotors in default i.e., Ms. Vijaya Lakshmi Chalasani and Mr. Saileesh Chalasani (total aggregating to Rs. 2,85,000/-) Accordingly, the appellants have paid the penalty and Mr. Surendra Kuchipudi, CS, Authorised Signatory vide email dated 31.05.2025 has furnished the payment of challans with respect to the Adjudication of violation of section 42 (9) of CA 2013 are as under
B. Order:
1. Hence, in exercise of powers conferred under sub-section (7) of section 454 of the Companies Act, 2013, the details of penalty imposed on the appellant(s) shall be as follows:
| # (A) |
Name of appellant on whom penalty imposed (B) | Rectification of Default required (C) | Penalty Amount(D) |
| 1 | CHALASANI HOSPITALS PRIVATE LIMITED having U85110AP2010PTC0682 62 | 95000 | 180000 |
| 2 | VIJAYA LAKSHMI CHALASANI having 02944565 | 95000 | 180000 |
| 3 | SAILEESH CHALASANI having 03168499 | 95000 | 180000 |
2. The notified appellant(s) shall rectify the default mentioned above and pay the penalty, as applicable, within 60 days of receipt of the order.
3. The notified appellants shall pay the penalty amount via ‘Appeal dashboard’ 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 ‘Appeal dashboard’ portal itself. It is also directed that the penalty so imposed upon the appellants shall be paid from their personal sources/income.
4. Accordingly, the appeal is disposed with a direction to the ROC Vijayawada to initiate action in accordance with the provisions of section 454(8) of the Companies Act, 2013 in case of non-payment of penalty within the prescribed time limit.
RichaRicha Kukreja,
Office of Regional Director
RD Hyderabad
