Registrar of Companies, Uttar Pradesh, has penalized Ummid Mutual Benefit Nidhi Limited for non-compliance with Section 134(3)(q) of the Companies Act, 2013. The company failed to include details of changes in directorship in its Board’s report for the financial year 2017-2018, a mandatory requirement. Despite a show cause notice issued in March 2024, the company and its directors did not respond, leading to a penalty under Section 134(8). The company was fined ₹3,00,000, and each defaulting director was fined ₹50,000. The total penalty imposed amounts to ₹4,50,000. The penalty must be paid via Demand Draft to the Ministry of Corporate Affairs within 90 days. Appeals can be filed with the Regional Director (Northern Region) within 60 days of the order. Non-compliance with the order may result in further legal action under Section 454(8).
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
OFFICE OF REGISTRAR OF
COMPANIES, Uttar Pradesh
37/17, Westcott Building, The Mall,
Kanpur 208001 (U.P.)
Phone : 0512 — 2310443/2310227
ORDER OF ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 READ WITH RULE 3 OF THE COMPANIES (ADJUDICATION OF PENALTIES) RULES, 2014 FOR VIOLATION OF PROVISIONS OF SECTION 134(3)(q) OF THE COMPANIES, ACT, 2013 READ WITH COMPANIES (ADJUDICATION OF PENALTIES) RULES 2014.
IN THE MATTER OF UMMID MUTUAL BENEFIT NIDHI LIMITED
Appointment of Adjudicating Officer:-
1. The Ministry of Corporate Affairs vide its Gazette notification no. S.O. 831(E) dated 24.3.2015, has appointed the undersigned as Adjudicating Officer in exercise of the powers conferred by section 454 of the Companies Act, 2013 (hereinafter known as Act) read with Companies (Adjudication of Penalties) Rules, 2014 & Companies (Amendment) Act, 2020 for adjudging penalties under the provisions of this Act.
2. Whereas the Company UMMID MUTUAL BENEFIT NIDHI LIMITED has been registered under the provisions of the Companies Act, on 15.03.2017 and is having its registered office situated at JAY PEE GREEN,STAR COURT TOWER-2, 503,GREATER NOIDA, Gautam Buddha Nagar, Uttar Pradesh,201304.The authorized capital of the Company is Rs. 2,000,000.00/,
3. During the course of Inquiry it was observed that the Mr. Sudhir Kwnar Teotia has resigned from the directorship on 30.03.2018 and Sunita Sirohi has been appointed as director in the company on 30.03.2018. However the directors have failed to include the details of changes in the directors in the boards report for the financial year 2017-2018 as mandated under section 134(3)(q) of the Companies Act,2013.Thus, it is evident that the company and its Directors have failed to comply with the provisions of section 134(3)(q) of the Companies Act, 2013. And are thus liable for penal provisions.
4. Provisions of the Act:-
Section 134(3)(0 of the Companies Act, 2013 provides that: –
“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.”
Section 134(8) of the Act reads as under: –
“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.”
5. Accordingly, a Show Cause Notice No. No.07/05/Adj/2024/Ummid Mutual /7462 to 7465 dated 04.03.2024 was issued to officer in default under section 134(3)(f) of the Companies Act, 2013.
6. The company and its directors have not furnished any reply to the said show cause notice; hence no hearing was fixed for this matter.
7. The company and its directors have failed to comply with the provisions of section 134(3)(f) of the Companies Act, 2013 thereby attracting the penal provisions mentioned under Section 134(8) of the Act.
8. Having considered the facts and circumstances of the case and after taking into account the factors above, I hereby impose a penalty of Rs. 3,00,000/- on the company and 50,000/- on the defaulting Directors i.e. under section 134(8) of the Companies Act, 2013 and Companies (Amendment) Act, 2020 for failure to make compliance of the section 134(3)(f) of the Companies Act,2013 . It is of this opinion that penalty is commensurate with the aforesaid failure committed by the Noticee.
9. The Noticee shall pay the amount of penalty by way of Demand Draft in favour of “Pay & Accounts Officer, Ministry of Corporate Affairs, New Delhi, payable at Delhi, within 90 days receipt of this order. The Demand Draft shall be forwarded to this office Address.
10. Appeal against this order may be filed in writing with the Regional Director (Northern Region), Ministry of Corporate Affairs, CGO Complex, Lodi Road, New Delhi, within a period of sixty days from the date of receipt of this order, in Form ADJ setting forth 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].
11. Attention is also invited to section 454(8) of the Companies Act, 2013, in the event of noncompliance of this order. In Case appeal is made 0/o Registrar of Companies, U.P. maybe informed alongwith the penalty imposed & the payments made.
(Seema Rath)
Registrar of Companies Adjudicating Officer
Uttar Pradesh, Kanpur.
No.07/05/Adj/2024/Ummid Mutual/3761 to 3764
Dated: 19/09/2024
