The adjudication order imposes penalties for non-compliance with the statutory requirement to appoint a woman director within the prescribed timeline under the Companies Act, 2013. The company was required to appoint a woman director by July 1, 2021, following the expiry of the cooling-off period, but made the appointment only on January 1, 2022, resulting in a continuing default from July 1, 2021 to January 7, 2022. A voluntary application was filed seeking adjudication of the default. After providing an opportunity of being heard, which was not availed, the Adjudicating Officer held the company and its officers in default liable for the violation. Monetary penalties were imposed on the company and on each defaulting director within the statutory limits prescribed. The order directs payment of penalties within 90 days through the prescribed electronic mechanism, clarifies that penalties on officers must be paid from personal sources, and outlines the right of appeal and consequences of non-payment.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Ahmedabad
Registrar Of Companies, ROC Bhavan , Opp Rupal Park Society, Behind Ankur Bus Stop, Naranpura, Ahmedabad, Gujarat,
India, 380013
Phone: 079-27438531, E-mail: roc.ahmedabad@mca.gov.in
Order ID: PO/ADJ/12-2025/AD/01206 | Dated: 15/12/2025
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 172 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 GERMAN GREEN STEEL AND POWER LIMITED [herein after known as Company] bearing CIN U27100GJ2008PLC054437, is a company registered with this office under the Provisions of the Companies Act, 2013/1956 having its registered office situated at GERMAN HOUSE, NEAR BHARAT PETROL PUMP OPP. KOCHRAB ASHRAM PALDI (AHMEDABAD) AHMADABAD CITY AHMEDABAD GUJARAT INDIA 380007
Individual details:
In the matter relating to INAMULHAQ SHAMSULHAQ IRAKI ………………………
In the matter relating to ABDULHAQ SHAMSULHAQ IRAKI ……………………….
C. Provisions of the Act:
If a company is in default in complying with any of the provisions of this Chapter and for which no specific penalty or punishment is provided therein, the company and every officer of the company who is in default shall be liable to a penalty of fifty thousand rupees, and in case of continuing failure, with a further penalty of five hundred rupees for each day during which such failure continues, subject to a maximum of three lakh rupees in case of a company and one lakh rupees in case of an officer who is in default.
D. Facts about the case:
1. Default committed by the officers in default/notice – The company/ Officers have filed joint application in GNL-1 vide N31007180 dated 31.05.2025 to suo motu under Section 454 of the Companies Act, 2013 to adjudicate the offence committed for non-compliance Section 149(1) of the Companies Act, 2013 read with Rule 3 of the Companies (Appointment and Qualification of Directors) Rules, 2014 regarding non-appointment of women Directors in Board of company. The Company was required to appoint a Woman Director by July 1, 2021. But, the appointment was made on January 1, 2022. The provisions of Sub-Section 3 of section 149 of the Act have become applicable from April 01, 2021 and the cooling period prescribed under the Section expired on July 1, 2021 which is provided under Rule 3 of Companies (Appointment and Qualification of Directors) Rules, 2014 read with sub-section I of section 149 of the Act. On realizing that the Applicant is violating the Provisions of Section 149(1) of the Companies Act, 2013 read with Rule 3 of the Companies (Appointment and Qualification of Directors) Rules, 2014, the Applicant has immediately appointed women Directors 01.01.2022.
Period of default: 01 July, 2021 to 07 January, 2022
2. In term of Section 454(4) of the Companies Act, 2013 read with Rules made thereunder, opportunity of being heard provided to the company/ Officers in default. However, none of the representative of the Company/ Directors have attended the e-Hearing. The company / Officers in its reply have requested to pass necessary order.
E. Order:
1. The company / Officers in default have filed voluntary application under Section 454 of the Act to adjudicate the default. The company / Officers in its reply have requested to pass necessary order. Below mentioned penalty is being imposed on the Company / Officers of the Company in default
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 | GERMAN GREEN STEEL AND POWER LIMITED having CIN as U27100GJ2008P LC054437 | 145500 | 0 | 300000 | |
| 2 | INAMULHAQ SHAMSULHAQ IRAKI having DIN as 00292588 | 100000 | 0 | 100000 | |
| 3 | ABDULHAQ SHAMSULHAQ IRAKI having DIN as 02188266 | 100000 | 0 | 100000 |
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 Ahmedabad 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.
Keerthi Narayana,
Registrar of Companies
ROC Ahmedabad
