The Registrar of Companies (ROC) Hyderabad issued an order on June 26, 2025, to adjudicate a penalty under Section 454 of the Companies Act, 2013. The penalty was imposed for a violation of Section 184(4) of the same Act, which relates to the non-disclosure of director interests. The order was issued against two individuals, Tulasi Ram Kaskana (DIN 01415878) and Chaithanya Arun Prakash Vallurupalli (DIN 07545580). An inquiry under Section 206(4) of the Companies Act, 2013, found that for the financial years 2019-20 and 2020-21, these directors failed to disclose their interests as mandated by Section 184.
As a result of this violation, each of the two directors was subjected to a penalty. The order specifies a penalty amount of ₹1,00,000 for each director. The order states that the penalty must be paid within 90 days of receiving the order, and the payment should be made through the Ministry of Corporate Affairs’ ‘e-Adjudication’ facility. The order also directs that the penalty amount is to be paid from the directors’ personal funds. The document also outlines the process for appealing the order, which must be done in writing to the Regional Director, Hyderabad, within 60 days of receipt. Additionally, the order references Section 454(8) of the Companies Act, 2013, regarding the consequences of not paying the penalty within the specified timeframe.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
ROC Hyderabad
Registrar Of Companies, 2nd Floor, Corporate Bhawan, GSI Post, Nagole, Bandlaguda, Hyderabad, Telangana, India, 500068
Phone: 040-29805427/29804327, E-mail: roc.hyderabad@mca.gov.in
Order ID: PO/ADJ/05-2025/HD/00371 Dated: 26/06/2025
ORDER FOR ADJUDICATION OF PENALTY UNDER SECTION 454 OF THE COMPANIES ACT, 2013 (‘THE ACT’) FOR VIOLATION OF SECTION 184(4) OF THE COMPANIES ACT, 2013.
A. Appointment of Adjudicating Officer:
Ministry of Corporate Affairs vide its Gazette notification number S.O. 5459(E) dated 26/10/2018 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. Individual details:
In the matter relating to TULASI RAM KASKANA [herein after known as individual] having DIN 01415878 and having its address at 8-3-903/4/7, ROAD NO 2, COMMUNITY HALL NAGARJUNA NAGAR, KHAIRATABAD 8-3-903/4/7, ROAD NO 2, COMMUNITY HALL NAGARJUNA NAGAR, KHAIRATABAD HYDERABAD Telangana India
In the matter relating to CHAITHANYA ARUN PRAKASH VALLURUPALLI [herein after known as individual] having DIN 07545580 and having its address at FLAT NO 201, NARVEN VOISHNO SUDHAN RESIDENCY SOMAJIGUDA FLAT NO 201, NARVEN VOISHNO SUDHAN RESIDENCY SOMAJIGUDA HYDERABAD Telangana India
C. Provisions of the Act: (4) If a director of the company contravenes the provisions of sub-section (1) or subsection (2), such director shall be liable to a penalty of one lakh rupees.
D.Facts about the case:
1. Default committed by the officers in default/noticee – Whereas Inquiry under Section 206(4) of the Companies Act, 2013 was conducted. Inquiry Officer has observed in the Inquiry Report that ?It is observed from the financial statements and Annual Returns filed by the Company for the Financial years 2019-20 to 2020-21 that directors of the company have failed to disclose their interest in the company under section 184 of Companies Act, 2018.? Hence the Directorate has directed ROC to take necessary penal action under section 184(4) of the Companies Act, 2013.
2. The Officers in default have opted for no hearing
E.Order:
1. Inquiry under section 206(4) of the Companies Act, 2013 was conducted. During the course of Inquiry, it was reported by the Inquiry Officer in the Inquiry Report that it is observed from the financial statements and Annual Returns filed by the Company for the Financial years 2019-20 to 2020-21 that directors of the company have failed to disclose their interest in the company under section 184 of Companies Act, 2018. The Directors of the company have violated section 184(1) of the Companies Act, 2013 and hence every Director of the company contravenes the provisions of sub-section (1) of section 184 of the Companies Act, 2013 are liable for penal action under section 184(4) of the Act. E-Notice dated 17.12.2024 has been issued to the company and its officers in default. Company and officers in default has submitted their replies vide letters dated 01.01.2025, with a request to withdraw the Show Cause Notice and exclude/exempt the company and its directors from penalizing. The adjudicating authority based on the violation reported in the inquiry report and the follow up instruction on the same received from Directorate/DGCOA, imposed the penalty as per the provisions of section 184(4) of the Companies Act, 2013.
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 | TULASI RAM KASKANA having DIN as 01415878 | 100000 | 0 | 100000 | |
| 2 | CHAITHANYA ARUN PRAKASH VALLURUPALLI having DIN as 07545580 | 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 Hyderabad 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.
Parvinder Singh,
Registrar of Companies
ROC Hyderabad
To,
1. TULASI RAM KASKANA, 8-3-903/4/7, ROAD NO 2, COMMUNITY HALL NAGARJUNA NAGAR, KHAIRATABAD 8-3903/4/7, ROAD NO 2, COMMUNITY HALL NAGARJUNA NAGAR, KHAIRATABAD HYDERABAD Telangana India , kaskana62@gmail.com
2. CHAITHANYA ARUN PRAKASH VALLURUPALLI, FLAT NO 201, NARVEN VOISHNO SUDHAN RESIDENCY SOMAJIGUDA FLAT NO 201, NARVEN VOISHNO SUDHAN RESIDENCY SOMAJIGUDA HYDERABAD Telangana India , nani1331@gmail.com
