Non-Maintenance of Registered Office u/s 12: MCA imposes Rs. 4 lakhs penalty on Company and Directors
A penalty of Rs. 4 lakhs was imposed on the company and its 3 directors under Section 12(8) of the Companies Act, and they were instructed to make e-payment within 90 days of the receipt of the order
In an adjudicating order passed by the Ministry of Corporate Affairs (MCA) under SEction 454 of the Companies Act, 2013, the Registrar of Companies, the company and its directors were fined Rs. 4 lakhs for the business's inability to keep a registered office. The company Royal Symbol Nidhi Limited was registered under the Companies Act, 2013, on 27-6-16, and its authorised capital is Rs....
In an adjudicating order passed by the Ministry of Corporate Affairs (MCA) under SEction 454 of the Companies Act, 2013, the Registrar of Companies, the company and its directors were fined Rs. 4 lakhs for the business's inability to keep a registered office.
The company Royal Symbol Nidhi Limited was registered under the Companies Act, 2013, on 27-6-16, and its authorised capital is Rs. 10 lakhs.
The Ministry of Corporate Affairs had denied the company's e-form NDH-4. Following that, the adjudicating authorities issued a letter to the company's registered office requesting clarification and additional information. However, the letter was returned undelivered with the postal remark "IS NAAM KA KOI BHI VYAKTI DIYE GAYE PATE PAR NAHI REHTA, ATAH PRESHAK KO WAPAS", which means that the receiver could not be traced and the letter was returned to the sender.
A show cause notice (SCN) was issued on 20-3-24, but there has been no reply within 15 days or so far. The adjudicating authority reached the conclusion that the company was not maintaining a registered office as required or failed to inform about the changes made to its registered office and thus violated the provisions of Section 12(1) of the Companies Act.
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Section 12(1) of the Companies Act states that “a company shall, within thirty days of its incorporation and at all times thereafter, have a registered office capable of receiving and acknowledging all communications and notices as may be addressed to it.”
A penalty of Rs. 4 lakhs was imposed on the company and its 3 directors under Section 12(8) of the Companies Act, and they were instructed to make an e-payment within 90 days of the receipt of the order.
Section 12(8) of the Companies Act provides that “(if any default is made in complying with the requirement of this section, the company and every officer who is in default shall be liable to a penalty of one thousand rupees for every day during which the default continues but does not exceed one lakh rupees.”
This order was passed by Seema Rath, Registrar of Companies and Adjudicating Officer for Uttar Pradesh, Kanpur.
To Read the full text of the Order CLICK HERE
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