New Delhi: The registors of the company (ROC) have discovered heat to Nidhi and their directors for violating the right of society and signaled a close regulatory control of these non -banking creditors.
So far, 63 penalty orders have been issued against these companies and their directors against 33 for the same period a year ago, they showed official data. These represent almost a quarter of all orders on the decision issued by ROC this year.
Breach of NIDHI companies includes non -relevant registered authorities that do not provide for statutory auditor or report reports, do not report ROC Council resolutions and operate without ensuring the state of NIDHI from the government, showed criminal orders issued by ROC.
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NIDHI is a non -banking financial company that receives deposits from its members and lends them only. Pursuant to Section 406 of the Act on Companies, they must have at least 200 members within one year of its establishment and maintain a certain ratio of the capital base to deposits to avoid excessive leverage.
“Improved supervision”
ROCs follow these companies carefully monitored because they accept public funds and many of them operate in rural areas, so that community members are vulnerable to any failure or unlawful conduct, the person informed of the development said.
“There are various other forms of mutual benefits and credit institutions, including microfinance companies, Chit funds, cooperative companies and small non -banking creditors who deal with the financial needs of people,” said that person who did not want to be named. These entities are subject to the supervision of the governments of the state, the Indian reserve banks (RBI) and the Ministry of Cooperation.
“After reworking the legal processes of companies, ROC now focuses more on activities in the area of law enforcement than to digest time and resources by receiving legal submissions. This leads to a strengthening of the supervision of the administration and management of companies,” added the person.
In 2023, the Ministry set up a centralized voluntary closing agency, allowing businesses to be able to closure anywhere in the country to access the Center for the processing of an accelerated company departure (CPACE) in Manesar. He also integrated his legal portal by submitting MCA21 into the National Single Window (NSWs) system, which offers various central and state approval in one place to register new businesses. In addition, several statutory submissions now require only online confirmation, not ROC approval, allowing them to focus on enforcement and decisions.
Questions sent by e -mail a spokesman for the Ministry of Business Affairs on Wednesday remained unanswered at the time of publishing.
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