ROC levies Penalty of Rs.6 Lakhs on Reliance Chemotex for delay in Filing of Ben-2

The Ministry of Corporate Affairs (MCA) has imposed a Penalty of Rs.6 Lakhs on Reliance Chemotex for the delay in Filing of Ben-2.

Reliance Chemotex Industries Limited (CIN L40102RJ1977PLC001994) is registered with this office under the provisions of the Companies Act, 1956 and has its registered office at Village Kanpur, Post Box No.73, Udaipur, Rajasthan- 313003.

Facts of the Case

It has been observed that the Respondent Company’s Significant Beneficial Owner(s) have submitted their declaration(s) dated 31.03.2020 to the Respondent Company in Form BEN-1 in accordance with Section 90(1) of the Companies Act, 2013 and the Rules adopted thereunder.

Furthermore, the above declaration(s) were required to be filed with the Registrar on or before September 30, 2020 (the maximum time extended by the Government of India via General Circular No. 11/2020) in accordance with Section 90(4) of the Companies Act, 2013 and Rule 4 of the Companies (Significant Beneficial Owner Rule, 2018). However, the Respondent Company filed the same with the Registrar on 10.01.2024 under SRN F89888879 with a delay.

In view of the above, this office is in view that the Respondent Company and its officer in default have violated the provision of section 90(4) of the Companies Act, 2013 read with Rule 4 of the Companies (Significant Beneficial Owner Rule, 2018).

Therefore, this office has issued a Show Cause Notice dated 26.04.2024 to the Respondent Company and its officers in default and directed them to furnish their replies in the matter within 15 days from the date of the notice.

In this regard, the Respondent Company responded with a letter dated 08.05.2024, saying that it had received advisory e-mails dated 11.10.2023 and 05.11.2023 in the case from the 0/o Registrar of Companies, Central Scrutiny Centre, Ministry of Corporate Affairs. Following that, the Respondent Company filed e-Form BEN-2 with the Registrar on January 10, 2024.

The Respondent Company’s response was analyzed, and it was discovered that there is a significant delay between the declaration’s submission and the filing of e-Form BEN-2. As a result, the Respondent Company’s response was determined to be inadequate.

In view of the above facts, the undersigned has reasonable cause to believe that the provision of section 90 (4) of the Companies Act, 2013 read with Rule 4 of the Companies (Significant Beneficial Owners) Rules, 2018 has not been complied with by respondents and therefore liable for penal action under section 90 (11) of the Companies Act, 2013. Accordingly, in the exercise of the power of 454 (3) of the Companies Act, 2013, hereby a penalty Rs.6,00,000 of has been imposed on the respondents.

It is believed that the punishment is proportionate to the aforementioned failure committed by the respondents and that the penalty imposed on the Officers-in-Default will be paid from their personal sources/income. It is further directed that any penalties imposed be paid only through the Ministry of Corporate Affairs portal, as specified in Rule 3(14) of the Company (Adjudication of Penalties) Amendment Rules, 2019, with prior notice to this office.

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