Penalty Imposed on company and Its Directors for Failure to Maintain Functional Registered Office

The ROC received a complaint and attempted to contact the company at its registered Mumbai office on December 15, 2025. However, the official letter was returned undelivered with remarks stating the address was “insufficient” and the company had “LEFT”, proving they were not maintaining a functional office capable of receiving communications as required by Section 12(1) of the Companies Act, 2013. Despite a subsequent “Show Cause Notice” issued on February 3, 2026, the company and its directors failed to respond or provide evidence of a valid office, leading the adjudicating officer to impose a total penalty of Rs. 72,000—split equally at Rs.24,000 each between the company and its two directors—for the 48-day period of non-compliance.

Did PNMS Polymers Private Limited and its directors violate Section 12(1) of the Companies Act, 2013, by failing to maintain a functional registered office capable of receiving official government communications?

The Adjudicating Officer found PNMS Polymers Private Limited and its directors guilty of failing to maintain a registered office, imposing a penalty of Rs. 1,000 per day for a 48-day period of default (from December 17, 2025, to February 3, 2026) as recorded in the order. This resulted in a total fine of Rs.72,000, split equally with the company; Mr Pankaj Kumar Mahto and Mr Neeraj Kumar were each ordered to pay Rs. 24,000. Crucially, the order mandates that the directors must pay these fines from their personal income rather than company funds and requires the default to be rectified and paid within 90 days, though the parties have 60 days to appeal the decision.