ROC Delhi and Haryana Penalise Company and Director for Registered Office Non-Compliance u/s 12(1)

The Registrar of Companies (ROC), NCT of Delhi and Haryana, under the Ministry of Corporate Affairs (MCA), has recently issued an Adjudication Order imposing a penalty on SKN Industries Limited and one of its directors/officers under Section 454(3) of the Companies Act, 2013, for violation of Section 12(1) of the Companies Act, 2013, in the matter of SKN Industries Limited (CIN: U27320DL1992PLC050472).

SKN Industries Limited is a registered company under the Companies Act 2013, and is located at 368/369, 3rd Floor, Basant Building, Chaudhary Market, Sultanpur Na, New Delhi, Delhi, 110030 as per the MCA-21 registry.

On October 10, 2017, the complaint section of this office issued a letter to the company, but it was received undelivered. ROC considered this violation under Section 12(1). Hence, ROC issued a show cause notice (SCN) to the company and its director/officer, namely Mr Satish Chopra, for the period of default from 10.10.2017 to 07.08.2019.

As per the law, the company and its director were liable for the penalty of Rs. 1 Lakh each, meaning a total of Rs. 2 Lakh. However, as it falls under the category of a small firm under Section 2(85) of the Companies Act, 2013, hence, the total penalty amount is reduced to half under Section 12(8) of the Companies Act 2013. Therefore, now the company and its director are liable to pay Rs. 50 Lakh each.

If the company is dissatisfied with the ROC’s order, it can file an appeal challenging the order with the Regional Director (NR), Ministry of Corporate Affairs, B-2 Wing, 2nd Floor, Paryavaran Bhawan, CGO Complex, Lodhi Road, New Delhi-110003, within a period of sixty days from the date of receipt of this order, in Form ADJ.