ROC Imposes Penalty Over Non-Filing of Financial Statements in Form AOC-4 for FY 2019-20 and 2020-21:

ROC Imposes Penalty Over Non-Filing of Financial Statements in Form AOC-4 for FY 2019-20 and 2020-21 The Registrar of Companies (ROC) Uttar Pradesh has levied a penalty of about Rs 2.92 lakh on the company Lokvikas Benefit Nidhi Limited and three of its directors for violating the provisions of Section 137(3) of the Companies Act 2013. Previously, SCA MCA through a letter dated April 10, 2020,  had released instructions to conduct an inquiry of the disputed company in accordance with Section 206(4) of the Companies Act, 2013. During the enquiry, when the concerned official analysed the documents and information submitted and filed by the company, it was noted that the company had filed Financial Statements (FS) for the financial years 2017-18, 2018-19; however, it had not filed the FS for the financial year 2019-20.

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However, the company has now completed the Financial Statements (FS) filing for the financial year 2020-21, skipping the financial year 2019-20. It was further observed that in Form AOC-4 for the financial year 2020-21, the Auditors Report pertained to the financial year 2020-21; however, the balance sheet concerned the financial year 2019-20. The disputed company had successfully furnished Form AOC-4 vide SRN: T79784518 for the financial year 2020-21; however, in the form, the balance sheet attached pertained to the financial year 2019-20. Based on all the aforementioned findings, it was concluded that the company had not furnished the Financial Statements in Form AOC-4 for the financial years 2019-20 and 2020-21. Considering the aforementioned non-compliance, penalty proceedings were initiated against the default company and its directors for violation of Section 137(1) of the Companies Act, 2013.

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As a result, a penalty of about Rs 1.42 lakh is imposed on the company, Lokvikas Benefit Nidhi Limited, and Rs 150,000 on its three directors named Ambika Sharma, Dilip Sharma, and Puja Sharma (Rs 50,000 on each). The company and directors have been granted a time limit of 90 days from the day of order receipt to pay the imposed penalty amount and rectify the default mentioned above.