MCA Imposes Penalty on Company and Directors for Non-Compliance with S.118(10) of Companies Act

During the inquiry, the company’s board and members’ meeting minutes were reviewed, and the non-compliances in respect of general meetings and minutes of the board meetings were noted. The adjudicating authority reached the conclusion that there was a violation of Section 118(10) of the Companies Act, 2013, and decided to impose a penalty under Section 118(11) of the Companies Act.

In the adjudication passed by the Ministry of Corporate Affairs (MCA) Registrar of Companies under Section 454 of the Companies Act, 2013, a penalty was imposed on the company and its 3 directors for the non-filing of financial statements for the financial years (FY) 2016-17 to FY 2021 under Section 118(10) of the Companies Act, 2013.