If non eligible co. has accepted deposit exceeding 50% of the paidup capital and free reserve and it does not repay by March 2014. Then what are the penalties and prosecution??
Vandana J Doshi
(Practising Company Secretary)
(12562 Points)
Replied 27 August 2014
Gaurav
(ACS)
(90 Points)
Replied 27 August 2014
But section 74 says if the co. fails to repay deposit within time specified then co. shall be punishable with fine which shall not be less than one crore which may exyend to 10 crores. Further officer in default will be punishable with not less tha 25 lakhs which may extend to 2 Crores.
Vandana J Doshi
(Practising Company Secretary)
(12562 Points)
Replied 27 August 2014
Gaurav
(ACS)
(90 Points)
Replied 27 August 2014
Originally posted by : gaurrav | ||
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But section 74 says if the co. fails to repay deposit within time specified then co. shall be punishable with fine which shall not be less than one crore which may exyend to 10 crores. Further officer in default will be punishable with not less tha 25 lakhs which may extend to 2 Crores. | ![]() |
Then these are also applicable along with general penalty?? I just wanted to confirm as for a Private Company or a public co. having net worth of less than 100 Crores these penalties are too hefty.
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