ROC Uttar Pradesh Imposes Penalty Under Section 92(5) of Companies Act, 2013 for Failure to File Form MGT-7

Background and Overview

The Registrar of Companies, Uttar Pradesh — I, operating from its office at 2nd Floor, Kendriya Bhawan, GPOA Building, Fazalganj, Kanpur — has passed an adjudication order imposing monetary penalties on a Nidhi company and its directors for non-compliance with the annual return filing requirements under the Companies Act, 2013. The order, bearing reference Order ID: PO/ADJ/05-2026/UP/02253, was issued on 21st May 2026, and pertains to the failure to file the annual return in Form MGT-7 for the financial year ending 31st March 2020.

The case serves as an important reminder for companies — particularly smaller entities such as Nidhi companies — that procedural compliance obligations under the Companies Act, 2013 cannot be overlooked, even when such companies may not be operationally active or may perceive certain filings as routine formalities.

Appointment of Adjudicating Officer

The adjudication was conducted under the authority vested by the Ministry of Corporate Affairs through its Gazette Notification No. S.O. 831(E) dated 24/03/2015, which appointed the Registrar of Companies as the Adjudicating Officer under Section 454 of the Companies Act, 2013, read with the Companies (Adjudication of Penalties) Rules, 2014. This empowers the office to examine defaults and impose penalties for violations of various provisions of the Act.

Details of the Company and Individuals Involved

Company Particulars

The proceedings were initiated against LOKVIKAS BENEFIT NIDHI LIMITED, a company registered under the provisions of the Companies Act, 2013, bearing CIN: U67190UP2017PLC093239, with its registered office situated at Gurawalia Kushinagar NA Gorakhpur, Gorakhpur, Uttar Pradesh – 274302.

Individuals (Officers in Default)

The following individuals, being directors of the company, were identified as officers in default and made parties to the adjudication proceedings:

  • Ambika Sharma — DIN: 07805219
  • Dilip Sharma — DIN: 07805228
  • Puja Sharma — DIN: 08161221

Section 92(4) — Obligation to File Annual Return

Under the Companies Act, 2013, every company is mandated to file its annual return within the prescribed time period. Section 92(4) specifically imposes this obligation on companies, requiring them to submit the annual return in the designated form within sixty days from the date of the Annual General Meeting, or where no AGM is held, within sixty days from the date by which the AGM ought to have been held.

Section 92(5) — Penal Consequences for Default

Section 92(5) of the Companies Act, 2013 prescribes the penalty framework for non-compliance with Section 92(4). The relevant provision reads as under: