ROC Uttar Pradesh Imposes Rs. 6.5 Lakh Penalty on Panem Industries Private Limited for Non-Disclosure of Related Party Transactions
Overview of the Adjudication Order
The Registrar of Companies, Uttar Pradesh I, headquartered at Kanpur, issued an adjudication order bearing Order ID PO/ADJ/07-2026/UP/02529 on 10 July 2026 under Section 454 of the Companies Act, 2013. The order was passed against Panem Industries Private Limited and its officers in default for contravening Section 134(8) of the Companies Act, 2013, arising from the company's failure to disclose related party transactions for the financial year 2015-16 in accordance with Accounting Standard 18 read with Section 134(5) of the Act.
The total penalty imposed amounts to ₹6,50,000, comprising ₹3,00,000 levied on the company and ₹50,000 each on seven individual officers in default.
Appointment of the Adjudicating Officer
The Ministry of Corporate Affairs, through Gazette Notification No. S.O. 698(E) dated 10/02/2026, designated the undersigned as the Adjudicating Officer under Section 454 of the Companies Act, 2013, read with the Companies (Adjudication of Penalties) Rules, 2014. The officer was conferred with powers to adjudge and impose penalties for violations of the provisions of the Act.
Company and Noticee Details
Company Information
Panem Industries Private Limited is a private limited company registered under the provisions of the Companies Act, 2013/1956, with the following details:
- CIN: U27109UP1990PTC012439
- Registered Office: Plot No. 795, Gudhrauli, Chaudagra, NA Fatehpur, Fatehpur, Uttar Pradesh – 212665
Officers in Default (Noticees)
The following individuals were identified as officers in default and were issued notices accordingly:
| S. No. | Name | DIN |
|---|---|---|
| 1 | Praveen Nemani | 01111455 |
| 2 | Manoj Nemani | 01842350 |
| 3 | Rishi Katyal | 02551147 |
| 4 | Sharda Nemani | 03310557 |
| 5 | Vinay Kumar Dubey | 08110909 |
| 6 | Ena Katyal | 06814006 |
| 7 | Siddhartha Katyal | 01842531 |
Relevant Legal Provisions
Section 134(5) – Board's Responsibility Statement
Section 134(5) of the Companies Act, 2013 mandates that the Board of Directors must include a responsibility statement in their report confirming compliance with applicable accounting standards, including disclosures pertaining to related party transactions as required under Accounting Standard 18.
Section 134(8) – Penalty for Default
Section 134(8) of the Companies Act, 2013 prescribes the following penal consequences for non-compliance:
"If a company is in default in complying with the provisions of this section, the company shall be liable to a penalty of three lakh rupees and every officer of the company who is in default shall be liable to a penalty of fifty thousand rupees."