IN RE Vs. RAEBAREILLY ALLAHABAD HIGHWAY PRIVATE LIMITED

JUDGEMENT

(1.) This petition has been filed u/s 441 of the Companies Act, 1956 praying for compounding of the offence u/s 96 of the Companies Act. The said petition which has been routed through the office of the RoC along with their comments, prays for compounding the default of not holding the AGM for the Financial year 2014-2015 within the period required under the Statute. The default has been made good as the company has since held its AGM for the Financial year 2014-2015 on 30.11.2016, a fact confirmed by the RoC.

(2.) As per the provision of Section 96(1) of the Companies Act, 2013:

(3.) The petitioner's offence relates to period from 01.10.2015 to 30.11.2016. The AGM which should have been held on or before 30.09.2015 was held on 30.11.2016 leading to a delay of 425 days. The aforesaid offence is punishable u/s 99 of the Companies Act, whereby the Company and every officer who is in default is punishable with a fine which may extend to Rs. 1,00,000/- and in the case of continuing default with a further fine which may extend to Rs. 5000/- for every day during which the default continues. Accordingly, RoC has recommended the imposition of a compounding fee of Rs.22,20,000/- on the company and the other applicant.