Rule 3: Definitions

Rule 3: Definitions · Complied AI

(2)

Words and expressions used herein, but not defined in these rules and defined in the Act or in the Companies (Specification of definitions details) Rules, 2014 shall have the same meaning as assigned to them in the Act or in the said Rules.

3A. Dectaration of Nidhis. – The Central Government, on receipt of application (in Form NDH-4 along with fee thereon) of a public company for declaring it as Nidhi and on being satisfied that the company meets the requirements under these rules, shall notify the company as a Nidhi in the official Gazette:

Proviso

Provided that a Nidhi incorporated under the Act on or after the commencement of the Nidhi (Amendment)Rules, 2019 shall file Form NDH-4 within sixty days from the date of expiry of:-

(a)

one year from the date of its incorporation or

(b)

the period up to which extension of time has been granted by the Regional Director under sub-ruIe (3) of rule 5:

Proviso

Provided further that nothing in the first proviso shall prevent a Nidhi from filing Form NDH-4 before the period referred therein:

Proviso

Provided also that that in case a company does not comply with the requirements of this rule, it shall not be allowed to file Form No. SH-7 (Notice to Registrar of any alteration of share capital) and Form PAS-3 (Return of Allotment).

Proviso

Provided also that no company, which has not complied with the requirements of the this rule, or fail to comply with such requirement on or after the commencement of the Nidhi (Amendment) Rules, 2022, or in case the application submitted by the company in Form NDH-4 is or has been rejected by the Central Government, shall raise any deposits from its members or provide any loan to its members under the provisions of these rules from the date of such non-compliance, or from the date of the commencement of the above said rules, or the date of rejection of the application in Form NDH-4 whichever is later.

Proviso

provided also that if any deposit raised by the company after the date of non-compliance, or the date of commencement of the above said rules, or the date of rejection of the application in Form NDH-4 whichever is later as referred to in the fourth provision shall be deemed to have been raised have been raised in pursuance of Chapter V of the Act, and shall be subject to all the requirements under that Chapter, or under any other provisions of the Act or the rules made thereunder, as the case may be.

Proviso

Provided also that nothing in this rule shall apply to companies incorporated as Nidhi on or after the commencement of the above said rules.

Rule-3B (1) On and after commencement of Nidhi (Amendment) Rule, 2022, public company desirous to be declared as a Nidhi shall apply, in Form NDH-4 , within a period of one hundred twenty days of its incorporation for declaration as Nidhi, if it fulfils the following conditions, namely:-

(I)

it has not less than two hundred members: and

(II)

it has Net Owned Funds or twenty lakh rupees or more.