Exemptions to Nidhis under section 462 of CA 2013. Nidhi Company is one of the category of Non Banking Financial Company (NBFC) which does not require any Reserve Bank of India (RBI) license. MCA Issued New Circular for Exemptions to Nidhis under section 462 of CA 2013. Read Complete News from below.
A nidhi company, is one that belongs to the non-banking Indian finance sector and is recognized under section 406 of the Companies Act, 2013. Their core business is borrowing and lending money between their members. They are also known as Permanent Fund, Benefit Funds, Mutual Benefit Funds and Mutual Benefit Company.
Exemptions to Nidhis under section 462 of CA 2013
In exercise of the powers conferred by clauses (a) and (b) of sub-section (1) of section 462 rcad with section 406 of the Companies Act, 2013 (18 of 2013) and in supersession of notification number GSR 517(E), dated the 31st August, 2006 and GSR 326(E), dated the 8th April, 2011 or any other notification issued under section 6204 of the Companies Act, 1956, except as respects things done or omitted to be done before such supersession, the Central Government in the interest of public, hereby directs that certain provisions of the Companies Act, 2013, as specified in column (2) of the Table, shail not apply or shall apply with such exceptions, modifications and adaptations, as specified in column (3) of the said Table, to /Vidhls, namely:-
2. The Nidhis, while complying with such exceptions, modifications adaptations, as specified in column (3) of the aforesaid Table, shall ensure the interests of their shareholders are protected.
3. A copy of this notification has been laid in draft before both Houses of Parliament as required by sub-section (2) of section 462 of the Companies Act, 2013.