1. The petitioner company filed a compounding application for non-compliance with Section 217(4) of the Companies Act, 1956 regarding signing of the Board Report. 2. The ROC found that the Board Report was signed by only one director, whereas the provision requires it to be signed by at least two directors. 3. The petitioner stated this was an unintentional omission. The Tribunal imposed a fine of Rs. 10,000 each on the three directors totaling Rs. 30,000 to compound the offense, subject to payment within 30 days.

1. NATTONAI. COI4PANY LAW TRIEI'NAL
NEW DELHI BENCH
NEW OELHI
c. P:.NO. 16/120/16
cA. NO.
PRESENT: SMT. tNA MALHOTRA
Hon'ble Member (J).
AT.TEdDANCE.CUM-ORDER SHEET OF THE HEARING OF NEW DELHI BENCH OF
THE NATIONALCOMPANY I.AW TRIBUNALON 07.10.2016
NAME OF THE COMPANYT M/s. f4VM t,t€ta and A oys p!t, Ltd.
SECTION OF THE COMPANIES ACT:6214
s.No. NAME DESIGNATTON REPRESENTATION SIGNATURE
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ORDER
Thc petitioner company, which ms incorporat.d on 29.05.2007, h$ 6led the
pfe*nt com!.unding applicarion lor incomtler€ coml'liance of rhe provisions of
Section 217(4) of the Comtanies Act, 1956. Th€ Roc while i.mtinizing rh€ An.ual
R€?ot lbund thal the Boa.d Repon hdd been ligned bI onl), one Dir. !, whereas, as
p€r th€ pronsion ofsectio.217(4) ir was requircd ro be signed bI ar leas Mo direcroF.
2. Iin submitted by the petjtio!€Brhar thed€lault wasrotally unintentio.al and on
account ot an inadvenent o6ission.

2. ,
3. As per thc rpon, prcsecution has not been iniuated. The afor.said violarion is
punishable Us 217(5) of the ComPanies Act, 1956 which Povide3 for an imPosition of a
6ne which may exr€nd to Rs.20,000/ or with imPnsonmen! which may extend uPto 6
5. Cilen the fads oftlr (s that thee is no legal impediment in compouding or
rh€ aforesaid default 5nd the eme appeaB ro be or a.count ofan inadvedent ove6iSht,
ir wodd be $frci€nt to impc a 6ne of R3r0,000/- otr €sch of the PetitroneE.
Accodingly, lhe l'ine is impmed as under for the cntiie penod ofdelault.
4. Accordingry, ih€ oii.e of rne RoC las calcliat€d and recomhended the
ibpmition oftheft.xiouo 6ne ofls.2L{00/- on the ditctos
Nme oarhe A??licmts
Mr. Vrl.y Srn8la.Dre(ror Rs.I0,000/
Mr. 4F) BudhrBja, Dirr(or
Ms Pooja cuptu. Dirr!tor
6. Subject to th€ remittance of th. aforesaid line within 30 da)s, the ofence slall
srand compouded Complianc. Rcport be placed on record with due intimation to the
Z Petition slands disposed off in t fts of tle above and consigned to R€co.d Room.
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