Ozg Mutual Benefit Co. Consultant
Ozg Center, Ahmedabad, New Delhi & Mumbai
Phone # 09811415831-37-61-72-84-92-94
Website: www.nidhicompany.com
Email: ask@mutualbenefit.co.in
RBI / 2006-2007/226
DNBS (PD) CC. No. 88 / 03.02.21 / 2006-07
January 04, 2007
To,
Mutual Benefit Financial Companies (Nidhis)
and Mutual Benefit Companies (Potential Nidhis)
Dear Sirs,
Submission of returns by Mutual Benefit Financial
Companies (MBFCs) and Mutual Benefit Companies (MBCs)
As you are aware, the Ministry of Company Affairs
has taken over the entire regulation of Mutual Benefit Financial Companies (Notified
Nidhis) and Mutual Benefit Companies (Potential Nidhis). The position regarding
submission of Annual Returns by MBFCs and MBCs has been reviewed by the Department
and it has been decided not to call for Annual Return in First Schedule, audited
balance sheet & profit and loss account, auditor’s certificate and other
particulars as contained in paragraph 8 of Non-Banking Financial Companies Acceptance
of Public Deposits (Reserve Bank) Directions, 1998. However, once the application
of MBCs (Potential Nidhis) for grant of nidhi status is rejected by the Ministry
of Company Affairs, the provisions of the said Directions as applicable to NBFCs
would apply to such companies.
2. A copy each of the amending Notification No. DNBS.191 / CGM (PK) – 2007 dated January 04, 2007 as well as updated Notification No.DFC.118 / DG (SPT) – 98 dated January 31, 1998 are enclosed for your information and meticulous compliance.
3. Please acknowledge receipt to the Regional Office of the Department of Non-Banking Supervision, Reserve Bank of India under whose jurisdiction the Registered Office of your company is situated.
Yours faithfully,
(P. Krishnamurthy)
Chief General Manager-in-Charge
Notification No. DNBS. 191 / CGM(PK)-2007 dated January 04, 2007
The Reserve Bank of India, having satisfied
that, in the public interest, and to enable the Bank to regulate the financial
system of the country to its advantage, it is necessary to amend the Non-Banking
Financial Companies Acceptance of Public Deposits ( Reserve Bank) Directions,
1998 , in exercise of the powers conferred by sections 45J, 45JA, 45K and 45L
of the Reserve Bank of India Act, 1934 (2 of 1934) and of all the powers enabling
it in this behalf, hereby directs that the said directions contained in Notification
No.DFC.118/DG(SPT)-98 dated January 31, 1998 shall stand amended with immediate
effect as follows, namely -
Sub-paragraph (2) of paragraph 3, shall be substituted
by the following paragraph :
"The provisions contained in paragraph
4 except sub-paragraphs (7), (15) and (16) and paragraphs 5, 6 and 8 of these
directions shall not apply to a Mutual Benefit Financial Company and a Mutual
Benefit Company."
(P. Krishnamurthy)
Chief General Manager-in-Charge
