EXEMPTION FROM SUBMISSION OF NBFC RETURNS BY MBFCs & MBCs

The position regarding submission of Annual Returns by Mutual Benefit Financial Companies (MBFCs) (Notified Nidhis) and Mutual Benefit Companies (MBCs) (Potential Nidhis) have been reviewed by the the Ministry of Company Affairs 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.