Nidhi Company:

The literal meaning of Nidhi is ‘fund’, ‘finance or treasure’. Nidhi Company is incorporated with the object of developing the habit of thrift and save and reserve the funds amongst its members and also receiving deposits and lending from and to its members only, for their mutual benefit.

Though there are no separate registrations to be done under RBI for a Nidhi company, RBI has the power to issue directives to them. However, Nidhi company needs to fulfill the minimum requirements for the registration, which are as follows:

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• A minimum of 7 members

• Minimum 3 directors

• All such companies must apply “Nidhi Limited” after its name.

• Every Nidhi company must ensure within a period of one year from the commencement that it has not less than 200 members.

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Nidhi Company Annual FIling:

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Nidhi Company is required to file  returns twice a year and yearly returns once with ROC every year. Apart from this Nidhi Company is also required to file its Financial Statements in Form AOC 4 and Annual Return in form MGT 7 annually with ROC.

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Following are the forms required to be filed by Nidhi company every year with ROC:

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• Form NDH 1

• Form NDH 3

• MCA Form MGT 7

• MCA Form AOC 4

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Every Nidhi Company is required to comply with provisions of Companies Act, 2013 and Nidhi Rules, 2014. In a way every Nidhi Company is a Public Limited Company. Hence it requires to follow all the provisions applicable to Public Limited Company unless exempted from compliance of specific section with or without any modification.