by Audit Analyst | Oct 13, 2025 | Nidhi Company
1. Legal Authority under the Companies Act A Nidhi Company is incorporated as a public limited company under the Companies Act, 2013 Like any registered company, it has the legal capacity to acquire, own, and transfer immovable property. This right is exercised...
by Audit Analyst | Oct 13, 2025 | Nidhi Company
1. Applicability of Section 188 of the Companies Act, 2013 Nidhi Companies are governed by Section 188, which regulates related party transactions under company law. Related parties include directors, key managerial personnel, their relatives, and associated firms or...
by Audit Analyst | Oct 13, 2025 | Nidhi Company
1. Legal Possibility of Changing Registered Office Yes, a Nidhi Company is legally permitted to change its registered office. The change must be made by the provisions of the Companies Act, 2013. The process depends on whether the move is within the same city, to...
by Audit Analyst | Oct 13, 2025 | Nidhi Company
1. Internal Dispute Resolution Mechanism Most Nidhi Companies include a dispute resolution process in their Articles of Association or internal policies. Members can submit written complaints to the Board of Directors or the Grievance Committee. The board may form a...
by Audit Analyst | Oct 13, 2025 | Nidhi Company
1. Board Meetings A Nidhi Company must hold a minimum of four board meetings in a calendar year. The gap between two consecutive board meetings should not exceed 120 days. These meetings are necessary to review and approve financial operations, loans, deposits,...
