ROC compliance refers to the adherence to the statutory requirements laid down by the Registrar of Companies. The ROC is responsible for maintaining and regulating the corporate affairs of registered companies in India. Compliance with ROC regulations ensures that companies operate within the legal framework and fulfill their obligations towards the government and stakeholders.

Company audit is a critical component of corporate governance that ensures transparency, accuracy, and compliance with financial regulations. An independent audit provides an objective assessment of a company’s financial statements, internal controls, and adherence to accounting principles. It helps in identifying financial irregularities, mitigating risks, and instilling confidence in stakeholders, including investors, lenders, and shareholders.

Private limited companies in India are required to fulfill certain annual compliance obligations. These include:

Annual General Meeting (AGM): Private limited companies are required to hold an AGM within six months from the end of the financial year. The AGM provides an opportunity for shareholders to discuss company matters, approve financial statements, appoint auditors, and make important decisions.

Financial Statements: Private limited companies must prepare and file financial statements, including the balance sheet, profit and loss statement, and cash flow statement, as per the prescribed format and accounting standards.

Director’s Report: A private limited company’s director’s report should contain important information about the company’s operations, financial performance, significant events, and future prospects. It should also disclose compliance with applicable laws and regulations.

Audit and Filing of Annual Return: Private limited companies need to get their financial statements audited by a qualified auditor and file the annual return with the ROC. The annual return includes information about the company’s directors, shareholders, share capital, and other statutory details

Apart from annual compliance, private limited companies have ongoing ROC compliance obligations, including:

Maintenance of Registers and Records: Private limited companies are required to maintain various registers, such as the register of members, register of directors, register of contracts, and register of charges. These registers should be regularly updated and made available for inspection.

Board Meetings: Private limited companies must hold regular board meetings, with a minimum of four meetings in a calendar year. These meetings serve as a platform for directors to discuss and make decisions on company matters.

Filing of Forms and Returns: Private limited companies need to file various forms and returns with the ROC within the prescribed timelines. These include forms for changes in directorship, share capital, registered office address, and other significant events.

Nidhi companies are a type of non-banking financial institution that operates on the principle of mutual benefit. Some specific compliances for Nidhi companies include:

Minimum Number of Members: Nidhi companies must have a minimum of 200 members within one year of incorporation.

Net Owned Funds: Nidhi companies must maintain a minimum net owned fund as per the Nidhi Rules, which should not be less than ten lakh rupees.

Lending and Borrowing Restrictions: Nidhi companies are restricted from engaging in any lending or borrowing activities outside their members. They can accept deposits and provide loans only to their members.

Statutory Compliance Filings: Nidhi companies are required to file various forms and returns with the ROC, similar to private limited companies, ensuring compliance with the Nidhi Rules