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REGISTERED No. D. 221

The Gazette of India

EXTRAORDINARY

PART III—Section 4

PUBLISHED BY AUTHORITY

No, 2) NEW DELHI, MONDAY, AUGUST 37, 1973 BHADRA 5, 1895

Separate paging is given to this Part in order that it may be filed as a separate compilation

RESERVE BANK OF INDIA (Department of Non-Banking Companies)

NOTIFICATION

Calcutta, the 23rd August 1973

No. DNBC21/DG(S)-73 —The Reserve Bank of India having considered it necessary in the public interest to give the directions mentioned below, hereby, in exercise of the powers conferred on it by sections 45J and 45K of the Reserve Bank of India Act, 1934, gives the directions hereinafter specified.

PART I—Preliminary

1. Short title and commencement of the directions.—These directions shall be known as the Miscellaneous Non-Banking Companies (Reserve Bank) Directions, 1873. They shall come into force with effect from the 1st September ] 973 and any reference in these directions to the commencement thereof shall be deemed to be a reference to that date.

Election directions.—These directions shall apply to every non-bank- ing institution, which is a company, not being a banking or an insurance com- pany, and which carries on any of the following types of business;—.

(1) collecting whether as a promoter, foreman, against or in any other capacity, monies in one lump sum or in instalments by way of con- tributions, or subscriptions or by sale of units, certificates or other instruments or in any other manner or as membership fees or admis-

(9)

sion fees or service charges to or in respect of any savings, mutual benefit, thrift, or any other scheme or arrangement by whatever name called, and utilising the monies so collected or any oart thereof or the income accruing from investment or other use of such monies for all or any of the following purposes—

(a) giving or awarding periodically or otherwise to a specified number of subscribers as determined by lot, draw or in any other manner, prizes or gifts in cash or in kind, whether or not the recepient of the prize or gift is under a liability, to make eny further payment in respect of such scheme or arrangement;

(b) refunding to the subscribers or such of them as have not Wen any prizs or gift, the whole or part of the subscriptions, contributions, or ether monies collected, with or v.'itnout any bonus. premium, interest or oiher advantage, howsver, called, on the ierr.iinrtion • : the scheme or arrangement, or, on or after the expiry of the period stipulated therein.

(2) r.-.snagir^, londiicting or supervising a° a promoter foreman or agent of any transaction or arrangement bv which <"h.c company enters in So an psrei.ment wi'h a specified number or subscribers that every one of tiiem shall subscribe a certaii sum in instalments' n\cr a definite period and that every one of such subscriber shall in his turn, as determined by lot or by auction or by tender or in such ot?t

Explanation.—For the purposes of this sub-paragraph, the expression "prize amount" sh.;il mean the amount, by whatever came it be called, arrived at by deduction from out oi the total amount subscribed at each insialment b^ aU subscribers, (a) the commission charged by the company or service charges as a promoter or a foreman or an agent and (b) any sum which a subscriber agrees to forego, from out cf the total subscriptions of each instalment, in consideration of the 'be lance being paid to him.

(3) conducting any other form of chit or kuri which i- different from the

type of busiipss refei-red to in sub-paragraph (21 above;

(4) undertaking or cv-rv^.i. on or eng^gin? in or executing any other bu.'iiness similar to the business referred to in sub-paragraphs (]) to (3).

3. Definitions.— (1) In thase directions, unJess the context otherwise requires, (a) "advertisement" means any matter nubUshed on behilf cf tha company in r> newsnaner and any Oith~r written or printed matter pub^shed in she form of a notice, prospectus, circular

(b) "banking company" mearK a banking comt>an-r as defined in s°ction

5(c> of the Banking Regulation Act, 1949 (10 of 1949);

(c) "co" ->~?_-.'v!' wj';nc ? eemoi^y ~s defined ir. rec'.ion ? of the Co:no?niPS Act. IS'iS (1 of 195^) find includes ? forei^p cotrpony v^thir. the meaning of section 591 oi the said Act bat ooes not include a com- pany which is losing wound UD under any lav/ fcr the iin:e fcuing in force;

(d) "deposit" means any deposit of money with, and includes anv amount

borrc\v?d by, a company. bv.t, do°s not include—

(i) any money received or collected under a transaction or arrangement referred to in sub-paragraph (2) of paragraph 2;

(ii) any money received from or guaranteed by the Central Government or a State Government or any loan received from a local authority or a foreign Government or any other foreign citizen, authority or persons;

(iii) any money received from a banking company or from the State Bank of India or from a banking institution notified hv the Central Government under section 51 of the Banking (Regulation Act, 1949 (10 of 1949) or a corresponding new bank as defined in section 2 of the Banking Companies (Acquisition and Transfer of Under- takings) Act, 1970 or from a co-operative bank as defined in clause (bii) of section 2 of the Reserve Bank of India Act, 1934 (2 of 1934);

v⁶? °L T

(iv) any loan received from the Industrial Development Bank or India established under the Industrial Development Bank of India Act, e AIn(Justria] Finance Corporation of India established under the Industrial Finance Corporation Act, 1948 or a State Fin- ancial Corporation established under the State Financial Corpora- tions Act, 1951 or the Tamil Nadu Industrial Investment Corpora- tion Jjtd or the Industrial Credit and Investment Corporation of Incut, Ltd, or the National Industrial Development Corporation of India Ltd. or the Shipping Development Fund CommiUee or the Life Insurance Corporation of India or the Rehabilitation Indus- tries Corporation of India Ltd. or an Electricity Board constituted under the Electricity (Supply) Art. 1948 or the State Trading Corporation oi India Ltd. or the Rural Electrification rorpnraiioi Ltd. or the Minerals and Metals Trading Corporation oi India L

(v> any money received by a company from any oMier company; •fvi) any money received from a person, who, at thj lime -u the receipt of the loan was or is a director of the comusnv or any money received by a private company from its shareholders:

Provided that, in the case of any money received on or after the commencement of these directions the person from whorr 1 tie money is received has furnished to the empany rl the tiir.e when the money is received, a declaration by such person, jn writing, that the money has not been given by such person out of funds acquired by him by borrowing or accepting deposits from another person;

(vii) any money received from an employee of the company by way of security deposit;

(viii) any money received by wav of Fubscriftirm to any rharos or st'vk or any bonds or debentures (such bonds or dpbentu>-es bc'ng secured hv a charge on or lif>n on th"? nssei" of the company) pending the allotment of the snid shares, stock, b'mr's ov c'obeiil.nw?!* and any monev received by way of calls in advance on ihqre:; in accordance vifh Ihc ''ompany's articles of association so Ions fis such money is not repayable to the members under the articles of association of the company.

(e) "depositor" includes ;iny person who has given a loan; (f) "foreman'' means a person who under the chit T kuri as'/p^ment or any other scheme or arrnncrmen,'; is responsibly for The conduct of the chit or kuri or such schciie or arranKemerr;

or section 33A of ;be Tncome-tax Act 1PR1 or under any other law which is for the UTTM? bcinc in force but shnli not include depreciation and renewal reserves or other res-rv^s which mav be ear-^rked or declared bv the com- pany to be earmarked for any specified purpose;

;(h) "insurance company" means anv cnmpanv reRistored lor aiv class of insurance business under section 3 of the Insurance Act, i83fl (4 nf 1938);

(i) "miscellaneous non-bnnkintr company" means a company carrying en any of the types of business referred to in paragraph 2 of these directions;

i"il anv other words or exnressions used but not defined herein ;nid defined (i) any^othei w o r ^ o r ^e ^. ^^ ^ rf ^^ h a vg t hp meanm,,a

respectively assigned to them in that Act;

(k) the date on which an advertisement is issued shsll for the purpose of

these directions be deemed—

en which it is so published, and

(ii) if the advertisement is not published in any newspaper, to be the date on which the text thereof has been approved by the manager of the company.

(2) If any question arises whether the business of a company is such as is referred to in paragraph 2 of these directions, the Reserve Bank's decision there- on shall be final:

Provided that before arriving at a decision in regard to any fuch question, the Reserve Bank shall have regard to the following considerations and circums- tances, namely:—

(i) the nature of the business conducted by it including the sources of it's

finance and the utilisation of its funds;

(ii) the relevant provisions of its Memorandum of Association; and (iii) .the nature and sources of its income.

PART II—Acceptance of Deposits

4. Acceptance of deposits by miscellaneous non-bankinjr companies,;—On and

from (the 1st September 1973—

(a) no miscellaneous non-banking company ehall receive any deposit r e- payable on demand, or on notice, or repayable after a period of lflss than aix months from the date of receipt of such deposit, or renair any deposit received by it whether before or after the date of com- mencement of ,these directions, unless- such deposit, on renewal, ii repayable not earlier than six months from the date of such renewal,.

(b) rio miscellaneous non-banking company shall receive any deposit, which together with any other deposits falling under the same category (as specified hereinafter), already received and outatandine on the books of the company, is in excess of the limits hereinafter specified in respect of each of the following categories of deposits, namely—

(i) in the case of a deposit received against an unsecured debenture or from a shareholder (not being a deposit received by a private company from its shareholder On a declaration as Is referred to in the proviso to sub-clause (vi) of clause (d) of sub-paragraph (1) of paragraph (3) or a deposit guaranteed fey a person, who, at the time of Kivinpj of the guarantee was or is a director of the' company, twenty-five per cent of the aggregate of the paid-up capital and free reserves of the company;

(ii) in the case of any other deposit, twenty-five per cent of the aggre- gate of the paid-up capital and free reserves of the company.

Provided that for the purpose of clause (b), "deposit" shall not include any loan secured by the creation of a mortgage or pledge of the assets of the com- pany or any part thereof—

(a) if there is a margin of at least twenty-five t>er cent of the market

value of the assets charged as security for the loan; and

(b) in case more than twenty persons are Riven the same assets as security for the loan, the mortgage or pledge, as he case may be, is also created in favour of a trustee, which should be either a scheduled commercial bank or an executor find trustee comramv which iq a subsidiary of such scheduled commercial bank and the company has executed a trust deed in favour of the scheduled commercial bank or its subsidiary, as the case may be:

Provided further that if +hp Reserve B;\n\ l<* SR+isfled that a mortgage or a pledge created bv a company is not in the public interest, it may declare that the deoosits souaht tn be secured by well mortgage or pledge shall still be deemed to be depo-its, and shall not be entitled to the benefit of the first proviso.

5, Provision in respect of existing deposits of miscellaneous non-banklnsr com-

panies.—fl) Where, as at the commencement of the business on the 1st Septem- ber 1973, the aggregate of deposits, of a miscellaneous non-banking company, of the kinds referred to in sub-clauses (i) and (ii) respectively of clause (b) of

paragraph 4 is in excess of twenty-five per cent of the aggregate of its paid-up capital and iree reserves, such company shall secure that—

(a) at least one-third of the said excess shall be reduced before the 1st

October 1974;

(b) at least another one-third of the said excess shall be reduced before

the 1st October 1975; and

(c) the balance, if any, of the said excess shall be reduced before the 1st

October, 1976,

"by the repayment of the deposits as and when they mature for payment or in .such other manner as may be necessary for complying with this provision.

(2) Every miscellaneous non-banking company which as at the commence- ment of business on the 1st September 1973, holds any deposits of one or more of the kinds referred to in paragraph (1) and repayable on demand or on notice or after a period of less than six months from the date of receipt of nuch deposits *hall—

(a) if the total amount of such deposits is riot in excess of twenty-five per cent of the aggregate of the paid-up capital and the free reserves of the company, secure before the 1st October, 1974, by taking such steps as may be necessary for this purpose, that the said deposits are either repaid or converted or renewed so as to make them re- payable not earlier than six months from the date of conversion or renewal:

(b) If the total amount of such deposits is in excess of twenty-five per cent of the aggregate of the paid-up capital arid the free reserves of the company, secure by taking such steps as may be necessary for this purpose that—

(i) before the 1st October 1974 at least so much of such deposits equal to twenty-flve per cent of the aggregate of the paid-up capital and the free reserves:

(ii) before the 1st October 1975, at least one-half of the halance of such deposits; and

(iii) before the 1st October 1976, the remaining position, if any, of such deposits,

is either repaid or converted or renewed so as to make them repayable not earlier than six months from the date of conversion or renewal.

Explanation.—In arriving at the aggregate of the paid-up capital and free reserves for the purposes of thia paragraph and paragraph 4, there shall t>e deducted from the aggregate of the paid-up capital and free reserves, as appear- ing in the balance-sheet of the company, the amount of accumulated balance of loss, if any, disclosed in the balance-sheet.

6 Particular to be specified In advertisements BOlicitins deposite —(1) No miscellaneous non-banking company and no other person on behalf of such a company shall issue or cause to be issued any advertisements aolicltinj? pr "ivitms deposits unless such advertisement is issuedon the authority and in the name of W Board of Directors or the Managing Director or the manager of the com- pany and carriea a reference to the date On which the said BoardI oi Director* or the Managing Director or the manager has approved of the text of the ad- vertisement and contains, in addition, the following information, namely:-

(a) the date of incorporation of the company, (b) brief particulars 01 the management of the company, (c) the nature of business actually carried on by the company and its subsidiaries, ii any,

(d) profita of the company, before and after making provision for tax, for

the three preceding financial years,

(e) dividends decided bv the company in respect of the paid years. (f) particulars rclntin* to the company as on' the date of the Jj^st audited balance sheet of the company (which date shall also be stated) under the following hends, that is to say—

(i) paid-up capital, (ii) free reserves,

(iii) deposits, (iv) any loan or advance obtained by the company and secured by a mortgage or charge including a floating charge or by any other hen_ on the property of the company, including temporary loans, as aefined in section 293 of the Companies Act, 1956 (1 of 1956), (v) any other amount borrowed by th_e company, including temporary Joans as aforesaid, and

(vi) accumulated balance of loss, if any.

(2) On and from the 1st January 1974, no miscellaneous non-banking com- pany shall accept, renew or convert any deposit, except on a written applica- tion by the depositor on the form to be supplied by the company, which form should contain all the particulars specified in sub-paragraph (1) of this para- graph.

7. Furnishing: of receipts to depositors.—(l) Every miscellaneous non-banking company shall furnish to every depositor or his agent, unless it has done so already, a receipt for every amount which has been or which may be received' by the company by way of deposit before or after the date of commencement of these directions.

(2) The said receipt shall be duly signed by an officer entitled *o act for the company in' this behalf and shall state the date of deposit, the name of the depositor, the amount received by the company by way of deposit, in words and figures, the rate of interest payable thereon and the date oa which the deposit is repayable.

8. Register of deposits.—(1) Every miscellaneous non-banking company shall¹ keep one or more registers in which shall be entered separately h\ the case of each depositor the following p'articulars, namely,

(a) name and address of the depositor, (b) date and amount of each deposit, (c) duration and the due date of each deposit. (d) date and amount of accrued interest or premium on each deposit, (e) date and amount of each repayment, whether of principal, interest or

premium,

(f) any other particulars relating to the deposit.

(2) The register or registers aforesaid shall be kept at the Eecistered office of the company and shall be preserved in good order for a period of not less than eight calendar years following the financial year in which the latest entry is made of the repayment or renewal of any deposit of which particulars are contained in the register:

Provided that if the company keeps the books of account referred to in sub- section (1) of section 209 of the Companies Act! 1956 (1 of 1956) at any place other than its registered office in, accordance with thp proviso to •'hat sub-section it shall be-sufficient compliance with this clause if the register aforesaid is Kept at such other place, subject to the condition that the comoany delivers to the Reserve Bank a copy of the notice filed with the Registrar under the provisc to the said sub-section within, seven days of such filing.

S. Information to be included in the Board's report.— (1) In every report ol the Board of Directors laid" before a company in general meeting under suo- section (1) of section 217 of the Companies Act. 1956 (1 of ln56) fifte" the date of commencement of these directions, there shall be included in the case of a miscellaneous non-banking company, the following particulars or information, nar-iely:—

(a) the tot-,1 number of depositors of the coi"~>nnv v;*~o=;p ,-ipposits have

(bf of the Te£rtfJemtlTR "n c l^i m ed or undi.bursed as referred to m clause five lakhs t W T . . ^ b - p a r a g r a ph exceed m the afigrcgate the sum of rupees nve laKiis, there shall also be included in the report a statement nn thp itpni

*™ZnZEu?rV°^ ^ t¹^ bV,the B°a rd OlDi?eCtOT" ^or the^paymeS'of^e . amounts clue to the depositors and remaining unclaimed or undisbursed,

PART III—Miscellaneous

n"^£' S ?p i es o f. glance sheet and accounts to be furnished to the Reserve "anK.—iwery miscellaneous nor.-banking company shall deliver to the Reserve .Bank unless it has done so already, an audited balance sheet as or, the last date of each financial year and an audited profit and loss account in respect of that year as passed by the company in general meeting within fifteen days of such meeting. 1]. Returns to be submitted to the Reserve Bank.— (1) Without prejudice to the provisions of paragraph 10, every miscellaneous non-bankini_' company shall submit to the Hcserve Bank a return, furnishing the information specified in the bchedule hereto, with reference to its position as on the dates specified in the said Schedule.

(21 (i) Every miscellaneous non-bankinc company shall, not later than one month from the coming into force of these directions or from the commencement of business whichever i3 later, deliver to the Reserve Bank, a written ttatemeni containing a list of—

fa) the names and the official designations of its principal officers; (b) the -name: end residential addresses of the directors of tha company;

and

(c) the specimen signatures of the officers authorised to sii?n on behalf of

the company, returns specified in sub-paragraph (11.

(ID Any change in the list referred to in clause (i) of this sub-paragraph shall be intimated to the Reserve Bank within one month from the occurrence of such change.

SCHEDULE

TAUT I

(a) Registered Office (b) Head/Administrative Office*

(3) State in which the company is registered

(4) No. of branches/offices**

(5) Status*: Private/Public limited company/branch of a foreign company

(6) Registration No. of the company

(7) Date of—

(a) Incorporation (b) Commencement of business

(8) Financial year of the company (9) Name(s) of the company's banker(s)

and addrcss(es)

Instructions for Filling the Return

1- The return should be submitted twice a year before 30th June and 30th December with reference to the company's position as on the 31st March and the 30th September respectively, irrespective of the date of the financial year of the company.

2. The submission of the return should not be delayed for any reasons such as the flnalisation/completion of the audit of the annual accounts. The compila- tion of the return should be on the basis of the figures available in the books of account of the company.

3. In the case of any company which is required to submit this return but which carries on chit fund business also as a foreman, amounts received by way of subscriptions under the chit or kuri agreements will NOT be treated as deposits vide clause (i) of paragraph 3(l)(d) of the Miscellaneous Non-Banking Companies (Reserve Bank) Directions, 1973 (hereinafter referred to in the Return as the Directions)—vide Notification No. DNBC.21/DG(S)-73, dated the 23rd August, 1973.

4. Unsecured borrowings with certain exception's mentioned in paragraph 3(1)(d) of the Directions ftre treated as deposits.

5. The number of accounts should be given in actual figures while the amounts of deposits should be given in thousands of rupees. Amount should be rounded off to the nearest thousand and three zeros omitted. For example, an amount of Rs. 4,560 should be shown as S and not as 4.6 or 5000.

6 Any money received which is specifically excluded from the term 'deposit' In sub-clauses (I) to (viii) of paragraph 3(l)(d) of the Directions should be classified against different Code Nos. under item IV In Sections (1). (li) and (ill) of this Patt of the return.

7 The periodwise classification of deposits reported in Section (11) of the return should be made against the various Code Nos. under items I & II accord- Ing to the periods for which they were originally received/last renewed and not according to the periods they have to run as from the 31st March or the 30th September i.e. the dates of' the return. Amounts with no specified period of maturity or repayable in Instalments should be shown against Code Nos. 1-10 and 18 under the above items respectively and the position explained suitably by footnotes.

8 Deoosits and exempted borrowings and receipts bearinV no interest should be classified against Code Nos. 1. 8. 15 and 22 under items I, II, III and IV res- pectively in Section (iii) of this Part.

•Strike off whatever is not applicable. #*A list showing the names and addresses of the places where the branches/ offices of the company are situated should be enclosed.

N0TE—The return after compilation should be sent to the Chief Officer, Department of Non-Banking Companies, Reserve Bank of India, 15, Netajl Subhas Road, Post Box No. 571, Calcutta-1.

9. Only those reserves which are shown or published in the balance sheet of "the company as being retained for any general or unspecified purpose should be treated as "free reserves" and shown in Section (iv) of this Part and Part II of the return. Afty'other reserve, the nomenclature of which as shown in the audited balance sheet indicates that it has been set apart for a specific purpose, should not be taken into account notwithstanding the actual purpose for which it has been created. The following reserves are generally treated as free reserves;

(i) General Reserve (ii) Capital Reserve (iii) Capital Redemption Reserve (iv) Contingency Reserve (v) Statutory Development Rebate Reserve or Development Allowance

Reserve

(vi) Balance in share-premium account (vil) Surplus which is in the nature of general reserve

10. A list containing the names and the official designations of the principal officers as also the names and addresses of the directors of the company should toe attached In case it has not so far been gent to the Reserve Bank of India as required in paragraph 11(2) of the Directions.

11 The return should be signed by the Manager (as defined in section 2 of the Companies Act 1956) and if there is no such Manager, by the Managing Director or any official of the eomoanv who has been duly authorised bv the Board of Directors and whose specimen signature has been furnished to the Reserve Bank for the purpose. In case the specimen signature has not been furnished in the prescribed card, the return' may be signed by the authorised official and his specimen signature furnished separately.

12 In case there is nothine to report in any Section of the return, it should be marked 'Nil' and the Manager's/Managing Director's/Authorised Officials Certificate appended thereto should be duly signed.

SECTION (i)

Deposits, etc. outstanding

As on the 31st March 197

the 30th September 197

A m o u nt (in

N o. of accounts Types of deposits, exempted borrowings and receipts

Code No.

thousands of

rupees)

I. Deposits of the kinds referred to in paragraph 4 (V) (t) of the

Directions

(a) U n s e c u r ed d e b e n t u r es . . . . ..

1

Q>) Deposits including unsecured loans received from share-

2

holders (not being shareholders of a private limited c o m p a n y) . . . . . . ..

3

(c) Deposits including u n s e c u r ed loans guaranteed by direc- tors in their personal capacity . . ..

(d) T o t al (a + b + c)

4

.

I

2

3

4

I I. Deposits of the kind referred to in paragraph 4(b) (if) of the

Directors

(e) Fixed Deposits . . . . ..

5

I. (ec) Any other deposits such as deposits collected in one

5A II

lump sum or in instalments by way of contributions or subscriptions or by sale of units, certificates or other instruments or as membership fees or admission fees or service charges to or in respect of any scheme or arrangement floated by the company

- *

(f) Total (e 1 ee)

6

GO T o t al of ( T) f ( I I) 4- ( I I I) . . ..

7

r V. Exempted borrowings and receipts not counting as deposits [vide paragraph 3(1) (d) (IJ W (viii) of the Directions]

8

(h) M o n ey received or collected u n d er a transaction or arrangement referred to in paragraph 2 (2) of t he Directions . . . . . . .. (1) M o n ey received from directors** . . ..

9

10

(J) M o n ey received f r om shareholders** in t he case of a private limited company . . . ..

11

(k) Security deposits from employees . . ..

(0 M o n ey received from joint stock companies (including

12

companies in t he same group)

Cm) Borrowing from banks a nd other specified institutions

13

(n) M o n ey received from foreign sources

14

(0) Secured deposits [vide 1st proviso to paragraph 4 (b)]

15

(p) O t h er e x e m p t ed borrowings a nd receipts n ot counting

16

as deposits

(q) T o t al 0" to (/>)

17

V. T o t al of I, I I, I II a nd IV above . . ..

18

• • P l e a se note that only m o n ey received from such persons on a declaration as is r e f e r r ed

to in t he proviso to sub-clause (vi) of clause (d) of paragraph 3 (1) is exempt.

S E C T I ON (ii)

Period of Deposits etc.

As on the 31st March 197

30th September 197

Periud of deposits, exemp- No.of

Types of 'lonrnits,

^cqpunts

exempted borrowings _

Code No.

Code No.

Amount (in thousands of rupees) and receipts

ted borrowings and / rceeiDis' [ Please see Instruction No. 7)

*>

5

6

4

¹

3

0

Repays!ilo on demand or mi notif,\. or othetv:ise in less tliaii 3 montlis

~>

i

in the rurm tj\ unie- cured dcticntuitSi de- posits uichiiMii'"' nr"'- curec¹ loiiris fVniT¹ sfmre- holders [nit being deposits received by

Repaya'.i¹c after u period ot 3 nio.it..!) or rr-orc Lut lc.,: lhan fi months

I

2

4

5 6

3

3 Repayable after a period of 6 months or more but less than 12 months

4 Repayable after a period of 12 months or more but less than 24 months

5

a private limited company

from its share-holders on

a declaration as is referred

to in the proviso to

sub-clause (vi) of clause

(d) of paragraph 3 (1)]

and deposits including

unsecured loans guaran-

teed by direc-

tors.

6

7

Repayable after a period of

24" months or more but

less than 36 months

Repayable after a period

of 36 months or more but

less than 60 months .

Repayable after a period

of 60 months or more .

Total of 1 to 7

8

[See Note No. ©]

Overdue and/or unclaimed

00 II. Deposits i.e. fixed

9

deposits j

10 Repayable on demand or on notice or otherwise in less than 6 months other than those men- tioned against Cede No. 9 above

11

12

Repayable after a period

of 6 months or more

but less than 12 months

Repayable after a period

of 12 months or

more but less than

24 months

13 Repayable after a period of 24 months or more but less than 36 months . .

14 Repayable after a period of 36 months or more but less than 60 months

15 Repayable after a period of 60 months or more .

16 Total of 9 to 15 [See Note

No. (u;]

0 00

Overdue anc/>r unclaimed

17

18 Repayable on demand or on notice or otherwise in less than 6 months other than tho?e men- tioned against Gx!e No. 9 ?bnve

19

III. Any other deposits such as deposits colle- ted ;n r.rte lump sum or in instalments by way of contribution* or s'.v-Kr-iptiorj"! or bj sjie !>' L'vts, certifica- tes or >_i":: cr instru- ments T as mem'oei- ship rt::-~, or admission fees 0* icrvice diaries to or in respect of sny

s c l i c r .K~ ' •• a r r a n g e m e nt

Repr.yt.ble after a period of 6 months or more but iebs than IJ. n-.ontlis

floated by the company.

I

2

5 6

3 4

20 Repayable after a period of 12 months or more but less than 24 months

21 Repayable after a period

        of   24 months    or  more
        but  less  than  36  months
22    Repayable  after  a  period
        of   36 months  or  more
        but  less  than  60  months
23    Repayable after  a period
        of  60  months  or more

24 Total of 17 to 23

[See Note No. (Hi)]

•oooo

25 Repayable on demand or on notice or otherwise in less than 6 months

26 Repayable by notice or otherwise, after a period of 6 months or more but leas than 12 months

IV. Exempted borrow- ings and receipts not counting as deposltti i.e. from share- holders * • in the case of private limited com- panies or directors, ••employees by way of security deposits, or money received from joint stock companies and all other exempted borrowings and receipts.

27 Repayable by notice or otherwise, after a period of 12 months or more but less than 24 months

28 Repayable, by notice or

otherwise, after a period of 24 months or more but leas than 36 months

29 Repayable, by notice or otherwise, after a period of 36 months or more but less than 60 months

30 Repayable, by notice or otherwise, after a period of 60 months or more

31 Total of 25 to 30

[Sot Note No. ("V)]

V. Total of I, II,

•ooooo

[See Note No. (v))]

III and IV

• *?lease note that only money received from such persons on a declaration as is referred Co in the proviso to sub-clause (vi) of clause (d) of paragraph 3 (1) is exempt.

NOTE.—<0 The totals of Code No. 8 should tally with those of Code No. 4 of SectonfY).

(it) The totals of Code No. 16 should tally with those of Code No. 5 of Section (i). (m) The totals of Code No. 24 should tally with those of Code No. 5A of Section (i). (iv) Total of Code No. 31 should tally with the total of Code No. 17 of Section (i).

(v) Total of item No. V should tally with the total of Item No. V of Section (i\

SECTION( iii)

Rates of interest (exclusive of brokerage) on Deposits, etc.

3Tst March 197

As on the ——

30th September 197

Rate of interest

Code No.

Types of deposits, exempted borrowings and receipts

Code No.

Amount (in thousands of rupees)

¹

5% and below

0

2 More than 5% but less than 7% . . ..

%

7% or more but less than 9 9% or more but less than 10% 16% or more but less than

3 4 5

12% or more

6

Total of 1 to 6 .

7

I. Deposits received in the form of unsecured deben- tures, deposits including unsecured loans from share- holders [not being deposits received by a private com- pany from its share holders on a declaration as is refer- red to in the proviso to sub- clause (vi) of clause (d) of paragraph 3(i)] and depo- sits including unsecured loana guaranteed by directors.

00 7°/ • •

10

m

9⁰/ . . . ..

11

12

LA /o

13 14

000

15 16

17 18 19

20

21

0000

22 23

24 26

12%

. . ..

27

28 00000

:

2 2

SECTION Ov)

Statement showing the position of dope sits vis-a-vis ceilirgs

(A) Deposits of the kinds referred to in paragraph 4(bXi) °f the Directions and the prescribed ceiling.

(Amount in thousands of rupees)

Owne d funds

Ceiling

Position as at the

T H E

Free

Net owned (i.e. 2Sc'o of

Excess deposits, if any, over the ceiling 12-7^

commencement of business on ;

Paid-up capital Reserves

funds

the net owned funds",!

Balance of loss. if any

(3+4)—5

Total deposits of the kinds referred to above i.e. total of Code Ko. 4 in Section ij)

*Please state whether the excess deposits have been adjusted as per paragraph 5(1) of the Directions. If not, reasons for non- compliance should

G A Z E T T E

be stated

O F

I

I

2

N D 3

4

5

9

I

A

ISt

September 1973

ISt

E X T R A O R D

I October 1*1974

N A R Y 1st; October 1975^

October

[

1976

P A R T

NOTE.—*At least one-third of the excess deposits as at the commencement of business on 1-9-1973 has tn be reduced before 1-10-1^74, artoth^ 1

I I I one-third of the excess as at the commencment of business on 1-9-1973, before 1-10-1975, and thi balance, if any, of the said excess before 1-10-1976.

I —

(B) Deposits of the kind referred tci in paragraph 4(b)(if) ofthe Directions and the ceiling.

S E C

.

("Amount in thousands of Rupt-es)

4

]

¹

Position as at the

Ceiling \i.e. 35% of the net owned funds vote Column 7 of

Excess deposits, if any, over the ceiling

Section >lv) (Aj]

commencement of business on

Total deposits of the kind re- ferred to above '..;. total of Code No. 6 in Section (f)

•Please state whether the excess deposits have been adjusted as per paragraph 51,1; of the Direc- tions. If not, reasons for non- compliance should be stated.

T H E

i

2

5

4

3

G A Z E T T E lat September

O F 1971

I

N D 1st'

I

A '1st

E X T R A O R D

I N A R Y

2 3

SECTION (v)

Statement showing the reftularisation of depmitt of the kinds referred to in paragraph 4(b) of

the Directions, repayable on demand or on notice or after a period of less than 6 months.

(Amount in thousands or rupees)

Position as at the commen- cement of business on

25% of the net ow- ned funds vibe colu- mn 7 of section (iv) (A)

Total amount of de- posits of the above kinds ('"."•) total of Code Nos. 1, 2, 10 and 18 of Section (ii)

•Please state whether such deposits have- been regularised as per paragraph 5(2) of the Directions. If not reasons for non-com- pliance should be sta- ted.

i

2

3

4

1st September, 1973 1st October 1974 1st October 1975 1st October 1976

NOTED—+(1) If the total amount of irregular deposits is not in excess of 25% of the company's;

net owned funds, such deposits should be regularised before 1-10-1974, (ii) If the total amount of irregular deposits is in excess of 25% of the company's net owned funds, it should be regularised in the following manner: (a) at least such deposits equal to 25% of the net owned funds before I-I0-I974- (6) at least one-half of the balance before 1-10-1975, and (c) the remaining portion before 1-10-1976.

PART—II

Comparative position of the company as per its audited balance sheet as at the date nearest^to- the date of this Return

(Amount in thousands of rupees

Particulars

Position as per the balance sheet as at

Position as per the Return as on 3-3-197

Reasons for variations, if any, may broadly be stated

1

2

4

3

A—Liabilities

T. Paid-up capital . 2. Free Reserves 3. Balance of loan, il" any 4. Deposits* .

5. Exempted borrowings'

receipts . .

£

B—Assets

6. Loans and advances . 7. Investments in shares, debentures and other securities (Book value)

1

² 3 4

. Hire-purchase advan-

s

ces .

9 . Loans lor financing the purchase of land or houses

10 . Main sources of income

(with particulars)

*A

laxknum aggregate of deposits during the year ended March 31st, 197/ September 30, 197 and the relevant date may be stated below:

(0 Maximum amount of deposits during the year (in

thousands of rupees) . . . ..

(JY) Date of which the above maximum was accounted .

. .

@The total of Code No. 7 in Section (1) should be shown here.

£Tiie total of Code No. 17 in Section (i) should be shown here.

'Manager's/Managing Director's / Authorised Official's Certificate.—(1) Certified that the deposits as reported in this return have been received or renewed lor meeting the genuine busi- ness requirements of the company,

(2) Certified that declarations have been obtained, in writing, as required in terms of the proviso to paragraph 3(i)(d)(vi) of the Directions from the directors and shareholders** that the money has not been given by them to the company out of the funds acquired by them by borrowing or accepting deposits from another person, wherever necessary.

(3) Certified that the company has complied with the provisions of paragraph 6(1) of the Directions while soliciting deposits.

(4) Certified rh'"t deposits have been accepted, renewed or converted on or after the 1st January, 1974 in the munner prescribed in sub-paragraph (2) of paragraph 6 of the Directions.

(5) Certified t'nt th: c">Ti;nny hn c m p l i ei with the requirements of paragraph 7 of the Directions.

(6) Certified that the Registers of Deposits are being maintained on the lines specified in paragraph 8 of the Directions.

(7) Certified that the particulars/information furnished in this Return have been verified and found to be correct and complete in all respects.

(Strike off whatever Certificate is not applicable).

Date :

Signature of *Manager/Managing Director/Authorised

Official:

Name; Designation:

Enclosures of the Return

The following dosuinents should be submitted along with the Return in case they have not already been sent. Please tick in the box against the item for the document enclosed and state the date of submission in other cases.

(1) A copy of the audited balance sheet and profit and loss account dated nearest to the date of this Return.

(2) Specimen signature card (Please see Instruction No. 11) ——————

(3) A copy of the application form referred to in sub-paragraph

(2) of paragraph 6 of the Directions —• — — —

(4) A copy each of the advertisements , if any issued during

the half year ended the 31st March, i97/3oth Sep- tember, 197 .

•

(5) A li of Office™ and Directors (Please see Instruction No. 10) — —

(Space for the use of the Reserve Bank of India)

Period Status Business Coded byi : Checked by : Punched by :

—

Verified by :

•Strike off whatever is not applicable,

* * Applicable In the cane of private limited companies only .

S. S. SHIRALKAR,

Deputy Governor.

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DELHI AND PUBLISHED BY THE CONTROLLER OF PUBLICATIONS, DELHI, 1 9 73