Exemptions to Nidhis under section 462 of CA 2013 - F.No. 2/11/2014-CL.V - Companies Law

Exemptions for Nidhis tailor Companies Act provisions governing service, voting, dividends, disclosures and director remuneration.

Notification prescribes targeted exemptions and modifications for Nidhis: service and notice requirements may be satisfied by serving members above a threshold and notifying other members by local newspaper and notice board; certain share issuance and capital provisions do not apply; voting rights are capped per member; unclaimed dividends may be credited after a shorter period and small dividends may be announced in one local newspaper with notice board posting; loans to directors in member capacity are permitted with disclosure; remuneration of non executive directors may be paid monthly subject to approval and caps.