Fit and proper criteria for Nidhi declarations strengthened; non-compliant entities barred from member deposits and loans. New rules require public companies seeking declaration as Nidhi to file Form NDH-4 within a prescribed period, attach declarations that promoters and directors satisfy fit and proper person criteria with specified disqualifications, and await Central Government examination which is deemed approved if not decided within the statutory period; non-compliant companies or those with rejected NDH-4 cannot raise deposits or provide loans to members and any deposits raised after non-compliance are governed by Chapter V of the Act.