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With reference to the Nidhi rules 2014, consider the following statements:
1. The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.
2. The core business of Nidhi companies is borrowing and lending money between their members.
Which of the statements given above is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
With reference to the Nidhi rules 2014, consider the following stateme...
The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.
  • Now, public companies desiring to function as Nidhis must obtain prior declaration from the central government before accepting deposits, the Ministry said.
  • A Nidhi company, especially popular in southern states like Tamil Nadu, is a non-banking financial company. The core business of Nidhi companies is borrowing and lending money between their members.
  • For timely disposal, it has also been provided in amended rules that in case no decision is conveyed by the central government within 45 days of the receipt of applications by companies in NDH-4 form, approval will be deemed as granted. This will apply for such companies which shall be incorporated after Nidhi (Amendment) Rules, 2022.
Hence both statements are correct.
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With reference to the Nidhi rules 2014, consider the following statements:1. The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.2. The core business of Nidhi companies is borrowing and lending money between their members.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer?
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With reference to the Nidhi rules 2014, consider the following statements:1. The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.2. The core business of Nidhi companies is borrowing and lending money between their members.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about With reference to the Nidhi rules 2014, consider the following statements:1. The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.2. The core business of Nidhi companies is borrowing and lending money between their members.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for With reference to the Nidhi rules 2014, consider the following statements:1. The Ministry of Corporate Affairs (MCA) has amended rules governing Nidhi companies, whereby its prior declaration will be mandatory for certain entities before they start accepting deposits.2. The core business of Nidhi companies is borrowing and lending money between their members.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer?.
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