SHREENATH FINANCE NIDHI LIMITED. is a Non Banking Financial Company (A Public Company) which duly approved by the Government of India, Ministry of Corporate Affairs. “Nidhi is a company formed with the exclusive object of cultivating the habit of thrift, savings and functioning for the mutual benefit of members by receiving deposits only from individuals enrolled as members and by lending only to individuals, also enrolled as members” -Section 406, Companies Act, 2013 & Companies Rules 2014. Nidhi Company are registered or formed for the benefit for its members only, who is not the member of the Nidhi Company is not allowed to deposit any money or doing any kind of business with the concerned Nidhi Company.

Since Nidhi Companies come under the one class of NBFCs, RBI is empowered to issue directions to Nidhi Companies in matters relating to their deposit acceptance activates. However, in recognition of the fact that these Nidhi Companies deal with their shareholders or members onlt, RBI Act exempted the notified Companies from the core provisions of the RBI Act and other directions applicable to NBFCs.

A Nidhi Company to be incorporated under the Companies Act, 2013 (“Act”) shall be a public company Every company incorporated as Nidhi shall have the last words “Nidhi Limited” as part of its name. Except as provided under the provisions of Nidhi Companies Rules 2014, no Nidhi Company shall have any object in its Memorandum of Association other than the object of cultivating the habit of thrift and savings amongst its members, receiving deposits from and lending to, its members only, for their mutual benefit on and after the commencement of Companies Act, 2013, no Nidhi Company shall issue preference shares.

A Nidhi Company may offer interest on fixed and recurring deposits at a rate not exceeding the maximum rate of interest prescribed by the Reserve Bank of India which the Non-Banking Financial Companies can pay on their public deposits.

Fixed deposit receipts, National Savings Certificates, other Government Securities and insurance policies Immovable property Gold, silver and jewellery A Nidhi Company shall give loans to its members only against the following securities namely:


REGULATORY AND SUPERVISORY AUTHORITIES

SHREENATH FINANCE NIDHI LTD. being a company registered under the Companies Act2013, it automatically comes under the supervision of the MCA. Also being registered under the Nidhi,SHREENATH FINANCE NIDHI LTD. Main objective to encourage and afford all facilities for cultivating thrift ,saving habits and to render all financial assistance to its member only by receiving long and short term deposits and in particular recurring ,fixed and other deposits, not being current accounts from the members as are allowed by law for Nidhi or Mutual Benefits Companies.And to grant loans to the shareholders or members only as against securities of immovable properties (within City) and/ or on the security of deposits, movable such as gold, silver,jewellery, Kisan Vikas Patra, National Saving Certificates Scheme, insurance policies and other Government securities up on such terms and condition as may from time to time prescribed in law for Nidhi Companies.