“Nidhi” means a company which has been incorporated as a Nidhi with 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, and which complies with such rules as are prescribed by the Central Government for regulation of such class of companies.
NIDHI COMPANY ANNUAL COMPLIANCE CHECKLIST
(1) Every Nidhi shall, within a period of one year from the date of its incorporation, ensure:
(a) Not less than two hundred members;
(b) Net Owned Funds of ten lakh rupees or more;
(c) Unencumbered term deposits of not less than ten per cent of the outstanding deposits as specified in rule 14; and
(d) Ratio of Net Owned Funds to deposits of not more than 1:20.
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