October 7, 2026 · Guides

Audit and AGM for a Nidhi Company

Every Nidhi company needs a statutory audit and an annual general meeting each year, and the dates sit on the same calendar as any other public company. Getting the Nidhi company audit and AGM right matters more than it looks, because most of the later filings count their days from the AGM. This post walks through the order of events, using a 31 March year end as the example.

In this guide

Why the audit and AGM come first
Statutory audit and auditor appointment
When the AGM has to be held
Filings that follow the AGM
Nidhi returns that fall in the same months
Common slips and what they cost
FAQs

Why the audit and AGM come first

A Nidhi is a public company under Section 406 of the Companies Act, 2013 and the Nidhi Rules, 2014. It gets no relief from the audit and AGM rules that apply to public companies. The auditor reports on the accounts, the board approves them, the members adopt them at the AGM, and the ROC filings then start their clocks from the AGM date. If the AGM slips, everything behind it slips too.

Our annual compliance checklist for a Nidhi shows where these two events sit among the other returns. If you are still setting up, the full Nidhi company registration guide covers what comes before.

Statutory audit and auditor appointment

The company must appoint a statutory auditor, who audits the books and financial statements for the year. Once an auditor is appointed, Form ADT-1 goes to the Registrar within 15 days of the appointment. Ask your CA about the term of appointment and any rotation rules before you fix the engagement.

A Nidhi’s books are mostly member deposits and member loans, so the audit leans on those records. Keep these ready:

Member-wise ledgers for fixed, recurring and savings deposits, and for loans.
Bank confirmation for the unencumbered term deposits held in the Nidhi’s own name (10% of outstanding deposits).
Working for net owned funds and the 1:20 NOF to deposits ratio.
Security documents behind each loan, such as gold, property papers or deposit lien records.
Board and general meeting minutes for the year.

When the AGM has to be held

The AGM must be held within 6 months of the close of the financial year. For a 31 March year end, that means on or before 30 September. The usual order is a board meeting to approve the financial statements and the AGM notice, then the AGM itself, where members adopt the accounts and deal with the auditor.

Do not leave it to the last week. Directors also have their own date on 30 September for DIR-3 KYC, so it helps to clear that early; see Director KYC and DIN for Nidhi company directors. In the first year, the commencement of business filing has its own window, covered in INC-20A for a Nidhi.

Filings that follow the AGM

Three ROC forms are tied to the audit and AGM. Their clocks start from different events, which is where people slip.

Form	What it files	Time limit
ADT-1	Auditor appointment	15 days from the appointment
AOC-4	Financial statements	30 days from the AGM
MGT-7 / MGT-7A	Annual return	60 days from the AGM

Take an AGM held on 25 September. AOC-4 is then due by 25 October and MGT-7 by 24 November. Hold it on 30 September and the dates move out by five days, which is a small gain and not worth the risk of missing the AGM deadline itself. Always check current due dates and fees on the MCA portal.

Nidhi returns that fall in the same months

On top of the standard forms, a Nidhi has its own returns. NDH-1, the return of statutory compliances, goes to the Registrar within 90 days of the close of the first financial year after incorporation and, where applicable, the second (Rule 5(2)). It is a one-time compliance return, not a yearly one. NDH-3 is half-yearly, due within 30 days of each half year end, so around 30 April and 31 October.

Notice that the October NDH-3 lands just after the AGM season. Many Nidhis file it with the AOC-4 and MGT-7 work, which keeps one set of numbers across all of them.

Common slips and what they cost

Holding the AGM after 30 September because the audit was not finished.
Appointing the auditor and forgetting ADT-1.
Counting the AOC-4 and MGT-7 days from the board meeting instead of the AGM.
Adopting accounts where the bank confirmation for term deposits is missing or in a different name.

Late filings carry additional fees, and a default under the Nidhi Rules can attract a fine of up to Rs 5,000 plus up to Rs 500 per day of continuing default (Rule 24). The practical side of notices is in ROC notices and penalties for Nidhi companies. Check the current Rule text before relying on any figure.

Need help with your Nidhi company? See our Nidhi company registration service, call +91 93117 95484, or write to mail@taxhint.in.

FAQs

When must a Nidhi company hold its AGM?

Within 6 months of the end of the financial year. For a 31 March year end, that is on or before 30 September.

Is a statutory audit compulsory for a Nidhi company?

Yes. A Nidhi is a public company, so its accounts must be audited every year and the auditor appointment reported on ADT-1 within 15 days.

What has to be filed after the AGM?

AOC-4 within 30 days of the AGM and MGT-7 or MGT-7A within 60 days. Nidhi returns such as NDH-1 and NDH-3 run on their own dates.

Does the auditor look at the Nidhi ratios?

Expect questions on net owned funds, the 1:20 ratio and the 10% unencumbered term deposits, since they come straight from the books. Confirm the exact checks with your CA.