EFG Pvt. Ltd. wants to convert the Private Company into a One Person Company (OPC). The Company seeks your advice on the following matters: Penalty for contravention of provisions with respect to conversion.

(iv) PENALTY - As per Rule 7A of the Companies (Incorporation) Rules, 2014, if a One Person Company (OPC) or any officer of such company contravenes the provisions with respect to conversion, the OPC or any other Officer of such company shall be punishable with fine which may extend to ₹5,000/- and with a further fine which may extend to ₹500/- per day after first offence, during which such contravention continues.