ABC Technologies Limited was incorporated under the Companies Act, 2013 as a closely held Public Company. The paid-up capital of Company is ₹ 15 Crore. The Company suo-motto filed a petition for compounding of violation

As per Section 203(5) of the Companies Act, 2013, if a company contravenes the provisions of this section, the company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees and every director and key managerial personnel of the company who is in default shall be punishable with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues. The NCLT may levy maximum fine as: Particulars Violation under Section 203 Fine for continuing of contravention Penalty on Company Rupees five lakh Rupees one thousand per day of delay Penalty on Director and KMP Rupees fifty thousand Rupees one thousand per day of delay Hence, ABC Technologies Limited, its directors & KMP are subjected to penal provisions of Companies Act, 2013 as mentioned above.