The National Housing Bank (NHB) on July 21, 2023, issued the Master Circular – Returns to be submitted by Housing Finance Companies.
This Master circular aims to supervise the housing finance companies (HFCs)
This Circular is the supersession of the Master Circular No. NHB(ND)/DOS/Sup. Circular No.5/2020-21, dated April 13, 2021
The following has been stated namely: -
• It states that All the HFCs shall put in place a reporting system for filing various returns within the prescribed timeframe.
• It states that the Submission of return should not be delayed for any reason such as the finalization/completion of the Audit of the annual accounts.
• The compilation of the Return should be on the basis of the figures available in the books of account of the company. HFCs which are covered under Rule 4 of the Companies (Indian Accounting Standards) Rules, 2015, and are required to prepare their Financial Statement by complying with Indian Accounting Standards (Ind-AS), shall submit all returns based on Ind-AS Financials.
• The returns shall be filed online through the ORMIS portal only, by an Authorized Official of the HFC, who will be specifically authorized in this regard by the Board of Directors.
• The HFCs shall strictly adhere to the timeframe fixed in this Circular for submitting returns to the Bank failing which concerned HFCs would be liable for penal action under the provisions of National Housing Bank Act, 1987.
• The delayed submission of returns shall be reckoned from the due date for submission of the return. Failure to submit a return, despite enforcement of supervisory actions for delayed submission, shall be deemed as non-submission of the return.
• It further states that it has to be ensured that the information, on common financial parameters, if any, submitted under various returns viz., monthly, quarterly, half-yearly, etc., with reference to the position viz., June 30th /September 30th /December 31st /March 31st, remains consistent.
• It may be noted that in case information/particulars furnished by any HFC is found incorrect, the Bank would take a serious view in the matter.
The Circular has also been placed on the NHB website (https://nhb.org.in/regulation_post/supervisory-circular/).
[Circular No. NHB(ND)/DOS/Sup. Circular No. 10 /2023-24]
