Section 45-1A and 45-1C of the RBI(Reserve Bank Of India) Act,1934[3 of 1934] shall not apply to any non-banking financial company which being a mutual benefit company as defined in paragraph2 [1][ixa] of non-banking financial companies acceptances of public deposits [RESERVE BANK] direction,1984 contained in notification no.DSF:118/DG[SPT]-98 dated January 31,1998.

A "NIDHI/Mutual benefit company" means accompany notified under section 620A,companies act 1956[1 of 1956] and carring on the business of a non-banking financial company.The requirements contained in the relevent provisions of the directions isssued under section 637A of the companies act, 1956 to NIDHI companies by the CENTRAL GOVERNMENT.