Amendment status not verified — confirm the current text below against the official source.
Offences by companies - (1) Where any offence against any of the provisions of this Actor the rules made there-under has been committed by a Company, every person, who at the time the offence was committed, was in charge of and was responsible to the company for the conduct of its business, as well as the Company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly: Provided that nothing contained in this Sub-section shall render any such person liable to any punishment, if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence. (2) Notwithstanding anything contained in Sub-section (1), where any such offence was committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, they shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly. Explanation: For the purposes of this section:- (a) 'Company' means a body corporate and includes a firm, association of persons or body of individuals whether incorporated or not; and (b) 'Director' in relation to a firm, means a partner in the firm and in relation to any association of persons or body of individuals, means any member controlling the affairs thereof. CHAPTER-IV MISCELLANEOUS