Amendment status not verified — confirm the current text below against the official source.
Offences of companies. (1) Where an offence under this Act has been com- mitted by a company, every person who, at the time of offence was committed, was incharge of and was responsible to, the company for the conduct of the busi- ness of the company, 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 per- son liable to any punishment provided in this Act if he proves that the of- fence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence. (2) Notwithstanding anything contained in sub-section (1) where an offence un- der this Act has been committed by a company and it is proved that 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, such director, manager secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accord- ingly. Explanation. - For the purposes of this section, - (a) "company" means a body corporate, and includes a firm or other associa- tion of individuals ; and (b) "director" in relation to a firm means a partner in the firm. Section 392