(1) Where an offence under this Regulation has been committed by a company, every person who, at the time the offence was committed, was in-charge of, and responsible for the company and the conduct of the business of 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 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.
45 of 2023.
Sec. 1] THE GAZETTE OF INDIA EXTRAORDINARY 1717
(2) Notwithstanding anything contained in sub-section (1), where any offence under this Regulation has been 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 negligence 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 accordingly.
Explanation.— For the purposes of this section,—
(a) “company” means a body corporate and includes a firm or other association of individuals; and
(b) “director”, in relation to a firm, means a partner in the firm.