(1) If the person committing an offence under this Act is a Company, the Company as well as every person charge of and responsible to the Company for the conduct of its business at the time of the commission of the offence 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 exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding. anything contained in sub-section (1), where any offence under this Act has been committed by a Company and it is proved that the offence has been committed with the consent or connivance of or that the commission of the offence is attributable to any neglect on the part of any managing agent, secretaries and treasurers, director, manager or other officer of the Company such managing agent, secretaries and treasurers, director, manager or other officer of the Company 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 anybody corporate, and includes firm or other association of individuals ;and
(b) "Director", in relation to a firm, means a partner in the firm.
Protection of acts done in good faith
12. No suit, prosecution, or other legal proceeding shall lie against the State Government or an officer authorised by it to perform any function under this Act, or against any officer or employee serving in connection with the affair of the undertaking of the Company, for anything which is in good faith done or intended to be done under this Act.
Power to make rules