Section 50. Offences by companies

Chapter V; or 5* * * * * (b) issues any prospectus or advertisement otherwise than in accordance with section 35 or any order made under section 30, as the case may be; he shall be punishable with imprisonment for a term which may extend to three years and shall also be liable to fine which may extend, — (i) in the case of a contravention falling under clause (a), to twice the amount of the deposit received; and (ii) in the case of a contravention falling under clause (b), to twice the amount of the deposit called for by the prospectus or advertisement. 6* * * * * 50. Offences by companies . — (1) Where an offence 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 the business 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: 1. Ins. by Act 15 of 2000, s. 24 (w.e.f. 12-6-2000). 2. Sub-sections (2) and (2B) omitted by Act 18 of 2023, s. 2 and Schedule (w.e.f. 22-01-2024). 3. Ins. by s. 25, ibid . (w.e.f. 12-6-2000). 4. Subs. by s. 170, ibid ., for "any order made by the authorised officer" (w.e.f. 9-8-2019). 5. Clause (aa) omitted by Act 18 of 2023, s. 2 and Schedule (w.e.f. 22-1-2024). 6. Sub-section (4) omitted by s. 2 and Schedule, ibid ., (w.e.f. 22-1-2024). Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in this Act, 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 an 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 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 accordingly. — — Explanation. For the purposes of this section (a) "company" means any 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.