31. Cognizance and trial of offences
1. No prosecution for an offence under this Act shall be instituted excepts by, or with the written constant of, the State Government or a person authorized in this behalf by the State Government.
2. No court inferior to that of a [Metropolitan Magistrate or a Judicial Magistrate of the first class] shall try any offence under this act.
32. Offences by companies
1. Whenever an offence under this Act has been committed by a company, every person who at the time the offence was committed was in charge of, or 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:
Provided that nothing contained in this sub-section shall render any such person liable to any punishment under this Act 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 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 purpose 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.
COMMENTS
If the person committing an offence in 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 punish accordingly, provided that nothing 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.
Where an offence under this act has been committed with the consent or connivance of, or is attributable to any neglect on the part of any director or 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.
"Company" means any body corporate and includes a firm or other association of individuals; and
"Director" in relation to a firm means a partner in the firm. Where there is no proof that the offence has been committed with the consent or connivance or is attributable to any neglect on the part of the accused within the meaning of s. 33(2) of the act, the accused cannot be convicted.-Valuri Srivarma Sastri v. State of A.P. (1981) 2 ALT 346 (AP).
33. Power of the Central Government to give directions
The Central Government may give such directions to any State Government as may appear to the Central Government to be necessary for carrying into execution in the state any of the provisions of this Act or of any rule or order made thereunder.
35. Protection of action taken in good faith
No prosecution, suit or other proceeding shall lie against the Government, or any officer of the Government, or the Board, the Registration Committee or any Committee of the Board, for anything in good faith done or intended to be done under this Act.
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