CA Durgesh Kabra

CA Durgesh KabraComprehensive Chart on Penalties under Companies Act 2013

The Companies Act, 2013 (2013 Act) was assented by the President of India on 29 August 2013 and published in the Official Gazette on 30 August 2013.The implementation of the same applied in phased manner where first 92 sections implemented from 12th September and remaining sections got implemented in full from 1st April 2014 where the various replacement and introduction of new provisions leading to Stringent penalty and / or imprisonment for failure to comply with the section and/or Rules under the new law came into picture. Therefore, one should look into the same to avoid such implications and as a professional one shall guide the client from not to make failure otherwise penalty have been replaced with higher amounts and punishment provisions as compared to the earlier Companies Act 1956. For the benefit of professional and/or company or officer of company the below table may stands useful for ready reference:

Sr. No. Section Section Name Penalty Heading Penalty Description
1 Section 3 Formation of company Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
2 Section 4 Memorandum. Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
3 Section 5 Articles Default in complying with any of the requirements laid down in this section, regarding provisions to be included in Articles Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
4 Section 6 Act to override memorandum, articles, etc. Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
5 Section 7 Incorporation of company Furnishing any false or incorrect particulars of any information or suppression of any material information, of which he is aware in any of the documents filed with the Registrar in relation to the registration of a company, shall be liable for fraud. Any person who is found to be guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
6 Section 7 Incorporation of company Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
7 Section 8 Formation of companies with charitable objects, etc. Default in complying with any of the requirements laid down in this section concerning formation of Companies with Charitable objects. Company shall be punishable with fine which shall not be less than ten lakh rupees but which may extend to one crore rupees and the directors of the company and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 3 Years or with fine which shall not be less than twenty five thousand rupees but which may extend to twenty five lakhs rupees or with both
8 Section 8 Formation of companies with charitable objects, etc. Affairs of a company registered u/s 8 were conducted fraudulently Any person found to be guilty of fraud shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud but which extend to three times the amount involved in the fraud
9 Section 10 Effect of memorandum and articles Effect of memorandum and articles Company shall be punishable with fine which shall not be less than ten lakh rupees but which may extend to one crore rupees and the directors of the company and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 3 Years or with fine which shall not be less than twenty five thousand rupees but which may extend to twenty five lakhs rupees or with both
10 Section 11 Commencement of business, etc. [Omitted] Default in complying with the requirements of this section The company shall be punishable with fine which may extend to five thousand rupees and every officer who is in default shall be punishable with fine which may extend to one thousand rupees for every day during which the default continues.
11 Section 12 Registered office of company Default in complying with the requirements of this section The company and every officer who is in default shall be liable to a penalty of one thousand rupees for every day during which the default continues but not exceeding one lakh rupees
12 Section 13 Alteration of memorandum Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
13 Section 14 Alteration of articles Default in complying with the requirements of this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
14 Section 15 Alteration of memorandum and articles to be noted in every copy Default in complying with the requirements of this section The Company and every officer who is in default shall be liable to a penalty of rupees one thousand for every copy issued without such alteration
15 Section 16 Rectification of name of company Default in complying with any direction given by the Central Government under sub-section (1) for the change of name in case of identical or similar name The company shall be punishable with fine of one thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with fine which shall not be less than five thousand rupees but which may extend to one lakh rupees
16 Section 16 Rectification of name of company Default in complying with any requirement under this section apart from directions of central government under sub-section (1) Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
17 Section 17 Copies of memorandum, articles, etc., to be given to members. Default in providing the copy of Memorandum/ Articles or every agreement or resolution referred in sub-section (1) of section 117, on the request of the member in the manner as prescribed The Company and every officer of the company who is in default shall be liable for each default, to a penalty of one thousand rupees for each day during which such default continues or one lakh rupees, whichever is less
18 Section 19 Subsidiary company not to hold shares in its holding company Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
19 Section 20 Service of documents Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
20 Section 21 Authentication of documents, proceedings and contracts Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
21 Section 23 Public offer and private placement Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
22 Section 25 Document containing offer of securities for sale to be deemed prospectus Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
23 Section 26 Matters to be stated in prospectus Issue of Prospectus in contravention of the provisions of this section The company shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to three lakh rupees and every person who is knowingly a party to the issue of such prospectus shall be punishable with imprisonment for a term which may extend to 3 years or with fine which shall not be less than fifty thousand rupees but which may extend to three lakh rupees, or with both
24 Section 27 Variation in terms of contract or objects in prospectus Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
25 Section 28 Offer of sale of shares by certain members of a company Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
26 Section 29 Public offer of securities to be in dematerialised form Making of public offer of securities by a company in mode other than dematerlization Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
27 Section 30 Advertisement of prospectus Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
28 Section 31 Shelf prospectus Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
29 Section 32 Red herring prospectus Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
30 Section 33 Issue of application forms for securities. Default in complying with any requirement under this section The Company shall be liable to a penalty of fifty thousand rupees for each default.
31 Section 34 Criminal liability for mis-statements in prospectus Issue of prospectus with misstatement, shall be liable for fraud Any person who is found to be guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
32 Section 35 Civil liability for mis-statements in prospectus Issue of Prospectus withintent to defraud the applicants for the securities of a company or for any fraudlent purpose Every person including the director, promoter, expert etc shall be personally responsible, without any limitation or liability, for all or any of the losses or damage that may have been incurred by any person who subscribed to the securities on the basis of such prospectus
33 Section 36 Punishment for fraudulently inducing persons to invest money Making any statement which is false or misleading and inducing any person to enter into agreement relating to the acquisition, disposal of the securities or into any agreement for the purpose to secure a profit to any parties from the yield of securities, shall be liable for fraud any person who is found to be guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than 6 months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
34 Section 43 Kinds of share capital Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
35 Section 45 Numbering of shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
36 Section 46 Certificate of shares Issue of a duplicate share certificate with an intent to defraud The company shall be punishable with fine which shall not be less than 5 times the face value of the shares involved in the issue of the duplicate certificate but which may extend to 10 times the face value of such shares or ten crore rupees, whichever is higher and every officer who is found to be guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
37 Section 46 Certificate of shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
38 Section 47 Voting rights Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
39 Section 49 Calls on shares of same class to be made on uniform basis Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
40 Section 50 Company to accept unpaid share capital, although not called up Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
41 Section 51 Payment of dividend in proportion to amount paid-up Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
42 Section 52 Application of premiums received on issue of shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
43 Section 53 Prohibition on issue of shares at discount Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than rupees one lakh but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than rupees one lakh but which may extend to five lakh rupees, or with both
44 Section 54 Issue of sweat equity shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
45 Section 55 Issue and redemption of preference share Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
46 Section 56 Transfer and transmission of securities Default is made in complying with the provisions of sub sections (1) to (5) of this section, concerning transfer and transmission of securities The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer of the company in default shall be punishable with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees
47 Section 56 Transfer and transmission of securities Default is made by depository or depository participant with an intention to defraud a person Any person found guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than 6 months but which may extend to 10 years and shall also be liable to fine which shall not be less than the amount involved in fraud, but which may extend to three times the amount involved in fraud
48 Section 57 Punishment for personation of shareholder Default is made by person for personation of shareholder Where any person deceitfully personates the owner of any share or interest and thereby obtain such share or interest or any coupon, or receives any money due to any such owner, he shall be punishable with imprisonment for a term which shall not be less than 1 year but which may extend to 3 years and with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees
49 Section 58 Refusal of registration and appeal against refusal Contravention of the order of the Tribunal under this section for registration or refusal of registration of Shares Any person who makes a default shall be punishable with Imprisonment for a term which shall not be less than 1 year but which may extend to 3 years and with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees
50 Section 59 Rectification of register of members Default in complying with the order of the Tribunal under this section, concerning rectification of register of members The company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees, or with both
51 Section 60 Publication of authorised, subscribed and paid-up capital Default in complying with the requirements of sub-section (1) concerning publication of authorised, subscribed and paid-up capital The company shall be liable to a penalty of ten thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for each default
52 Section 61 Power of limited company to alter its share capital Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
53 Section 62 Further issue of share capital Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
54 Section 63 Issue of bonus shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
55 Section 64 Notice to be given to Registrar for alteration of share capital Contravention of the provisions of sub-section(1), non-intimation to the Registrar for alteration of Share Capital Where a company and any officer of the company who is in default contravenes the provisions of sub-section (1), it or he shall be punishable with fine which may extend to one thousand rupees for each day during which such default continues or five lakhs rupees, whichever is less
56 Section 65 Unlimited company to provide for reserve share capital on conversion into limited company Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
57 Section 67 Restrictions on purchase by company or giving of loans by it for purchase of its shares Contravention of the provisions of this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 3 years and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees
58 Section 68 Power of company to purchase its own securities Default in complying with the provisions provided under the section or regulations made by SEBI concerning power of Company to purchase its own securities The company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and every officer of the company in default shall be punishable with imprisonment for a term which may extend to 3 years or with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees or with both
59 Section 69 Transfer of certain sums to capital redemption reserve account Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
60 Section 70 Prohibition for buy-back in certain circumstances Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
61 Section 71 Debentures Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
62 Section 73 Prohibition on acceptance of deposits from public Contravention in complying with the provisions of the rules Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to Rupees five thousand and where the contravention is continuing one with a further fine which may extend to rupees five hundred rupees for every day after the first during which the contravention continues
63 Section 77 Duty to register charges, etc. Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees and every officer of the Company who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
64 Section 79 Section 77 to apply in certain matters Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees and every officer of the Company who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
65 Section 82 Company to report satisfaction of charge Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees and every officer of the Company who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
66 Section 84 Intimation of appointment of receiver or manager Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees and every officer of the Company who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
67 Section 85 Company’s register of charges Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to ten lakh rupees and every officer of the Company who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
68 Section 88 Register of members, etc. Default in the form and manner in which register of members, debenture holders and other security holders, is to be maintained by the company Company and every officer of the company who is in default shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to three lakh rupees and where the failure is a continuing one, with a further fine which may extend to one thousand rupees for every day, after the first during which the failure continues
69 Section 89 Declaration in respect of beneficial interest in any share Failure to file the return of the declaration of the beneficial interest The company and every officer who is in default shall be punishable with fine which shall not be less than five hundred rupees but which may extend to one thousand rupees and where the failure is a continuing one, with a further fine which may extend to one thousand rupees for every day after the first during which the failure continues.
70 Section 89 Declaration in respect of beneficial interest in any share Failure to make declaration as required under sub-section (1) or sub-section (2) or sub-section (3), without any reasonable cause The person shall be punishable with fine which may extend to fifty thousand rupees and where the failure is a continuing one, with a further fine which may extend to one thousand rupees for every day after the first during which the failure continues
71 Section 91 Power to close register of members or debenture holders or other security holders Default in complying with any requirement under this section The company and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for every day during which the register is kept closed but not exceeding one lakh rupees
72 Section 92 Annual return Failure to file its annual return before the expiry of the period specified under section 403 with additional fee The company shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for 6 months or with fine which shall not be less than fifty thousand rupees but which may extend to five lakh rupees or with both
73 Section 92 Annual return Certification of the annual return otherwise than in conformity with the requirements of section 92 or the rules made thereunder Where a Company Secretary in whole-time practice certifies the annual return otherwise than in conformity with the requirements of this section or the rules made thereunder, such Company Secretary shall be punishable with fine which shall not be less than fifty thousand rupees rupees but which may extend to five lakhs rupees
74 Section 93 Return to be filed with Registrar in case promoters’ stake changes Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
75 Section 94 Place of keeping and inspection of registers, returns, etc Refusal for inspection or the making of any extract or copy required under the provisions of Section 94 The company and every officer of the company who is in default shall be liable, for each such default, to a penalty of one thousand rupees for every day during which the refusal or default continues but not exceeding one lakh rupees
76 Section 94 Place of keeping and inspection of registers, returns, etc Default in complying with any requirement under this section other than refusal for inspection The company and every officer of the company who is in default shall be liable, for each such default, to a penalty of one thousand rupees for every day during which the refusal or default continues but not exceeding one lakh rupees
77 Section 96 Annual general meeting Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
78 Section 100 Calling of extraordinary general meeting Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
79 Section 101 Notice of meeting Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
80 Section 102 Statement to be annexed to notice Default in complying with any requirement under this section Every promoter, director, manager or other key managerial personnel who is in default shall be punishable with fine which may extend to fifty thousand rupees or 5 times the amount of benefit accruing to the promoter, director, manager or other key managerial personnel or any of his relatives, whichever is more
81 Section 103 Quorum for meetings Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
82 Section 104 Chairman of meetings Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
83 Section 105 Proxies Default in complying with any requirement under this section other than mentioning of the fact that facility to appoint proxy is available in the notice in a prominent manner Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
84 Section 105 Proxies Default in mentioning with reasonale prominence in the notice calling the meeting of shareholders, that member is entitled to appoint proxy in his behalf Every officer of the company who is in default shall be punishable with fine which may extent to five thousand rupees
85 Section 105 Proxies Wilfull or knowingly issues the invitation to appoint as proxy Every officer of the company who knowingly issues the invitations or wilfully authorises or permits their issues shall be punishable with fine which may extend to one lakh rupees.Provided that an officer shall not be punishable by reason only of the issue to a member at his request in writing of form of appointment naming the proxy, or of a list of persons willing to act as proxies, if the form or list is available on request in writing to every member entitled to vote at the meeting by proxy
86 Section 106 Restriction on voting rights. Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
87 Section 107 Voting by show of hands Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
88 Section 109 Demand for poll Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
89 Section 110 Postal ballot Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
90 Section 111 Circulation of members’ resolution Default in the manner in which the members resolution is circulated among the members The company and every officer of the company who is in default shall be liable to penalty of twenty-five thousand rupees
91 Section 113 Representation of corporations at meeting of companies and of creditors Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
92 Section 114 Ordinary and special resolutions Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
93 Section 115 Resolutions requiring special notice Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
94 Section 123 Declaration of dividend Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
95 Section 126 Right to dividend, rights shares and bonus shares to be held in abeyance pending registration of transfer of shares Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
96 Section 127 Punishment for failure to distribute dividends Non -posting of warrants within 30 days in case of declaration of dividend every director of the company, if he is knowingly a party to the default In case the dividend is declared by the company but the warrant has not been posted by the company within 30 days then every director of the company, if he is knowingly a party to the default, be punishable with imprisonment which may extend to 2 years and with fine which shall not be less than one thousand rupees for every day during which such default continues and the company shall be liable to pay simple interest at the rate of 18% per annum during the period for which such default continues
97 Section 128 Books of account, etc., to be kept by company Default in complying with any requirement under this section Where any company contravenes the provisions of this section, the managing director, the whole-time director in charge of finance, the Chief Financial Officer or any other person of the company shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than fifty thousand rupees but which may extend to five lakh rupees or with both
98 Section 129 Financial statement Default in complying with any requirement under this section Where any company contravenes the provisions of this section, the managing director, the whole-time director in charge of finance, the Chief Financial Officer or any other person charged by the Board with the duty of complying with the requirements of this section and in the absence of any of the officers mentioned above, all the directors shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than fifty thousand rupees but which may extend to five lakh rupees or with both
99 Section 134 Financial Statement, Board’s report, etc Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to twenty-five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 3 years or with fine which shall not be less than fifty thousand rupees but which may extend to five lakh rupees or with both
100 Section 139 Appointment of auditors Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
101 Section 139 Appointment of auditors Failure to comply with requirement of this section by the Auditor The auditor shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees
102 Section 139 Appointment of auditors Failure to comply with requirement of this section by the Auditor where it is proved that an auditor has knowingly or wilfully contravened any of the provisions of the aforesaid sections, he shall be punishable with imprisonment for a term which may extend to 1 year and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees or with both.
Note : Where an auditor has been convicted as aforesaid, he shall be liable to—
(i) refund the remuneration received by him to the company; and
(ii) pay for damages to the company, statutory bodies or authorities or to any other persons for loss arising out of incorrect or misleading statements of particulars made in his audit report.
103 Section 140 Removal, resignation of auditor and giving of special notice Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
104 Section 140 Removal, resignation of auditor and giving of special notice Failure to give notice of resignation to company and Registrar by the resigning auditor The auditor shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
105 Section 141 Eligibility, qualifications and disqualifications of auditors Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
106 Section 142 Remuneration of auditors Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
107 Section 143 Powers and duties of auditors and auditing standards Default in complying with any requirement under this section except sub-section (12) The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
108 Section 143 Powers and duties of auditors and auditing standards Failure to report to the Central Government, offence involving fraud committed against the company by officers or employees of the company, discovered during the course of performance of the duty The Auditor, Cost Auditor, Company Secretary in Practice conducting secretarial audit shall be punishable with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees
109 Section 143 Powers and duties of auditors and auditing standards Failure to comply with requirement of this section by the Auditor The auditor shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees
110 Section 143 Powers and duties of auditors and auditing standards Failure to comply with requirement of this section by the Auditor where it is proved that an auditor has knowingly or wilfully contravened any of the provisions of the aforesaid sections, he shall be punishable with imprisonment for a term which may extend to 1 year and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees or with both.
Note 1 : Where an auditor has been convicted as aforesaid, he shall be liable to—
(i) refund the remuneration received by him to the company; and
(ii) pay for damages to the company, statutory bodies or authorities or to any other persons for loss arising out of incorrect or misleading statements of particulars made in his audit report.
Note 2: Where, in case of audit of a company being conducted by an audit firm, it is proved that the partner or partners of the audit firm has or have acted in a fraudulent manner or abetted or colluded in any fraud by, or in relation to or by, the company or its directors or officers, the liability, whether civil or criminal as provided in this Act or in any other law for the time being in force, for such act shall be of the partner or partners concerned of the audit firm and of the firm jointly and severally.
111 Section 144 Auditor not to render certain services Failure to comply with requirement of this section by the Auditor The auditor shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees
112 Section 144 Auditor not to render certain services Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
113 Section 144 Auditor not to render certain services Failure to comply with requirement of this section by the Auditor where it is proved that an auditor has knowingly or willfully contravened any of the provisions of the aforesaid sections, he shall be punishable with imprisonment for a term which may extend to 1 year and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees or with both.
Note : Where an auditor has been convicted as aforesaid, he shall be liable to—
(i) refund the remuneration received by him to the company; and
(ii) pay for damages to the company, statutory bodies or authorities or to any other persons for loss arising out of incorrect or misleading statements of particulars made in his audit report
114 Section 145 Auditors to sign audit reports, etc. Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
115 Section 145 Auditors to sign audit reports, etc. Failure to comply with requirement of this section by the Auditor The auditor shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees
116 Section 145 Auditors to sign audit reports, etc. Failure to comply with requirement of this section by the Auditor where it is proved that an auditor has knowingly or wilfully contravened any of the provisions of the aforesaid sections, he shall be punishable with imprisonment for a term which may extend to 1 year and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees or with both.
Note : Where an auditor has been convicted as aforesaid, he shall be liable to—
(i) refund the remuneration received by him to the company; and
(ii) pay for damages to the company, statutory bodies or authorities or to any other persons for loss arising out of incorrect or misleading statements of particulars made in his audit report
117 Section 146 Auditors to attend general meeting Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
118 Section 147 Punishment for contravention In case of audit of a company being conducted by an audit firm, it is proved that the partner or partners of the audit firm has or have acted in a fraudulent manner or abetted or colluded in any fraud by, or in relation to or by, the company or its directors or officers The liability, whether civil or criminal as provided in this Act or in any other law for the time being in force, for such act shall be of the partner or partners concerned of the audit firm and of the firm jointly and severally
119 Section 149 Company to have Board of directors Default in complying with any requirement under this section The Company and every officer in default shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
120 Section 149 Company to have Board of directors Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
121 Section 151 Appointment of director elected by small shareholders. Default in complying with any requirement under this section The Company and every officer in default shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
122 Section 151 Appointment of director elected by small shareholders. Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
123 Section 152 Appointment of directors Default in complying with any requirement under this section The Company and every officer in default shall be punishable with fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
124 Section 152 Appointment of directors Default in complying with any requirement under this section by the director Such person shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to five hundred rupees for every day after the first during with the contravention continues
125 Section 155 Prohibition to obtain more than one Director Identification Number Default in complying with any requirement under this section by any individual or director Such person shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to five hundred rupees for every day after the first during with the contravention continues
126 Section 156 Director to intimate Director Identification Number. Default in complying with any requirement under this section by any director Such person shall be punishable with imprisonment for a term which may extend to six months and or with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to five hundred rupees for every day after the first during with the contravention continues
127 Section 157 Company to inform Director Identification Number to Registrar Failure to furnish DIN under sub-section (1), before the expiry of the period specified under section 403 with additional fee. The company shall be punishable with fine which shall not be less than twenty -five thousand rupees but which may extend to one lakh rupees and every officer of the company who is in default shall be punishable with fine which shall not be less than twenty five thousand rupees but which may extend to one lakh rupees
128 Section 158 Obligation to indicate Director Identification Number Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
129 Section 160 Right of persons other than retiring directors to stand for directorship Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
130 Section 160 Right of persons other than retiring directors to stand for directorship Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
131 Section 161 Appointment of additional director, alternate director and nominee director Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
132 Section 161 Appointment of additional director, alternate director and nominee director Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
133 Section 162 Appointment of directors to be voted individually Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
134 Section 162 Appointment of directors to be voted individually Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
135 Section 163 Option to adopt principle of proportional representation for appointment of directors Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
136 Section 164 Disqualifications for appointment of director Appointment of director, who is disqualified as per the provisions of this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
137 Section 164 Disqualifications for appointment of director Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
138 Section 165 Number of directorships Default in complying with any requirement under this section The company and every officer in default shall be punishable with fine which shall not be less than five thousand rupees but which may extend to twenty-five thousand rupees for every day during which the contravention continues.
139 Section 165 Number of directorships Default in complying with any requirement under this section by the director Such person shall be punishable with fine which shall not be less than five thousand rupees but which may extend to twenty five thousand rupees for every day after the first during which the contravention continues
140 Section 166 Duties of directors Default in complying with any requirement under this section by the director Any director who contravenes the provisions of this section shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees
141 Section 167 Vacation of office of director Any person, who after knowing that the office of director held by him has become vacant on account of any disqualification specified in sub-section (1), still acts as a director Such director shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees, or with both.
142 Section 167 Vacation of office of director Default in complying with any requirement under this section The company and every officer in default shall be punishable with fine which shall not be less than five thousand rupees but which may extend to twenty-five thousand rupees for every day during which the contravention continues.
143 Section 168 Resignation of director Default in complying with any requirement under this section by the director Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
144 Section 169 Removal of directors Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
145 Section 173 Meetings of Board Failure by the officer of the company to give notice under this section Every officer of the company whose duty is to give notice under this section and who fails to do so shall be liable to a penalty of twenty-five thousand rupees
146 Section 173 Meetings of Board Default in complying with any requirement under this section except those relating to sending of notices Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
147 Section 174 Quorum for meetings of Board Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
148 Section 175 Passing of resolution by circulation Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
149 Section 176 Defects in appointment of directors not to invalidate actions taken Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
150 Section 177 Audit committee Default in complying with the provisions related to this section The company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both.
151 Section 178 Nomination and remuneration committee and stakholders relationship committee Default in complying with the provisions related to this section The company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both
152 Section 179 Powers of Board Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
153 Section 180 Restrictions on powers of Board Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
154 Section 181 Company to contribute to bona fide and charitable funds, etc Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
155 Section 182 Prohibitions and restrictions regarding political contributions Making any contribution in contravention of the provisions of this section concerning prohibition and restrrictions regarding political Contributions The company shall be punishable with fine which may extend to 5 times the amount so contributed and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months and with fine which may extend to 5 times the amount so contributed
156 Section 183 Power of Board and other persons to make contributions to national defence fund, etc Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
157 Section 184 Disclosure of interest by director Contravention of the provisions relating to mandatory disclosure of interest by the director. Where a director contravenes such provisions he shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than fifty thousand rupees but which may extend to one lakh rupees or with both.
158 Section 185 Loan to directors, etc. Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than five lakh rupees but which may extend to twenty-five lakh rupees, and the director or the other person to whom any loan is advanced or guarantee or security is given or provided in connection with any loan taken by him or the other person, shall be punishable with imprisonment which may extend to 6 months or with fine which shall not be less than five lakh rupees but which may extend to twenty-five lakh rupees or with both.
159 Section 186 Loan and investment by company Default in complying with any requirement under this section
The Company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to 2 years and with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees.
160 Section 187 Investments of company to be held in its own name. Default in complying with any requirement under this section The Company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to twenty-five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees, or with both.
161 Section 188 Related party transactions Default in complying with any requirement under this section Any director or other employee of a company, who had entered into or authorised the contract or arrangement in violation of the provisions of this section shall,—
(i) in case of listed company, be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees, or with both.
162 Section 188 Related party transactions Default in complying with any requirement under this section Any director or other employee of a company, who had entered into or authorised the contract or arrangement in violation of the provisions of this section shall,—
(i) in case of any other company, other than listed company,be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees.
163 Section 189 Register of contracts or arrangements in which directors are interested Failure to comply with the provisions of this section by Director Every director who fails to comply with the provisions of this section and the rules made thereunder shall be liable to a penalty of twenty-five thousand rupees.
164 Section 189 Register of contracts or arrangements in which directors are interested Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
165 Section 190 Contract of employment with managing or whole-time directors Default in complying with any requirement under this section The company shall be liable to a penalty of twenty-five thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for each default
166 Section 191 Payment to director for loss of office, etc., in connection with transfer of undertaking, property or shares. Default in complying with any requirement under this section by Director Where any director contravenes any of the provisions of this section, he shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees.
167 Section 191 Payment to director for loss of office, etc., in connection with transfer of undertaking, property or shares. Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
168 Section 192 Restriction on non-cash transactions involving directors Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
169 Section 196 Appointment of managing director, whole-time director or manager Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
170 Section 197 Overall maximum managerial remuneration and managerial remuneration in case of absence or inadequacy of profits Default in complying with any requirement under this section Every person who contravenes the provisions of this section shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees.
171 Section 206 Power to call for information, inspect books and conduct inquiries Failure to furnish any information within the time or extended time provided, called by the registrar with respect to the power furnish under Section 206
Where a company fails to furnish any information or explanation or produce any document required under this section, the company and every officer of the company, who is in default shall be punishable with a fine which may extend to one lakh rupees and in the case of a continuing failure, with an additional fine which may extend to five hundred rupees for every day after the first during which the failure continues.
172 Section 206 Power to call for information, inspect books and conduct inquiries Where business of a company has been or is being carried on for a fraudulent or unlawful purpose Every officer of the company who is in default shall be punishable with imprisonment for a term which shall not be less than six months but which may extended to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud but which may extend to three times the amount involved in fraud
173 Section 207 Conduct of inspection and inquiry Default in complying with the directions issued by the Registrar or the inspector in exercise of the powers under the provisions Sec. 207. The director or the officer shall be punishable with imprisonment which may extend to 1 year and with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees.
174 Section 207 Conduct of inspection and inquiry Convicted of committing office under this section
The director or the officer shall, on and from the date on which he is convicted, be deemed to have vacated his office as such and on such vacation of office, shall be disqualified from holding an office in any company.
175 Section 209 Search and seizure Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
176 Section 212 Investigation into affairs of company by Serious Fraud Investigation Office. Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
177 Section 217 Procedure, powers, etc., of inspectors Failure to produce any book or paper or furnish any information or appear before inspector personally or sign any notes of any examination Any person who makes a default shall be punishable with imprisonment for a term which may extend to 6 months and with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees and also with a further fine which may extend to two thousand rupees for every day after the first during which the failure or refusal continues
178 Section 117 Resolutions and agreements to be filed Failure to file the resolution or the agreement before the expiry of the specified period. The company shall be punishable with fine which shall not be less than five lakh rupees but which may extend to twenty-five lakh rupees and every officer of the company who is in default, including liquidator of the company, if any, shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees.
179 Minutes of proceedings of general meeting, meeting of Board of directors and other meeting and resolutions passed by postal ballot. Default in complying with the provisions of this section and the rules made thereunder in respect of any meeting The company shall be liable to a penalty of twenty-five thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees.
Section 118
180 Minutes of proceedings of general meeting, meeting of Board of directors and other meeting and resolutions passed by postal ballot. Guilty of tampering with the minutes of the proceedings of a meeting The person shall be punishable with imprisonment for a term which may extend to two years and with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees
Section 118
181 Section 119 Inspection of minute-book of general meeting Refusal for inspection of the minutes or non-furnishing of any copy of the minutes within the specific time period The company shall be liable to a penalty of twenty-five thousand rupees and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for each such refusal or default, as the case may be.
182 Section 170 Register of directors and key managerial personnel and their shareholding Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
183 Section 405 Power of Central Government to direct companies to furnish information or statistics Failure to comply with an order of the Central Government under this clause, or knowingly furnishes any information or statistics which is incorrect or incomplete in any material respect. The company shall be punishable with fine which may extend to twenty-five thousand rupees and every officer who is in default, shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to three lakh rupees, or with both.
184 Section 22 Execution of bills of exchange, etc Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
185 Section 38 Punishment for personation for acquisition, etc., of securities (a) Make or abets making of an application in a fictitious name to a company for acquiring, or subscribing for, its securities; or (b) Make or abets making of multiple applications to the company in different names or in different combinations of his name or surname for acquiring or subscribing for its securities; or (c) otherwise induces directly or indirectly a company to allot, or register any transfer of, securities to him, or to any other person in a fictitious name shall be liable for fraud. any person who is found to be guilty of fraud, shall be punishable with imprisonment for a term which shall not be less than 6 months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud Along with this, Court may also order disgorgement of gain, if any, made by, and seizure and disposal of the securities in possession of such person
186 Section 39 Allotment of securities by company.Non-refund of the allotment amount within such time and manner as prescribed in case of failure to receive the minimum stated amount and the sum payable on application within a period of 180 days from the date of issue of prospectus Failure to register the return of allotment in the manner as may be prescribed. The company and its officer who is in default shall be liable to a penalty, for each default, of one thousand rupees for every day during which default continues but not exceeding rupees one lakh, whichever is less.
187 Section 40 Securities to be dealt with in stock exchanges Default in complying with any requirement under this section The Company shall be punishable with a fine which shall not be less than five lakh rupees but which may extend to fifty lakh rupees and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to one year or with fine which shall not be less than fifty thousand rupees but which may extend to three lakh rupees, or with both.
188 Section 41 Global Depository Receipt Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
189 Section 42 Offer or invitation for subscription of securities on private placement Default in complying with any requirement under this section The company, its promoters and directors shall be liable for a penalty which may extend to the amount involved in the offer or invitation or two crore rupees, whichever is higher, and the company shall also refund all monies to subscribers within a period of thirty days of the order imposing the penalty.
190 Section 72 Power to nominate Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
191 Section 76 Acceptance of deposits from public by certain companies Contravention in complying with the provisions of the rules Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to rupees five thousand and where the contravention is continuing one with a further fine which may extend to rupees five hundred rupees for every day after the first during which the contravention continues.
192 Section 120 Maintenance and inspection of documents in electronic form Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
193 Section 121 Report on annual general meeting Failure to file the report by the listed Companies on the annual general meeting in the prescribed manner as per the provisions of the Act before the expiry of the period specified under section 403 with additional fee The company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees and every officer of the company who is in default shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees.
194 Section 122 Applicability of this Chapter to One Person Company Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
195 Section 135 Corporate Social Responsibility Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
196 Section 136 Right of member to copies of audited financial statement Default in providing copies of audited balance sheet to the members in accordance with the provisions of Act or the rules made thereunder if any. The company shall be punishable with fine of one thousand rupees for every day during which the failure continues but which shall not be more than ten lakh rupees, and the managing director and the chief financial officer of the company, if any and, in the absence of the managing director and the chief financial officer, any other director who is charged by the Board with the responsibility of complying with the provisions of this section, and, in absence of any such director, all the directors of the company shall be publishable with imprisonment for a term which may extend to six months or with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees, or with both
197 Section 137 Copy of financial statement to be filed with Registrar Failure to file the copy of the financial statement with the additional fee within the prescribed time under Section 403. The company shall be punishable with fine of one thousand rupees for every day during which the failure continues but which shall not be more than ten lakh rupees and the managing director and the Chief financial officer of the company, if any, and, in the absence of the managing director and the chief financial officer, any other director who is charged by the Board with the responsibility of complying with the provisions of this section, and, in absence of any such director, all the directors of the company, shall be punishable with the imprisonment for a term which may extend to six months or with fine which shall not be less than one lakh rupees but which may extend to five lakhs rupees, or with both.
198 Section 138 Internal Audit Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
199 Section 148 Central Government to specify audit of items of cost in respect of certain companies. Default in complying with any requirement under this section by the Cost Auditor The cost auditor shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees
200 Section 148 Central Government to specify audit of items of cost in respect of certain companies Default in complying with any requirement under this section by the Cost Auditor where it is proved that a cost auditor has knowingly or wilfully contravened any of the provisions of the aforesaid sections, he shall be punishable with imprisonment for a term which may extend to 1 year and with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees or with both.
Note 1 : Where a cost auditor has been convicted as aforesaid, he shall be liable to—
(i) refund the remuneration received by him to the company; and
(ii) pay for damages to the company, statutory bodies or authorities or to any other persons for loss arising out of incorrect or misleading statements of particulars made in his audit report.
Note 2: Where, in case of audit of a company being conducted by a cost audit firm, it is proved that the partner or partners of the audit firm has or have acted in a fraudulent manner or abetted or colluded in any fraud by, or in relation to or by, the company or its directors or officers, the liability, whether civil or criminal as provided in this Act or in any other law for the time being in force, for such act shall be of the partner or partners concerned of the audit firm and of the firm jointly and severally
201 Section 148 Central Government to specify audit of items of cost in respect of certain companies. Default in complying with any requirement under this section The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees and every officer who is in default shall be punishable with imprisonment for a term which may extend to 1 year or with fine which shall not be less than ten thousand rupees but which may extend to one lakh rupees or with both
202 Section 171 Members’ right to inspect. Default in complying with any requirement under this section The Company and every officer who is in default shall be punishable with the fine which shall not be less than fifty thousand rupees but which may extend to five lakhs rupees
203 Section 193 Contract by One Person Company. Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
204 Section 194 Prohibition on forward dealings in securities of company by director or key managerial personnel Default in complying with any requirement under this section by a Director or a key managerial personnel Where a director or any key managerial personnel (KMP) contravenes the provisions of sub-section (1), he shall be punishable with imprisonment for a term which may extend to 2 years or with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees or with both.
The Director or KMP as aforesaid shall also be liable to surrender the securities to the company and the company shall not register the securities so acquired in his name in the register and if they are in dematerialized form, it shall inform the depository not to record such acquisition and such securities in both the cases, shall continue to remain in the name of the transferors
205 Section 195 Prohibition on insider trading of securities Default in complying with any requirement under this section If any person contravenes the provisions of this section, he shall be punishable with imprisonment for a term which may extend to 5 years or with fine which shall not be less than five lakh rupees but which may extend to twenty-five crore rupees or three times the amount of profits made out of insider trading, whichever is higher, or with both.
206 Section 202 Compensation for loss of office of managing or whole-time director or manager Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
207 Section 203 Appointment of key managerial personnel Default in complying with any requirement under this section Where a company fails to comply with any of the provisions of this section, it shall be liable to a penalty of one lakh rupees but which may extend to five lakh rupees and every director and key managerial personnel who is in default shall be punishable with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
208 Section 204 Secretarial Audit for bigger companies Default in complying with any requirement under this section Company, every officer of the company or the company secretary in practice, who is in default, shall be punishable with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees
209 Section 229 Penalty for furnishing false statement, mutilation, destruction of documents Where a person who is required to provide an explanation or make a statement during the course of inspection, inquiry or investigation, or an officer or other employee of a company or other body corporate which is also under investigation,— (a) destroys, mutilates or falsifies, or conceals or tampers or unauthorisedly removes, or is a party to the destruction, mutilation or falsification or concealment or tampering or unauthorised removal of, documents relating to the property, assets or affairs of the company or the body corporate; (b) makes, or is a party to the making of, a false entry in any document concerning the company or body corporate; or (c) provides an explanation which is false or which he knows to be false, Such person be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
210 Section 380 Documents, etc., to be delivered to Registrar by foreign companies. Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
211 Section 381 Accounts of foreign company Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
212 Section 382 Display of name, etc., of foreign company. Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
213 Section 384 Debentures, annual return, registration of charges, books of account and their inspection. Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
214 Section 387 Dating of prospectus and particulars to be contained therein Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
215 Section 388 Provisions as to expert’s consent and allotment Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
216 Section 389 Registration of prospectus Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
217 Section 390 Offer of Indian Depository Receipts Default in complying with any requirement under this section The Foreign company shall be punishable with fine which shall not be less than one lakh rupees but which may extend to three lakh rupees and in the case of a continuing offence, with an additional fine which may extend to fifty thousand rupees for every day during which the default continues and every officer who is in default shall be punishable with imprisonment for a term which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakh rupees or with both.
218 Section 447 Punishment for fraud Committing fraud Such person shall be punishable with imprisonment for a term which shall not be less than 6 months but which may extend to 10 years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to 3 times the amount involved in the fraud. And if the fraud in question involves public interest the term of imprisonment shall not be less than 3 years
219 Section 448 Punishment for false statements Making a statement in any return, report, certificate, Balance sheet, prospectus etc. which is false in nature or omittment of any material information, shall be liable for fraud. any person who is found to be guilty of making false statement, shall be punishable with imprisonment for a term which shall not be less than six months but which may extend to ten years and shall also be liable to fine which shall not be less than the amount involved in the fraud, but which may extend to three times the amount involved in the fraud
220 Section 449 Punishment for false evidence Intentionally making a false statement or giving false evidence upon examination on oath or in any affidavit or otherwise in or about any matter arising under this Act. Any Person who makes such a default shall be punishable with Imprisonment for a term which shall not less than 3 years but which may extend to 7 years and with fine which may extend to ten lakh rupees
221 Section 450 Punishment where no specific penalty or punishment is provided Contravention of any of the provisions of this Act or any rule made thereunder for which no penalty or punishment is provided elsewhere in this Act. If a company or any person contravenes any of the provisions of this Act or any rule made thereunder for which no penalty or punishment is provided elsewhere in this Act, the company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees, and where the contravention is a continuing one, with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues.
222 Section 451 Punishment in case of repeated default Commission of an offence punishable either with fine or with imprisonment and where the same offence is committed for the second time within a period of 3 years The company and every officer in default shall be punishable with twice the amount of fine for such offence in addition to any imprisonment provided for that offence
223 Section 452 Punishment for wrongful withholding of property Wrongfully obtaining the possession of any property or wrongfully applying it for any purpose other than those expressed or implied. If any officer or employee of the company wrongfully obtain the possession of any property or wrongfully applies it for any purpose other than those expressed or implied, he shall be punishable with fine which shall not less than one lakh rupees but which may extend to five lakhs rupees.
224 Section 452 Punishment for wrongful withholding of property Wrongfully obtaining the possession of any property or wrongfully applying it for any purpose other than those expressed or implied. Court trying any offence may also order to deliver up or refund any such property or cash, or in default, to undergo imprisonment for a term which may extend to 2 years.
225 Section 453 Punishment for improper use of “Limited” or “Private Limited” Default in complying with any requirement under this section Person in default shall be punishable for using that name or title with fine which shall not be less than five hundred rupees but which may extend to two thousand rupees for every day upon which that name or title has been used
226 Section 454 Adjudication of penalties. Default in payment of the penalty within a period of 90 days from the date of the receipt of the copy of the order., by the company The company shall be punishable with fine which shall not be less than twenty-five thousand rupees but which may extend to five lakhs rupees.
227 Section 454 Adjudication of penalties. Default in payment of the penalty within a period of 90 days from the date of the receipt of the copy of the order by officer of company who is in default The officer in default shall be punishable with imprisonment which may extend to 6 months or with fine which shall not be less than twenty-five thousand rupees but which may extend to one lakh rupees or with both.
228 Section 455 Dormant company Default in complying with any requirement under this section Company and every officer of the company who is in default or such other person shall be punishable with fine which may extend to ten thousand rupees and where the contravention is continuing one with a further fine which may extend to one thousand rupees for every day after the first during which the contravention continues
229 Section 464 Prohibition of association or partnership of persons exceeding certain number No association or partnership having number of persons as may be prescribed (which shall not exceed one hundred) for carrying on any business for gain shall be formed unless it is registered as a company under this Act or is formed under any other law for the time being in force Every member of an association or partnership contravening this provisions shall be personally liable for all liabilities incurred in such business and fine which may extend to one lakh rupees

(Author can be reached at durgeshkabra@gmail.com)

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0 responses to “Chart on Penalties under Companies Act 2013”

  1. sushil aggarwal says:

    can you please explain that is there any difference between words ‘ Fine’ and ‘ Penalty’ because relevant sections of the CA wherein consequences of the non compliance of provision of section is prescribed; word ‘ fine ‘ is stated whereas 454 of CA is regarding adjudication of Penalties. Nowhere except this section this word is used. Either in the relevant section the word ‘ Penalty of Rs. 1000 per day …….. etc should have been used or the word Adjudication of Fine be applied in the section 454.

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