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2017 (5) TMI 1225 - NATIONAL COMPANY LAW TRIBUNAL, AHMEDABADCompounding of offence under Section 621A of the Companies Act, 1956 - violation of Section 307(1) of the Companies Act, 1956 punishable under Section 307(8) - Held that:- The offence relates to the period from 2001 to 2008. The petitioners filed the petition on 20th April, 2010. Therefore, the violation under Section 307(1) was committed before the Companies Act, 2013 came into force. Therefore, this Tribunal has to follow the procedure as laid down under Section 621A of Companies Act, 1956. The Ministry of Corporate Affairs, by of notification No. SO 1936E dated 01.06.2016 declared that the matters transferred from Company Law Board to NCLT shall be disposed of in accordance with the provisions of Act 18 of 2013 or Companies Act, 1956. Since Section 441 of the Act has not come into force by the date of violation and by the date of filing of this petition, this Tribunal has to follow the procedure laid down under Section 621A of the Companies Act, 1956. Considering violation of Section 307(1) and also considering the long duration of violation, this Tribunal is directing the petitioners 1 to 6 are directed to pay ₹ 50,000/- each for the violation of Section 307(1) of the Act. The violation continues for eight years, i.e. 2920 days. Therefore, each of the petitioners is directed to pay ₹ 100/- for each day of violation. The total amount comes to ₹ 20,52000/- (Rupees twenty lakh fifty-two thousand). Therefore, the compounding amount that would be payable by each of the petitioners comes to ₹ 3,42,000/-. Hence, the violation of Section 307(1) committed by the petitioners is compounded on payment of ₹ 3,42,000/- each by way of Demand Draft drawn on any nationalised bank in favour of Pay and Accounts Office, Ministry of Corporate Affairs, Mumbai within three weeks and to file the original Demand Draft before the Registry of this Tribunal on or before 12th April, 2017.
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