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1956 (5) TMI 20 - SC - Companies LawWhether or not there was mens rea in this case? Whether the necessary element of a criminal offence have been made out? Held that:- As there was no mistake about the basic fact, the provisions of section 79, Indian Penal Code, are not attracted to this case. For a prosecution for breach of trust even by a director of a company no such condition precedent as the previous sanction of any authority is contemplated by law, unless it is a prosecution in the name and on behalf of the company by the official liquidator who has to incur expenses out of the funds of the company. Section 179 is an enabling provision to enable the liquidator to do certain things with the sanction of the court. It does not control the general law of the land. For a prosecution for breach of trust even by a director of a company no such condition precedent as the previous sanction of any authority is contemplated by law, unless it is a prosecution in the name and on behalf of the company by the official liquidator who has to incur expenses out of the funds of the company. Section 179 is an enabling provision to enable the liquidator to do certain things with the sanction of the court. It does not control the general law of the land. Appeal dismissed.
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