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TMI Blog1988 (5) TMI 376X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 162(1) of the Companies Act, 1956 and the order passed, in that case by the learned Magistrate taking cognizance and, issuing summons against the petitioners. The respondent No. 2 filed that case on the allegations that the Annual General Meeting of the Company should have been held on 30-10-79 and the balance sheet and profit and loss account of the Company for the year ending 30-4-1979 was required to be filed under Section 220(1) of the Companies Act, 1956 in the office of the complainant on or before 30-10-1979 and that the said officers of the company having not filed the said balance sheet and profit and loss account were liable to be punished under Section 220(3) read with Section 162(1) of the Companies Act, 1956 (hereinafter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sions of Section 159, 160 or 161.". Section 162(1) of the Act--"If a Company fails to comply with any of the provisions contained in Sec-159, 160 or 161 the Company and every officer of the Company who is in default, shall be punishable with fine which may extend to Rs. 50/- for every day during which the default continues." Section 468 Cr.P.C.--''Except as otherwise provided elsewhere in this Court, no court shall take cognizance of offence of the category specified in sub-section (2) after the expiry of the period of limitation " (2) "The period of limitation shall be (a) six months, if the offence is punishable with fine only..." Sec. 472 of the Code--'In the case of a continuing offence, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Code of Criminal Procedure. 6. Thus the point for our consideration is whether the offence complained of would be deemed to be a continuing offence or not. As the phrase "continuing offence" used in Section 472 of the Code has not been, and could not be usefully defined there had been some controversies with regard to the question as to whether the offence of such a nature Would be deemed to be a continuing offence or not. In our view, the difficulty in interpreting as to whether a particular offence is a continuing or not has been removed by the decision one reported in the case of Bhagirath Kanoria & ors. v. The State of Madhya Pradesh A.I.R. 1984 S.C. 1688, because in the said decision certain principles which should be take ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... complied With. On every occasion when such disobedience or non-compliance occurs and recurs there is the offence committed. The distinction between the two kinds of offences is between an act or omission which continues an offence once and for all and an act or omission which continues and therefore constitutes a fresh offence every time or occasion on which it continues. In the case of continuing offence, there is thus the ingredient of the continuance of the offence which is absent in the case of an offence which takes place when an act or omission is committed once and for all." After quoting the aforesaid observations the Hon'ble Court adds in paragraph 19 of the 1984 decision already referred to what follows:-- "The q ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... raph 19 of the, decision it would be useful to quote paragraph 22 of that decision, which is as follows: "Before we close, we consider it necessary to draw attention to the provisions of Section 473 of the Code which have extracted above. That section is in the nature of an overriding provision according to which, notwithstanding anything contained in the provisions of Chapter XXXVI of the Code, any Court may take cognizance of an offence after the expiry of the period of limitation if, inter alia, it is satisfied that it is necessary to do so in the interest of justice. The hair-splitting argument' as to whether the offence alleged against the appellants is of a continuing or non-continuing nature, could have been averted by hol ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... profit and loss account of the relevant year is an offence. The purpose which is intended to be achieved by constituting the particular Act as offence is for avoiding, undue delay in preparation and furnishing of balance sheet and profit and loss account of the Company. Our finding that running the business without furnishing the balance sheet and profit and loss account by the due date has not been made an offence is also supported by the provisions of Section 614A of the Act under which a prayer has also been made in the complaint case in question. As running the business of the Company without furnishing balance sheet by the prescribed day has not been made an offence, the infringement of the provisions of Section 220(1) cannot be held ..... X X X X Extracts X X X X X X X X Extracts X X X X
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