TMI Blog2022 (9) TMI 611X X X X Extracts X X X X X X X X Extracts X X X X ..... n the statutory signification assigned to a 'Company', does visibly cover not only any corporate body, but also covers a firm, or other association of individuals, therefore, not only a corporate entity either private, or, public limited becomes a 'Company', for the purpose of application thereons of Section 141 of 'the Act', but also a firm, or, other association of individuals, do also, become covered by Section 141 of 'the Act', besides a partner in a firm when is given the colour of a Director of a firm, also does become covered for the relevant purpose. When the arraigning of the sole proprietary concern rather was a condition precedent for making the complaint well constituted, as it becomes the prin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mmoning order upon the accused-petitioner herein. The summoning order is appended as Annexure P-2 to the instant petition. 4. The learned counsel appearing for the petitioner has prayed for the quashing of the complaint, and, has also asked for relief of annulment of the summoning order. 5. The memo of parties as displayed in the petition complaint is extracted hereinafter. M/s Green Feeds, Near Shamshan Ghat, VPO Bastara, District Karnal through its Partner Sh. Vipin Kumar .......Complainant Versus Sardar Bhupinder Singh, Proprietor, M/s Thind Traders, VPO Mohie, New Mullarpur, District Ludhiana, Punjab, PIN 141103 .....Accused 6. The learned counsel appearing for the aggrieved accused petitioner herein, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... render any person liable to punishment if he proves that the offence was committed without his knowledge, or that he had exercised all due diligence to prevent the commission of such offence: [Provided further that where a person is nominated as a Director of a company by virtue of his holding any office or employment in the Central Government or State Government or a financial corporation owned or controlled by the Central Government or the State Government, as the case may be, he shall not be liable for prosecution under this Chapter.] (2) Notwithstanding anything contained in sub-section (1), where any offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s being described to be the proprietor of M/s. Thind Traders, is a valid motion, for the drawing of a valid prosecution against the accused petitioner herein, qua an offence, constituted under Section 138 of 'the Act'. 10. For the reasons hereinafter, the above made submission is completely fragile, and, is amenable for becoming discountenanced by this Court. 11. The above made submissions, has spurred from a gross mis-appreciation, and, also from his being completely oblivious to the import, of the explanation, occurring in Section 141 of 'the Act', and, also obviously arises from his complete failure to either fathom the import thereof, and, or, to apply it to the imperative description of the apposite accused, in th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oncerned, was amenable for being arrayed as an accused in the petition complaint, but also all those persons responsible to the sole proprietary concern, for the conduct of its business were also required to be arrayed as accused in the memo of parties of the petition complaint. However, a close reading of the above memo of parties, appertaining to the extant complaint, reveals that the sole proprietary concern, inasmuch as, M/s Thind Traders has not been arrayed as an accused, but only its sole proprietor Sardar Bhupinder Singh has been arrayed as an accused. 15. In consequence, when the arraigning of the sole proprietary concern rather was a condition precedent for making the complaint well constituted, as it becomes the principal offe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ers is tenable even if the company is not arraigned as an accused. The words as well as have to be understood in the context. In Reserve Bank of India v. Peerless General Finance and Investment Co. Ltd. and others, (1987) 1 SCC 424 it has been laid down that the entire statute must be first read as a whole, then section by section, clause by clause, phrase by phrase and word by word. The same principle has been reiterated in Deewan Singh and others v. Rajendra Prasad Ardevi and others, (2007) 10 SCC 528 and Sarabjit Rick Singh v. Union of India, (2008) 2 SCC 417. Applying the doctrine of strict construction, we are of the considered opinion that commission of offence by the company is an express condition precedent to attract the vicari ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
