HC held that the director cannot be personally liable for ...

Directors Not Automatically Liable for Company's Export Defaults Without Specific Proof of Direct Responsibility and Procedural Compliance

May 2, 2025

Case Laws Customs HC

HC held that the director cannot be personally liable for company's export obligation defaults without specific allegations demonstrating direct responsibility. The court found procedural irregularities, including failure to issue proper show cause notices after company's liquidation in 1998 and lack of evidence establishing director's direct culpability. Fundamental principles of natural justice were violated, and the respondent's orders imposing personal liability were consequently set aside. The court emphasized that mere directorship does not automatically create personal liability, requiring clear proof of direct involvement in the company's non-compliant conduct.

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HC held that the director cannot be personally liable for ...

Directors Not Automatically Liable for Company's Export Defaults Without Specific Proof of Direct Responsibility and Procedural Compliance

May 2, 2025

Case Laws Customs HC

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