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    Section 441 of the Companies Act, 2013 - Compounding Of Offences

    Posted By : Anand Kumar / Published on : 25-Jul-2021 07:53 PM / View : 73 / Comment : 4
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    As per the law RD can compound only those offences where maximum fine is up to 25 Lacs. There are total 4 applicants i.e. Company and 3 Directors and their individually fine is around 11 lacs each and when we see aggregate the fine is near about 44 lacs, so whether it is compounded by RD or NCLT ?
    Read more on : offences compounding companies section

    •  

      Dear Anand,

      RD has the jurisdiction to compound an offence that has a maximum fine of Rs. 25 lacs. The quantum of Rs. 25 lacs shall be determined based upon each applicant and is not required to be consolidated of all the applicants where the joint application is moved.

      So, for calculating the monetary jurisdiction, the fine shall be calculated on the basis of each of the applications and shall not be aggregated. If in any case, the quantum of fine on a company is less than Rs 25 Lacs but more than the said amount for an officer in default, then either a joint application can be filed with Tribunal or the company can file the application with RD and officer in default with the Tribunal.

      Hope your query is answered.

      26-07-2021 / 05:35:09 AM
      Reply
    • Thanks Gaurav, even my opinion was also same but some professionals told me to move the application before NCLT, so that's why I raise the query.

       

      Anyways, thanks for the reply !!

      26-07-2021 / 05:47:36 AM
      Reply
      • You are welcome. Request you to answer other queries on the platform to help others find their answers.

        26-07-2021 / 05:51:03 AM
        Reply
    • Yes sure, will do the same.

      26-07-2021 / 02:27:59 PM
      Reply



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