Clause 91 - Insertion of new section 446A. - Companies (Amendment) Bill, 2017

Insertion of new section 446A. 91. After section 446 of the principal Act, the following sections shall be inserted, namely:- Factors for determining level of punishment. 446A. The court or the Special Court, while deciding the amount of fine or imprisonment under this Act, shall have due regard to the following factors, namely:- ( a ) size of the company; ( b ) nature of business carried on by the company; ( c ) injury to public interest; ( d ) nature of the default; and ( e ) repetition of the default. Lesser penalties for One Person Companies or small companies. 446B. Notwithstanding anything contained in this Act, if a One Person Company or a small company fails to comply with the provisions of sub-section ( 5 ) of section 92, clause ( c ) of sub-section ( 2 ) of section 117, sub-section ( 3 ) of section 137, such company and officer in default of such company shall be punishable with fine or imprisonment or fine and imprisonment, as the case may be, which shall not be more than one-half of the fine or imprisonment or fine and imprisonment, as the case may be, of the minimum or maximum fine or imprisonment or fine and imprisonment, as the case may be, specified in such sections. .