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2000 (6) TMI 767

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..... the managing director of the company filed affidavits and counter-affidavits in the case containing false statements made with the intention of subverting justice. In the affidavit filed in support of the petition, certain statements contained in the affidavits and counter-affidavits are mentioned which according to the petitioner are false statements. The respondent filed a counter-affidavit denying the allegations made against him by way of filing the petition. 3. One of the prayers in the petition being to take cognizance of the offence punishable under section 629, the question which arises for consideration is whether this court can take cognizance of the offence, punishable under the above section, alleged to have been committed by the respondent. Incidentally, the question whether the company court can try the offence punishable under section 629 also arises for consideration since if it is found that this court can take cognizance of the offence, the trial of the case in which the allegation is that the respondent committed offence punishable under section 629 also has to be conducted in this Court. 4. According to the learned counsel appearing for the petitioner, .....

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..... and other laws. Section 4(1) says that all offences under the Indian Penal Code shall be investigated, inquired into, tried, and otherwise dealt with according to the provisions contained in the Code. It is in sub-section (2) of section 4 that provision is made regarding trial of offences under other laws. That sub-section enjoins that all offences under any other law shall be investigated, inquired into, tried, and otherwise dealt with according to the same provisions in the Code, but subject to any enactment for the time being in force regulating the manner or place of investigating, inquiring into, trying or otherwise dealing with such offences. 7. A reading of section 4 would indicate that the general law is that all offences under the Indian Penal Code and any other law shall be investigated, inquired into, tried and otherwise dealt with according to the provisions of the Code. But in cases in which there are specific provisions in any enactment in respect of investigation, inquiry or trial, those matters will be governed by those provisions under the Act and not by the provisions of the Code. 8. In this context, it is pertinent to refer to the definition of offence .....

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..... ontained in the Code of Criminal Procedure will have to be followed. That being the position of law, the question to be considered is whether there is any special procedure made mention of in the Companies Act for trial of the offences mentioned in that Act. If any special procedure is mentioned in the Act in respect of certain matters, then that special procedure has to be observed or followed only in respect of those matters and in respect of the other matters trial of the offence will have to be conducted as per the provisions of the Code of Criminal Procedure. In case complete procedure is provided under the act, trial of the offence will have to be conducted as per that procedure made mention of in the Act. 13. Section 621 says that no court shall take cognizance of any offence against the that act (other than an offence with respect to which proceedings are instituted under section 545) which is alleged to have been committed by any company or any officer thereof, except on the complaint in writing of the Registrar, or of a shareholder of the company, or of a person authorised by the Central Government in that behalf. Section 622 of the Act provides that no court inferior .....

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..... st the Act. Trial of offence under the Companies Act, no doubt, will have to be conducted in accordance with the provisions of the Code of Criminal Procedure subject to the condition that no court inferior to that of a Presidency Magistrate or a magistrate of the first class shall try any offence against the Act. 15. Since there is no special procedure made mention of in the act for trial of offences under that act, as provided in section 4, the offences under the act have to be tried as per the provisions of the Code. Regarding taking cognizance of the offence, section 621 of the Act says that cognizance of the offence can be taken only on a complaint in writing of the Registrar, or of a shareholder of the company or of a person authorised by the Central Government in that behalf. In respect of the offences mentioned in the Indian Penal Code, provision is made in Schedule I of the Code of Criminal Procedure regarding the court which can try the offence. In Column (6) of Schedule I, mention is made about the court which can try the various offences mentioned in the Indian Penal Code, Schedule II of the Code of Criminal Procedure deals with classification of offences against oth .....

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..... s made in accordance with the procedure established by law. In so far as there is no procedure mentioned in the Act, trial of offence, conviction of the offender and sentencing him to undergo imprisonment can be made only in accordance with the procedure established by law. The procedure established by law for the trial of offences under the Indian Penal Code as well as other laws is the Code of Criminal Procedure and, hence, trial of offences mentioned in the Act except the offence for which special procedure has been provided for in the Act, will have to be as provided in the Code of Criminal Procedure. As regards the court which can try the offence under the Act except the offence mentioned in section 454, has to be decided on the basis of the provisions in the Code. There is no provision in the Act or in the Code which says that offences under the Act can be tried by the company court. 17. The High Court of Punjab and Haryana rendered the decision in Khosla Fans (India) P. Ltd. (In Liquidation), In re [1983] 53 Comp. Cas. 858 without taking into account the above provisions in the Act as well as in the Code of Criminal Procedure. The decision of the above High Court was t .....

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