Section 450 of the Companies Act, 2013: Punishment where no specific penalty or punishment is provid
Updated: Oct 14, 2022
Introduction
If a company, any officer thereof, or any other person violates any provision of this Act or the rules thereunder, or any condition, limitation, or restriction to which any approval, sanction, consent, confirmation, recognition, direction, or exemption with respect to any matter has been accorded, given, or granted, and for which no penalty or punishment is provided elsewhere in this Act, the company and each officer thereof who is in default or such other person shall be subject to a fine that may not exceed ten thousand rupees, in the event that the violation continues after the first day, there shall be an additional fine that may not exceed one thousand rupees.
Punishment for Contravention
a. In case of a company Maximum – Rs.2,00,000
b. In case of an officer who is in default or any other person –Rs.50,000
Section Analysis Findings
It is clear from the preceding provision that if no specific penalty is provided under the Act for any Section or Rule, the Company and officers in default are legally liable for penalty under Section 450 of the Companies Act, 2013.