Section 40. Offences by Companies

(1) Whenever an offence under this Act has been committed by a company, every person who at the time of the commission of offence was in charge of, or was responsible to the company for the conduct of the business of the company, shall be deemed to be guilty of the offence; (2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manger, secretary or other officer shall also be deemed to be guilty of that offence. EXPLANATION: For the purpose of this section (1) Company means anybody corporate and includes a firm or other association or individuals, and (2) Director, in relation to a firm, means a partner in the firm.