(1.) The petitioner who is the first accused in C. C. 927 of 1956 of the First Class Magistrate's Court, Vaikom, has preferred this revision petition seeking to have the charge framed against him quashed. The petitioner and other directors of the Bharat Ayurvedic Works Limited, Vaikom, are being prosecuted for offence punishable under Section 282 of the Indian Companies Act, VIII of 1913 for having published a false balance sheet of the company for the year ending 31st December, 1952. The case was taken up on the complaint of the Registrar of Joint Stock Companies who has been authorised by the Government of India in this behalf. The petitioner's contention is that under Section 141A of the Indian Companies Act (VII of 1913), the Registrar of Joint Stock Companies is not competent to prefer the complaint and that the only persons who can do so are the Advocate-General or the Public Prosecutor, to whom the matter may he referred by the Government. The matter was taken in revision before the District Magistrate, Kottayam, who declined to interfere. The petitioner has therefore moved this court in revision.
(2.) The only point arising for decision is whether the Registrar of Joint Stock Companies was competent to prefer the complaint. Section 141A on which the petitioner bases his case is extracted below;
(3.) For a proper appreciation of the question, it is useful to refer to Sections 138 to 141A of the Indian Companies Act (VII of 1913). Section 138 enables the Central Government to appoint Inspectors to investigate the affairs of any company and to report there-on such appointment being made on the application of members of the company or the Registrar. Section 139 requires that such application for inspection must be supported by evidence, and under Section 140 all oflicors of the company -- present and past --arc bound to produce books and documents in their custody relating to the company for the purpose of inspection. Section 141 provides that on the conclusion of the investigation the Inspectors have to report their opinion to the Central Government and that a copy of the report should be forwarded by the Central Government to the Registrar of Joint Stock Companies, to the company and to the applicants for investigation on their request. Section 141A deals with the institution of prosecution if the same be warranted by the report and the Government has to refer the matter to the Advocate-General Or the Public Prosecutor who are to institute proceedings, if in their opinion a prosecution ought to be instituted. The question is whether this debars prosecution by other persons.