IN RE Vs. SMCC CONSTRUCTION INDIA LIMITED

JUDGEMENT

(1.) This petition has been filed u/s 441 of the Companies Act, 2013 praying for compounding of the offence u/s 198 of the Companies Act, 1956. The offence alleged against the applicant company was that it had paid excess remuneration to Mr. Hidehisa Uemotg, an Ex- Managing Director appointed on a fixed remuneration. In November 1997, the company became a Public company and provision of Section 198 of the Act became applicable. The said provision are reproduced as:

(2.) Mr. Hidehisa Uemoterwas paid an excess remuneration of Rs. 86,82,380/-from 1997 - 2001 in contravention of the aforesaid provision.

(3.) The offence relates to the year 1997- 2001 and is punishable u/s 629A of the Companies Act, 1956. Accordingly, RoC has recommended the fine of Rs. 35,18,500/- on the company and the other applicants.