BINAY KISHORE PRASAD Vs. UNION OF INDIA

JUDGEMENT

(1.) Petitioners, Binay Kishore Prasad and Md. Salahuddin @ Salahuddin have challenged order dated 6.7.2007 by which the Presiding Officer, Special Court of Economic Offence, Patna has summoned to face trial for an offence punishable under Section 162(1) of the Companies Act in connection with Complaint Case No. 355(C)/2007.

(2.) Briefly stated, the Registrar of Companies, Bihar & Jharkhand filed a complaint against altogether five persons including the Company and its Board of Directors for an offence punishable under Section 162(1) of the Companies Act on account of default of submission of annual return in pursuance of Section 159 of the Companies Act for the period 31.3.1992 to 31.3.2006. The aforesaid complaint was filed on 4 th of July 2007 over which the learned Presiding Officer had taken cognizance on 6.7.2007.

(3.) It has been contended on behalf of the petitioner that the prosecution of the petitioners are false and malicious and cannot be permitted to proceed as it suffers from factual as well as legal deficiencies. For that submitted that it happens to be hit by Section 468 of the Cr.P.C., whereunder period of limitation has been prescribed for taking of cognizance of an offence. Because of the fact that it happens to be an offence which prescribes only fine as a result of which the cognizance should have been taken within six months from the date of alleged offence and so submitted that order of cognizance happens to be barred by law of limitation. Then submitted that because of the fact that prosecution is also bad for want of encircling the petitioners to be at default as they have not been entrusted to discharge his function including furnishing of annual return in accordance with Section 159 of the Companies Act. Also relied upon decisions reported in 2007 (1) PLJR 338, 2007 PLJR (Supp) 659, 2010 (3) 64.