Criminal Trident Pack: IPC, CrPC and IEA by Sr. Adv. G.S Shukla and Adv. Raghav Arora
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Legal Fighter (Advocate)     09 January 2011

Criminal Case Against Company for cheating etc

I have to file a criminal case against a company for cheating and other sections of IPC. Do I need to show specific roles of MD and directors or can simply put their names. Please guide me.


 15 Replies

Shivek (Advocate)     09 January 2011

Yes. You must ascribe specific roles to the MD and other Directors as no person can be held vicariously liable for a criminal act unless specfifcally provided for by statute. Offences contained under the Indian Penal Code, 1860, including that of cheating do not provide for vicarious liability. A criminal complaint must subscribe a specific role to each and every accused. If specific acts of commission or ommission are not attributed to the individual accused persons in order to bring out the criminal conspiracy entered into between them then they may approach the High Court under Section 482 for quashing on that ground. See Para 6 of Radhey Shyam Khemka Vs. State of Bihar & Anr. (1993) 3 SCC 54. Also see S.K. Alagh vs. State of Uttar Pradesh reported as (2008) 5 SCC 662; Maksud Saiyed Vs. State of Gujarat reported as (2008) 5 SCC 668.

SACHIN AGARWAL (ADVOCATE)     10 January 2011

I agree with Mr. Shivek.

hisifybird (retd)     10 January 2011

Generally criminal cases against companies are not as strong as against individuals. Compaanies hire more capable lawyers, companies can't be imprisoned, and can only be fined. If the sections under which you are prosecuting are prescribing punishments as 'fine or imprisonment', then fine is easy. If the punishment is 'fine and imprisonment', then it becomes a long way as the respondents argue that a punishment to company is impossible.

 Law Commission had recommended for imposing 'fines' only where both are prescribed, Whether that has been passed by parliament and become a law is not known. It was supposed to be an amendment u/s 62 IPC, I think. Can an expert here, kindly throw some light on this ?

Anil Agrawal (Retired)     22 January 2011

Specify what criminal offence has been committed by the company. 

Sarvesh Kumar Sharma Advocate (Advocacy)     26 January 2011

simply u can file the name of MD.

at the time of evidence u can give the sufficient cause.

Advocate. Arunagiri (Advocate High Court Madras.)     26 January 2011

If you want to include the directors also as the accused, you have to give details of their role in the commission of offense.


Sudhir Kumar, Advocate (Advocate)     22 February 2012

Ther ecan be no criminal case against body corporate. Criminal case is registered only against Mr _____ s/o _______, r/o __________ age ________ caste______

Raj (Proprietor)     31 October 2012

I was promised 16% per month return for 15 months by the company MAXSTAR INfotech private limited a division of Maxstar group based in Pitampura, New Delhi. After paying me for 2 months, they have not paid me since last 6 months and now the director, vice president all have switched off their phones. I have sent a email asking for the cancellation of my contract. There is no response to my email. Please guide me on how i should i recover my money. I have invested 10 lacs and only got back 2 lacs. Thank you.

Sudhir Kumar, Advocate (Advocate)     31 October 2012

what do you want criminal cae or recovery suit.


technically you can do both.  Practically ......?

SACHIN AGARWAL (ADVOCATE)     01 November 2012

Your quesion is not clear. Why the company assured to pay 16%. Whether it was some inveestment from your ends or something else ? Please confirm.

Sandipan Goswami (Junior Advocate)     01 November 2012

1st of all you need to be get this clear : That though criminal offence can be committed by both juristic and natural persons, in case of 420 IPC & other similar sections the role of such persons in committing the offence is the most important and you must eluciadiate the specific role of each persons in committing the offence.

2nd : In case you want to array the MD & other officials of the company along with the company itself you surely need to set forth in your complaint the exact role they played & you must keep in mind and each of such role must amount to some act or abstainance required to commit the act of cheating as because if such is not done such person so arrayed would simply get discharged in the course of trial.

3rd & finally construct your complaint in such a way so as to make a consolidated chain of events arraying all the accused and their active participation in the entire comission of the offence, whether its in pursuant of common intention (34 IPC) or conspriracy (120B IPC)

And i do agree with the fact that a company can't be imprisoned and only can be fined, but if you can level allegations well against the high officials chances are they would opt for compromise and would do away with all the hackle of criminal trial.

Raj (Proprietor)     08 November 2012

To Sachin Agarwal,


Sir the company assured 16% returns basis out of its Call Center oprations. I invested in 5 seats and i was assured a return of 16% per month from those 5 seats. Their call centers were located in Punjab, Gujarat which i did not visit. However i believe they have shut shop.

Please help me to get out of this mess and recover my money.

Thank you sir.

Sudhir Kumar, Advocate (Advocate)     08 November 2012

from whom you will get the refund?

Raj (Proprietor)     12 November 2012

The Company Directors have gone into hiding. This is a case of cheating. After promising 16%per month return from their call center operations, now they have disappeared after 2 months of signing the contract. Even if i file a case, where will the summons be sent. The office is closed. I dont have their residence address. Shouldi file a case? or should i approach crime branch Delhi? I dont know what is the best way to deal with these thieves. Please advise.

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