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 Case Digest

Drugs and Cosmetics Act, 1940
Section 34-Offence by Companies-
Section 34-Offence by Companies-
Vicarious liability of a person for being prosecuted for an offence - arises if at relevant time, he was in charge of and was also responsible to the company for the conduct of its business. The onus of proving that a particular director was in charge of and also responsible to the conduct of the business of the company is on the prosecution. If it is shown that a particular director has overall control over the day to day business of the company then in that event, there will be transformation of onus of proof from prosecution to the accused.
Pannalal Sunderlal Choksi and others vs. State of Maharashtra and another, 2001 Drugs Cases 7, Bombay High Court, 14.9.2000
Section 34-Offence by Companies-
Chairmain & two directors were impleaded without evidence. - No allegations in Complaint that petitioners were in charge or responsible to the company for the conduct of the business. Complaint in absence of such allegations is not maintainable.
Lal Chand Patni & others vs. State of Haryana, 2002 Drugs Cases 539, Mrs. Kavita Mittal vs. Drugs Inspector, 1994 Drugs Cases19
Section 34-Offence by Companies-
Section  34 (2)—Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954—sections 7 and 9—Code of Criminal Procedure, 1973—sections 482—offences by company - petition for quashing of proceedings filed by directors of company charged with offences under section  3(d) of Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954 stating that they were not responsible for conduct of business of the company—admitted that they as directors frame policy decisions of the company—no other directors in the company—hence petitioners liable to be prosecuted—petition dismissed.
Suresh Kumarji Sharma and another vs. State of A. P., Andhra Pradesh High Court, 2005 Drugs Cases (DC) 348


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