Author: Richa Srivastava
There is a strong need for prosecuting corporations in the interest of society. The old jurisprudence considered corporations incapable of been prosecuted. However, as the need aroused slowly, the courts around the world developed important theories in order to hold corporations liable for their acts, omissions and forbearances. The Indian courts after going through a series of cases have now adapted the rational approach of prosecuting the corporations.
The company law provisions in India successfully create the principle of “lifting the corporate veil” in situations explicitly mentioned by the Companies Act, 1956. The growing reach of corporations and their effect on society as well as growing corporate crimes have made it pertinent for the legal systems to initiate criminal prosecution against the mind behind the corporate crime. The essay elaborates on above-mentioned aspects as well as traces out the growth of the law behind it.
Read More “Need of initiating Criminal Prosecution against Corporations” »