What are the Penalties and Offences under Payment of Bonus Act 1965?

(b) To whom a direction is given or a requisition is made under this Act to comply with the direction or requisition;

He shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to one thousand rupees or with both.

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Offences by Companies [Sec. 29):

If the person committing an offence under this Act is a company, every person who, at the time the offence was committed was in charge of and was responsible to the company for the conduct of business of the company as well as the company.

Shall be deemed to be guilty of the offences and shall be liable to be proceeded against and punished accordingly. However, such a person shall not be liable to any punishment if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.

Where an offence under the Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of any director, manager, secretary or other officer of the company such officer etc. shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

For the purpose of this section:

(a) Company means anybody corporate and includes a firm or other association of individuals; and

(b) ‘Director’ in relation to a firm means a partner in the firm.

Cognizance of Offence [Sec. 30]:

(1) No court shall take cognizance of any offence punishable under this Act, save on complaint made by or under the authority of appropriate Government or an officer of the Government (not below the rank of regional labour commissioner in the case of an officer of the Central Government and below the rank of labour commissioner in the case of an officer of the state Government) specially authorized in this behalf by that Government.

(2) No court inferior to the court of Presidency Magistrate or a Magistrate of this first class shall try any offence punishable under this Act.

Protection of Action under the Act (Sec. 31):

No suit, prosecution or other legal proceedings shall lie against the Government or any officer of the Government for anything which is in good faith done or intend to be done in pursuance of this Act.


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