Criminal liability for partners requires specific allegations of responsibility; mere designation is insufficient, and complaints may be barred by limitation.

Order :

1. By way of filing this instant Criminal Misc. Petition under Section 482 of the Code of Criminal Procedure, the petitioner seeks quashing of proceedings in Criminal Complaint No. 1191/2021 {CNR No. RJCH020008502021} pending before the Learned Chief Judicial Magistrate, Churu, Rajasthan, titled State of Rajasthan through Manoj Kumar Garwhal, Drugs Control Officer, Churu vs. M/s Shree Sai Medicos & Ors. The petitioner also prays for setting aside the order dated 12.11.2021, whereby the court below has taken cognizance of offences under Sections 18(A)(1) , 18(A)(IV) , 16(1)(A), and 18B read with Sections 27(D) and 28(A) of the Drugs & Cosmetics Act, 1940, and issued process against the petitioner.

2. The brief facts of the present case is that as per the averments in the impugned complaint, on 26.02.2015, the respondent, Drugs Control Officer, Churu, collected samples of the drug “Defalcort-6 Tablets, Batch No. AT080695” from the premises of Sai Medicos, Churu (Accused No. 1). The said drug, manufactured by Adwin Pharma, was sent for analysis to the Government Analyst, Jaipur, who, vide report dated 21.08.2015, declared the drug as “Not of Standard Quality” due to non-conformity with the prescribed assay of deflazacort.

3. During the course of investigation, Accused No. 1 disclosed that the impugned drug was procured from Accused No. 5, M/s S. K. Medicine House, Bhiwani, Haryana, who, in turn, had purchased it from Accused No. 7, ELS Distributors, Sonipat, Haryana. The respondent Drugs Control Officer issued a notice dated 01.10.2015 to Adwin Pharma, which responded in November 2015, expressing its intention to adduce evidence against the Government Analyst’s findings. Subsequently, the drug sample was forwarded to the Director, Central Drugs Laboratory, Kolkata, through the competent court, and the findings of the Government Analyst were affirmed.

4. Thereafter, the respondent instituted the impugned complaint before the Learned Chief Judicial Magistrate, Churu, on 12.11.2021. The court took cognizance of the alleged offences and issued summons against the petitioner. The petitioner has assailed the proceedings on the grounds that the complaint and the order of cognizance are barred by limitation under Section 468 of the Code of Criminal Procedure, 1973 . Furthermore, it is contended that no specific criminal liability has been attributed to the petitioner, who has been arraigned as an accused solely on account of being a partner in Adwin Pharma.

5. The petitioner submits that the impugned complaint lacks the essential ingredients of Section 34 of the Drugs and Cosmetics Act, 1940 , and being aggrieved, has approached this Court seeking appropriate relief.

6. Heard the learned counsels present for the parties and gone through the materials available on record.

7. It is a settled principle of law that a criminal complaint against a partner of a partnership firm or an officer of a company does not lie unless the complaint contains clear and specific allegations that the said person was in charge of and responsible for the conduct of the business at the time of the commission of the alleged offence. Mere designation as a partner or officer is insufficient to fasten criminal liability.

8. The impugned complaint lacks any such specific averments against the petitioner, and there is no allegation that she acted negligently, in connivance with, or with the consent of any other accused in committing the offence. In the absence of such allegations, the petitioner cannot be held vicariously liable under Section 34 of the Drugs and Cosmetics Act, 1940 . In order to implicate a director or a partner, it must be shown that such a person was actively responsible for the conduct of business at the relevant time. A mere bald assertion is not sufficient to sustain criminal proceedings.

9. That the impugned complaint fails to establish the petitioner’s liability under Section 34 of the Drugs and Cosmetics Act, 1940 . For ready reference Section