JUDGMENT :

N. SATHISH KUMAR, J.

Prayer: Criminal Original Petition filed under Section 482 of Criminal Procedure Code, to call for the records pending on the file of the learned III Additional Judge, City Civil Court, Chennai in C.C. No. 9/2014.

1. This Criminal Original Petition has been filed to quash the private complaint filed by the respondent against the petitioner herein for the alleged offenses under sections 18(a)(1) and 18(b) of the Drugs and Cosmetics Act 1940, Section 18(c) read with Rule 74(o) and 78(p) of the Drugs and Cosmetics Rules 1945 Drugs and Cosmetics Act 1940 and Rule 78(c) of the Drugs and Cosmetics Rules 1945 for selling and manufacturing of the products, namely Neycin 500 and 650 using the laborers of M/s. Dynamic Formulations Pvt. Ltd. who are the authorized licensee to manufacture those products and besides on violation of not maintaining proper records in contravention of Rule 78(c) of the Drugs and Cosmetics Rules 1945.

2. All the violations were found by the Drug Inspector, Intelligence Wing on 16.02.2004 and finally, after completing the formalities, a private complaint has been filed for the offences mentioned above. The main contention is that A1 is the Company called M/s Teen Pharmaceuticals and A2 is the Managing Partner of the 1st Accused Firm and other partners are already arrayed as A3 to A6. Similarly the other Company M/s. A.V.M. Health Care Private Limited and the persons in-charge of the Company are arrayed as A7 to A11. Now, an application has been filed by A3 mainly on the ground that he was never in-charge of A1 Company at any point of time and he was arrayed as accused only because he was shown as one of the partner in the partnership deed. It is his contention that at the time of filing the complaint, he was a student and pursuing education. Therefore, his contention is that he has never participated in the company affairs or firm's business. Merely because, he was a partner, he cannot be prosecuted for the false allegation. Hence, the petitioner herein/A3 prays to quash the criminal proceedings pending on the file of the learned III Additional Judge, City Civil Court, Chennai in C.C. No. 9 of 2014.

3. The learned Government Advocate (Crl. Side) submitted that A1 and A7 namely M/s Teen Pharmaceuticals and M/s. A.V.M. Health Care Private Limited are the manufacturers of pharmaceutical products and tablets namely Neycin 500 and 650 and sold them as if the tablets were manufactured by the original licensee M/s. Dynamic Formulations Private Limited and the same was unearthed during the investigation besides there were no proper records for manufacturing the capsules Teenmox-250, Amocylin and Cloxallin. Hence, he further submitted that the petitioner herein/A3, is also a partner in the Company and the complaint has been rightly filed. Hence, he opposes the application.

4. It is relevant to refer to Section 34(1) of the Drugs and Cosmetics Act, 1940:

“When an offence under this Act has been committed by 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 the business of the company, as well as the company shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly.

Provided that nothing contained in this subsection shall render any such person liable to any punishment provided in this Act 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.”

5. On perusal of the above, this application for initiation for prosecution and it should be shown that every person at the time of commission of offense were in-charge and were responsible for the Company's conduct of the business. On perusal of the entire records, as far as A3 is concerned, there is no whisper as to the manner in which he was responsible for the affairs of the firm or he was in-charge of the firm at the time