Case: Prosecution of Managing Director of Lodha Industries Ltd.

Facts of the Case:

• The Andhra Pradesh Pollution Control Board prosecutes the managing director of Lodha Industries Ltd. for the unauthorized discharge of noxious trade effluents.
• The managing director argues that since the company was not prosecuted, he cannot be held personally liable.

Issue in the Case:

• Whether the managing director can be held personally liable for the offense even if the company was not prosecuted.

Principle:

• Section 47 of the Water (Prevention and Control of Pollution) Act, 1974, addresses offenses committed by companies and individuals in charge of the company’s business.
• Under Section 47(1), if an offense is committed by a company, individuals in charge of the company’s business at the time of the offense are also liable and can be prosecuted.
• Section 47(2) further stipulates that if an offense is committed by a company with the consent, connivance, or neglect of any director, manager, secretary, or other officer, those individuals are also guilty and can be prosecuted.

Judgment:

• The managing director’s argument that he cannot be held personally liable because the company was not prosecuted is not valid.
• Section 47 of the Water Act holds individuals responsible for offenses committed by the company if they were in charge of its business at the time of the offense.
• Prosecution of the company is not a prerequisite for holding individuals accountable under the Act.
• Therefore, the managing director can be held personally liable for the offense of discharging noxious trade effluents without consent, as he was responsible for the conduct of the company’s business at the time of the offense.

In conclusion, the managing director can be held personally liable for the offense, irrespective of whether the company was prosecuted.