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Supreme Court of India 2021-10-29 allowed

DAYLE DE’SOUZA vs GOVERNMENT OF INDIA THROUGH DEPUTY CHIEF LABOUR COMMISSIONER (C) AND ANOTHER

Bench: 2 — R. Subhash Reddy, Sanjiv Khanna

In Brief

Dayle De'Souza, director of Writer Safeguard Pvt. Ltd., was prosecuted under the Minimum Wages Act, 1948 for alleged violations at an SBI ATM site. The company was not named as an accused. The Supreme Court held that vicarious criminal liability under Section 22C requires specific averments that the director was 'in-charge of and responsible for' the company's business, not merely that he held the office of director. Moreover, the company itself—as the entity allegedly committing the offence—must be prosecuted; without the company's conviction, the individual's conviction cannot stand. The Court also emphasized that magistrates must apply judicial mind when taking cognizance and issuing summons, rather than doing so mechanically. The appeal was allowed and proceedings quashed.

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Criminal Procedure Labour Law Minimum Wages Vicarious Liability Summoning Cognizance Prosecution Initiation

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