Subject to the provisions of section 7, any person who,-
(a) Not being a member of the Institute,--
(i) Represent that he is a member of the Institute; or
(ii) Uses the designation "Company Secretary"; or
(iii) Uses the letters "A. C. S." or "F. C. S." after his name; or
(b) being a member of the Institute, but not having a certificate of practice, represents that he is in practice or practices as a Company Secretary, shall be punishable on first conviction with fine which may extend to one thousand rupees, and on any subsequent conviction with imprisonment which may extend to six months, or with fine which may extend to five thousand rupees, or with both.
Section 25 - Penalty for using name of the Council, or awarding degree of Company Secretary
(1) Save as otherwise provided in this Act, no person shall--
(a) use a name or a common seal which is identical with the name or the common seal of the Institute or so nearly resembles it as to deceive or as is likely to deceive the public;
(b) award any degree, diploma or certificate or bestow any designation which indicates or purports to indicate the position or attainment of any qualification or competence in Company Secretary ship similar to that of a member of the Institute; or
(c) seek to regulate in any manner whatsoever the profession of Company Secretaries.
(2) Any person contravening the provisions of sub-section (1) shall, without prejudice to any other proceedings which may be taken against him, be punishable on first conviction with fine which may extend to one thousand rupees, and on any subsequent conviction with imprisonment which, may extend to six months, or with fine which may extend to five thousand rupees, or with both.
1[***]
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1.Omitted by the Company Secretaries (Amendment) Act, 2006. Prior to omission, it read as under:
" (3) Nothing contained in this section shall apply to any University or other institution established by law or to any body affiliated to the Institute."
Section 26 - Companies not to engage in Company Secretaryship
(1) No company, whether incorporated in India or elsewhere, shall practise as Company Secretaries.
(2) Any company contravening the provisions of sub-section (1) shall be punishable on first conviction with fine which may extend to one thousand rupees, and on any subsequent conviction with fine which may extend to five thousand rupees.
Section 27 - Unqualified persons not to sign documents
(1) No person other than a member of the Institute shall sign any document on behalf of a Company Secretary in practice or a firm of such Company Secretaries in his or its professional capacity.
1[(2) Any person who contravenes the provisions of sub-section (1) shall, without prejudice to any other proceedings which may be taken against him, be punishable on first conviction with a fine not less than five thousand rupees but which may extend to one lakh rupees, and in the event of a second or subsequent conviction with imprisonment for a term which may extend to one year or with a fine not less than ten thousand rupees but which may extend to two lakh rupees or with both.]
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1.Substituted by the Company Secretaries (Amendment) Act, 2006. Prior to Substituted, it read as under:
" (2) Any person contravening the provisions of sub-section (1) shall, without prejudice to any other proceedings which may be taken against him, be punishable on first conviction with fine which may extend to one thousand rupees, and on any subsequent conviction with imprisonment which may extend to six months, or with fine which may extend to five thousand rupees, or with both."
Section 28 - Offences by companies
(1) If the person committing an offence under this Act is a company, the company as well as every person in charge of, and responsible to, the company for the conduct of its business at the time of the commission of the offence 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 sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or that the commission of the offence is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly:
Explanation: For the purposes 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.
Section 29 - Sanction to prosecute
No person shall be prosecuted under this Act except on a complaint made by or under the order of the Council or of the Central Government.