40. Penalty.—Whoever contravenes any provision of this Act shall, if no penalty is provided
elsewhere, be punishable for the first offence with fine which may extend to ten thousand rupees, for any
second offence with fine which may extend to fifty thousand rupees and for any subsequent offence with
fine which may extend to five lakh rupees.
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41. Monetary penalty for non-registration.—(1) Whoever carries on a clinical establishment
without registration shall, on first contravention, be liable to a monetary penalty up to fifty thousand
rupees, for second contravention with a monetary penalty which may extend to two lakh rupees and for
any subsequent contravention with a monetary penalty which may extend to five lakh rupees.
(2) Whoever knowingly serves in a clinical establishment which is not duly registered under this Act,
shall be liable to a monetary penalty which may extend to twenty-five thousand rupees.
(3) For the purpose of adjudging under sub-sections (1) and (2), the authority shall hold an inquiry in
the prescribed manner after giving any person concerned a reasonable opportunity of being heard for the
purpose of imposing any monetary penalty.
(4) While holding an inquiry the authority shall have power to summon and enforce the attendance of
any person acquainted with the facts and circumstances of the case to give evidence or to produce any
document which in the opinion of the authority, may be useful for or relevant to the subject matter of the
inquiry and if, on such inquiry, it is satisfied that the person has failed to comply with the provisions
specified in sub-sections (1) and (2), it may by order impose the monetary penalty specified in those
sub-sections to be deposited within thirty days of the order in the account referred to in sub-section (8) of
section 42.
(5) While determining the quantum of monetary penalty, the authority shall take into account the
category, size and type of the clinical establishment and local conditions of the area in which the
establishment is situated.
(6) Any person aggrieved by the decision of the authority may prefer an appeal to the State Council
within a period of three months from the date of the said decision.
(7) The manner of filing the appeal referred to in sub-section (6) shall be such as may be prescribed.
42. Disobedience of direction, obstruction and refusal of information.—(1) Whoever wilfully
disobeys any direction lawfully given by any person or authority empowered under this Act to give such
direction, or obstructs any person or authority in the discharge of any functions which such person or
authority is required or empowered under this Act to discharge, shall be liable to a monetary penalty
which may extend to five lakh rupees.
(2) Whoever being required by or under this Act to supply any information wilfully withholds such
information or gives information which he knows to be false or which he does not believe to be true, shall
be liable to a monetary penalty which may extend to five lakh rupees.
(3) For the purpose of adjudging under sub-sections (1) and (2), the authority shall hold an inquiry in
the prescribed manner after giving any person concerned a reasonable opportunity of being heard for the
purpose of imposing any monetary penalty.
(4) While holding an inquiry the authority shall have power to summon and enforce the attendance of
any person acquainted with the facts and circumstances of the case to give evidence or to produce any
document which in the opinion of the authority, may be useful for or relevant to the subject matter of the
inquiry and if, on such inquiry, it is satisfied that the person has failed to comply with the provisions
specified in sub-sections (1) and (2), it may by order impose the monetary penalty specified in those
sub-sections to be deposited within thirty days of the order in the account referred to in sub-section (8).
(5) While determining the quantum of monetary penalty, the authority shall take into account the
category, size and type of the clinical establishment and local conditions of the area in which the
establishment is situated.
(6) Any person aggrieved by the decision of the authority may prefer an appeal to the State Council
within a period of three months from the date of the said decision.
(7) The manner of filing the appeal referred to in sub-section (6) shall be such as may be prescribed.
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(8) The monetary penalty levied under sections 41 and 42 shall be credited to such account as the
State Government may by order specify in this behalf.
43. Penalty for minor deficiencies.—Whoever contravenes any provision of this Act or any rule
made thereunder resulting in deficiencies that do not pose any imminent danger to the health and safety of
any patient and can be rectified within a reasonable time, shall be punishable with fine which may extend
to ten thousand rupees.
44. Contravention by companies.—(1) Where a person committing contravention of any of the
provisions of this Act or of any rule made thereunder is a company, every person who, at the time the
contravention 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 contravention
and shall be liable to fine:
Provided that nothing contained in this sub-section shall render any such person liable to any
punishment if he proves that the contravention was committed without his knowledge or that he had
exercised all due diligence to prevent the commission of such contravention.
(2) Notwithstanding anything contained in sub-section (1), where a contravention of any of the
provisions of this Act or of any rule made thereunder has been committed by a company and it is proved
that the contravention has taken place with the consent or connivance of, or 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 contravention and shall be liable to fine.
Explanation.—For the purpose of this section,—
(a) “company” means a body corporate and includes a firm or other association of
individuals; and
(b) “director”, in relation to a firm, means a partner in the firm.
45. Offences by Government Departments.—(1) Where an offence under this Act has been
committed by any Department of Government within a period of six months after the commencement of
this Act, the Head of the Department 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 section shall render such Head of the Department liable to any
punishment 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.
(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been
committed by a Department of Government and it is proved that the offence has been committed with the
consent or connivance of, or is attributable to any neglect on the part of, any officer, other than the Head
of the Department, such officer shall also be deemed to be guilty of that offence and shall be liable to be
proceeded against and punished accordingly.
46. Recovery of fine.—Whoever fails to pay the fine, the State Council of clinical establishment may
prepare a certificate signed by an officer authorised by it specifying the fine due from such person and
send it to the Collector of the District in which such person owns any property or resides or carries on his
business and the said Collector, on receipt of such certificate, shall proceed to recover from such person
the amount specified thereunder, as if it were an arrear of land revenue.