Section 341 of the Companies Act, 2013
Section 341 of the Companies Act, 2013 deals with the Liability under sections 339 and 340 to extend to partners or directors in firms or companies.
📘 Full Text of Section 341:
Liability under sections 339 and 340 to extend to partners or directors in firms or companies
Where a declaration under section 339 or an order under section 340 is made in respect of a firm or body corporate, the Tribunal shall also have power to make a declaration under section 339, or pass an order under section 340, as the case may be, in respect of any person who was at the relevant time a partner in that firm or a director of that body corporate.
🧾 Explanation:
If the Tribunal makes a declaration (under Section 339 for fraudulent conduct of business) or an order (under Section 340 for misfeasance or breach of trust) against a firm or company,
Then, it can also extend that liability to partners (in case of a firm) or directors (in case of a company) if they were involved during the relevant period.
🔍 Related Sections:
Section 339 – Liability for fraudulent conduct of business.
Section 340 – Power of Tribunal to assess damages against delinquent directors, etc.
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