https://www.taxtmi.com/caselaws?id=210779 Under section 68(1) of the Foreign Exchange Regulation Act, 1973, a person in charge of a company's business is deemed guilty of a contravention committed by the company unless he affirmatively proves absence of knowledge or the exercise of all due diligence to prevent it. The burden of establishing that defence lies on the person proceeded against. A mere lack of connivance or unlawful monetary benefit does not defeat liability under section 68(1), because connivance is relevant to section 68(2) rather than the deeming rule in section 68(1). Assertions of internal compliance or audit processes, without cogent proof of effective preventive measures, are insufficient. en-us Thu, 09 Feb 2012 00:00:00 +0530 Wed, 13 Feb 2013 14:54:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=210779 Under section 68(1) of the Foreign Exchange Regulation Act, 1973, a person in charge of a company's business is deemed guilty of a contravention committed by the company unless he affirmatively proves absence of knowledge or the exercise of all due diligence to prevent it. The burden of establishing that defence lies on the person proceeded against. A mere lack of connivance or unlawful monetary benefit does not defeat liability under section 68(1), because connivance is relevant to section 68(2) rather than the deeming rule in section 68(1). Assertions of internal compliance or audit processes, without cogent proof of effective preventive measures, are insufficient. Case-Laws FEMA Thu, 09 Feb 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=210779