Penalty for failure to distribute dividends within thirty days.

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.... from the date of declaration, to any shareholder entitled to the payment of the^[1][2] dividend, every director of the company shall, if he is knowingly a party to the default, be punishable with simple imprisonment for a term which may extend to three years and shall also be liable to a fine of one thousand rupees for every day during which such default continues and the company shall be liable ....

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....    (d) where the dividend has been lawfully adjusted by the company against any sum due to it from the shareholder; or           (e) where, for any other reason, the failure to pay the dividend or to post the warrant within the period aforesaid was not due to any default on the part of the company.]     ------------....

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....ence shall be deemed to have been committed within the meaning of the foregoing provision in the following cases, namely:           (a) where the dividend could not be paid by reason of the operation of any law;           (b) where a shareholder has given directions to the company regarding the payment ....