Adullam column: criminal liability of directors of Indian companies
Summary
We set out where liability passes to individuals: unpaid TDS, GST evasion, late commencement-of-business filing, and factory occupier duties.
Key points
- Unpaid TDS carries up to 7 years' imprisonment
- Late INC-20A costs directors ₹1,000 a day
- The factory occupier duty falls on a director personally
What it means for Korean companiesTreat appointing a director as placing risk, not just a personnel move, and ask for a separate report on personal liability items.