Section 16 of PLIA : Section 16: Offences By Companies

PLIA

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Explanation using Example

Let's consider a hypothetical scenario. ABC Pvt Ltd. is a chemical manufacturing company. Due to negligence in handling hazardous waste, a chemical spill occurs, causing harm to nearby residents and the environment. This is an offence under The Public Liability Insurance Act, 1991.

According to Section 16(1), not only the company but also the person directly in charge at the time of the offence, say Mr. X, the plant manager, can be held liable for the offence. They can be proceeded against and punished accor...

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