Surasandhya, is a Practising Company Secretary specialising in Corporate and allied laws. One of her clients approached her, seeking inputs on value of penalty/fine payable for certain offences committed by his Company.

According to Sec 454(3)(a) of the Companies Act, 2013 read with Rule 3(12) of the Companies (Adjudication of Penalties) Rules, 2014, while adjudging quantum of penalty, the adjudicating officer shall have due regard to the following factors, namely:- (a) size of the company; (b) nature of business carried on by the company; (c) injury to public interest; (d) nature of the default; (e) repetition of the default; (f) the amount of disproportionate gain or unfair advantage, wherever quantifiable, made as a result of the default; and (g) the amount of loss caused to an investor or group of investors or creditors as a result of the default: Provided that, in no case, the penalty imposed shall be less than the minimum penalty prescribed, if any, under the relevant section of the Companies Act, 2013, to which the offence is related to.