Corporate Crime and Penal Policy in India: An Analytical study

Corporates are an important part of our society. The growth and development of an economy is largely based on these corporations. Any negative act of corporates has a huge impact on the society. Therefore, crimes committed by corporations needs to be eradicated as they exploit society directly or indirectly. Corporate crime is also known as organizational crime or white-collar crime. Corporates has a distinct personality and is different from natural persons. The concern is whether a corporate can commit a crime being a non-natural person? Under the concept of vicarious liability companies are held guilty and not the personnel’s working for such corporates. The scope of vicarious liability to offence involving mens rea give rise to company criminal liability. However, the Indian statutes are not in pace with different doctrines and concept which makes the corporate criminally liable. Thus, they do not make corporations criminally liable. There is no other punishment except fine. This paper assesses the legal policy associated regarding the issue of corporate criminal liability. It also compares the criminal liability of corporates in Indian, USA, UK, and Australian legal system.