The Supreme Court has overturned the conviction of Rohit Ram Latchan, a company director who was previously sentenced for undischarged bankruptcy while serving as a director. Latchan had been convicted by a magistrate’s court on March 3, 2020, and was fined a total of $500 with a potential jail term of 50 days for non-compliance.
Following the conviction, Latchan lodged an appeal, which was successful due to provisions in the Sentencing and Penalties Act. These provisions allow individuals found guilty to settle fines without necessarily recording a conviction.
Justice Alipate Qetaki, in his ruling on August 29, noted that Latchan’s case was unique, as no other individuals had faced charges under the now-repealed Companies Act, indicating the minor nature of the offence. The new Companies Act of 2015 has decriminalized such actions, leading to the conclusion that enforcement of the prior provisions is no longer justified.
Justice Qetaki stated that since there was no detrimental impact on third parties and given the decriminalization, a significant penalty was unwarranted. He acknowledged the arguments presented regarding Latchan’s personal and professional situation, which supported the case for minimal punishment instead of a conviction. Consequently, the magistrate’s ruling was annulled, but the $500 fine was upheld.