The Supreme Court has overturned the conviction of a company director who faced sentencing for multiple counts of acting as a director while undischarged bankrupt. Rohit Ram Latchan was initially sentenced on March 3, 2020, by the magistrate’s court, which deemed him guilty and imposed a fine of $500 along with a potential 50-day prison term for default.
Following this verdict, Mr. Latchan successfully appealed the decision under sections 15(1)(f) and 16 of the Sentencing and Penalties Act. This law permits a guilty party to pay a fine without necessarily recording a conviction.
In the ruling dated August 29, Justice Alipate Qetaki highlighted that no one else has been prosecuted under section 189 of the repealed Companies Act, indicating the minor nature of the offense. Moreover, this offense has been removed from the criminal code under the new Companies Act 2015. Justice Qetaki noted that enforcing the old laws is no longer necessary since the offense has been decriminalized.
The judge stated that since there had been no negative repercussions for third parties and the public interest does not demand a severe punishment, leniency should be considered. He acknowledged the personal and professional circumstances of the petitioner when recommending a nominal punishment rather than a conviction.
Consequently, Justice Qetaki annulled the magistrate’s court decision, ordered that no conviction be recorded, and maintained the aggregate fine of $500.