Dáil Éireann Debate, Tuesday - 5 April 2011
175 Deputy Peter Mathews asked the Minister for Enterprise, Trade and Innovation the penalties a management company of an apartment block are liable to face if they breach sections 131 and 148(7) of the Companies Act 1963 by not holding an annual general meeting within 15 months; and if he will make a statement on the matter. [6720/11]
View answerThe Multi-Unit Developments Act 2011 makes provision for the operation of management bodies of multi-unit developments and is primarily a matter for the Department of Justice and Equality.
The penalties for companies in breach of the sections referred to by the Deputy are set out in section 131(6) and section 148 (11) of the Companies Act 1963.
Section 131(6) (as amended) provides as follows:
(6) If default is made in holding a meeting of the company in accordance with subsection (1), or in complying with any direction of the [Director] under subsection (3), the company and every officer of the company who is in default [shall be guilty of an offence and liable to a fine] not exceeding [€1,904.61, and if default is made in complying with subsection (5), the company and every officer of the company who is in default [shall be guilty of an offence and liable to a fine] not exceeding €1,904.61.
Section 148(11) (as amended) provides as follows:
(11) Where any person being a director of a company fails to take all reasonable steps to comply with this section, the person is, in respect of each offence, liable on summary conviction to imprisonment for a term not exceeding 6 months or to a fine not exceeding € 635 or to both, so, however that—
(a) in any proceedings against a person in respect of an offence under this section, it shall be a defence to prove that the person had reasonable ground to believe and did believe that a competent and reliable person was charged with the duty of seeing that this section was complied with and was in a position to discharge that duty, and
(b) a person shall not be sentenced to imprisonment for such an offence unless, in the opinion of the court dealing with the case, the offence was committed wilfully.
