law: Companies Act, 2013 
  339.
  
    Liability
  
  for fraudulent conduct of business.
  1.      If in the course of
  
  the winding up of a company, it appears that any business of the company has
  
  been carried on with intent to defraud creditors of the company or any other
  
  persons or for any fraudulent purpose, the Tribunal, on the application of the
  
  Official Liquidator, or the Company Liquidator or any creditor or contributory
  
  of the company, may, if it thinks it proper so to do, declare that any person,
  
  who is or has been a director, manager, or officer of the company or any
  
  persons who were knowingly parties to the carrying on of the business in the
  
  manner aforesaid shall be personally responsible, without any limitation of
  
  liability, for all or any of the debts or other liabilities of the company as the
  
  Tribunal may direct:
  Provided
  
  that on the hearing of an application under this sub-section, the Official
  
  Liquidator or the Company Liquidator, as the case may be, may himself give
  
  evidence or call witnesses.
  1.     
  2.      Where the Tribunal
  
  makes any such declaration, it may give such further directions as it thinks
  
  proper for the purpose of giving effect to that declaration and, in
  
  particular,—
  a.     
  
    make
  
  provision for making the liability of any such person under the declaration a
  
  charge on any debt or obligation due from the company to him, or on any
  
  mortgage or charge or any interest in any mortgage or charge on any assets of
  
  the company held by or vested in him, or any person on his behalf, or any
  
  person claiming as assignee from or through the person liable or any person
  
  acting on his behalf;
  b.    
  
    make
  
  such further order as may be necessary for the purpose of enforcing any charge
  
  imposed under this sub-section.
  1.     
  2.     
  3.      Where any business of
  
  a company is carried on with such intent or for such purpose as is mentioned in
  
  sub-section (1 ), every person who was knowingly a party to the carrying
  
  on of the business in the manner aforesaid, shall be liable for action under
  
  section 447.
  4.      This section shall
  
  apply, notwithstanding that the person concerned may be punishable under any
  
  other law for the time being in force in respect of the matters on the ground
  
  of which the declaration is to be made.
  Explanation .—For the purposes of
  
  this section,—
  a.     
  
    the
  
  expression “assignee” includes any person to whom or in whose favour, by the
  
  directions of the person liable, the debt, obligation, mortgage or charge was
  
  created, issued or transferred or the interest was created, but does not
  
  include an assignee for valuable consideration, not including consideration by
  
  way of marriage, given in good faith and without notice of any of the matters
  
  on the ground of which the declaration is made;
  b.    
  
    the
  
  expression “officer” includes any person in accordance with whose directions or
  
  instructions the directors of the company have been accustomed to act.