Explanation:

If proper books of account of the company are not maintained, then the person-in-charge shall be held punishable with the following:

1. A minimum penalty of Rs. 50,000 which may extend to Rs. 5 lakhs; or
2. Imprisonment for a specific period/term which may extend to one year; or
3. With both of the above punishment, i.e., both fine as well as imprisonment.