Question 4 (b) part ii
Protection for whistle-blowing
3 marks
- Time to write
- About 6 minutes
From an older CBCS paper
Question
Question 4 (b) part ii · 3 marks- Regarding whistle blowing, what protection does the LLP Act provide to partners and employees ?
Reworded from the university paper; the task is the same. The original paper belongs to the University of Delhi. See DU's question bank.
Before you write
Read off the question and its marks
What the paper leaves open
Marked as one question of 6 marks; answered here in 2 parts of 3 marks each (marks inferred).
Write it in this order
- 1 (ii) Whistle blowing 3 marks 6 min
Try it first. About 6 minutes for 3 marks. Write it out, then open the solution.
Solution
Hover or tap a marked figure, like 72,000, to see how it is made and where else it appears.
(ii) Whistle blowing (s. 31): section 31 rewards and protects partners and employees who help expose wrongdoing in an LLP.
1Late night at the office: two partners feed the records to the shredder—and Asha sees it.
Whistle-blowingWhistle-blowing is the disclosure, by a partner or an employee of an LLP, of information about wrongdoing in the LLP.
2She hands the blue file to the investigator; what she knows changes the case.
Reduction or waiver of penaltyHe has provided useful information during an investigation of the LLP.
3The angry partner moves to sack her—the law steps between them.
No victimisationA partner or employee may not be discharged, demoted, suspended, threatened, harassed or discriminated against.
- Reward: lighter penalty. If a partner or employee gives information that proves useful in an investigation of the LLP, or information (given at any time) that leads to the conviction of the LLP or of any partner or employee under this or any other Act, the court or Tribunal may reduce the penalty he would otherwise face, or waive it altogether.
- Protection: no reprisals. The LLP may not punish the informer for having spoken up: he may not, for that reason, be sacked, moved down, suspended, threatened or harassed, or treated less favourably in any other way.
Example. An accounts assistant tells investigators that two partners have been inflating the LLP's receivables. If her evidence helps secure their conviction, a penalty she herself faces for a filing lapse may be cut or waived, and the LLP cannot demote her for having reported.
Where the 3 marks sit
| # | Component | Marks |
|---|---|---|
| 1 | (ii) Whistle blowing | 3 |
| Total | 3 |
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