Corporate Criminal Liability

Abstract

The idea that criminal activity is exclusive to humans is false. In addition to being a distinct legal entity, a company can be an artificial person in criminal activity. At first, in the 16th and 17th centuries, it was thought that a company was incapable of committing any crimes. The idea that a company is a distinct legal entity has been met with some difficulties; yet a company lacks a soul and body of its own. They are therefore incapable of committing any offenses or crimes for which they could be held accountable. However, the idea of corporate criminal liability has evolved progressively because of several rulings, such as Standard Charter Bank V. Directorate of Enforcement. Any act's criminal culpability stems from the Latin maxim Actus non facit reum mens sit rea, which states that in order to hold someone or anything accountable, it must be proven that they committed an act or omission that is prohibited by law and that they have mens rea, which is defined as having a guilty mentality for legal purposes. It is included in the list of white-collar crimes. The article discusses the significant transformation of corporate criminal liability from its undeveloped state to a well-established legal doctrine. This article further explores the ideas and theories that underpin the idea that companies are criminally responsible for crimes, looking at ideas like the identification doctrine, corporate mens rea, and vicarious liability. The importance of imposing criminal sanctions for the corporate crime committed by the company in the form of fine and imprisonment is further discussed.