(1) The provisions of Schedule VIII shall apply -

(a) to every firm or private company which acts as the managing agent of any company, whether public or private; and

(b) save as provided in sub-section (2), to every other body corporate (not being a private company) which acts as the managing agent of any company, whether public or private.

(2) A body corporate (not being a private company) acting as managing agent shall, if and so long as its shares are dealt in, or quoted on, any recognised stock exchange, be exempt from the operation of sub-section (1), unless the Central Government, by notification in the Official Gazette otherwise directs :

Provided that the Central Government may, by order, modify or limit the operation of this sub-section in relation to any body corporate in such manner as that Government thinks fit.

(3) If default is made by a managing agent to which Schedule VIII applies in complying with the provisions thereof, -

(a) if the managing agent is a firm, every partner therein who is in default, and

(b) if the managing agent is a body corporate, the body corporate, and every director or other officer thereof who is in default,