JUDGMENT

S.B. SINHA, J.

1. Leave granted.

2. Appellant has been proceeded against for alleged commission of an offence under Section 138 of the Negotiable Instruments Act. First respondent filed a complaint in the court of 3rd Additional Chief Metropolitan Magistrate, Hyderabad. In regard to the liability of the appellant, which is vicarious in nature, the following statement has been made in paragraph 2 of the complaint petition, which reads as under

“2. That the accused is a Company doing their business in the name and style of M/s. Rishab Alchem India Ltd., having its Registered Office at E2, Shantinivas Apartments, Mettuguda, Secunderabad and represented by Accused No.2 in the capacity of Managing Director of the first accused company and accused no. 3 to 6 are the directors of the company. All the accused persons after negotiation with the complainant firm had agreed to take financial assistance from the complainant firm. After executing comprehensive loan documentation they have taken financial assistance to the tune of Rs. 10 lakhs from the complainant firm. At the time of taking the an amount accused persons also agreed to pay interest for the principle amount of RS.10Iakhs.”

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