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SARANG V. KOTWAL
Aarti Shailesh Shah – Appellant
Versus
Satish Vasant Dharukkar – Respondent
JUDGMENT :
Sarang V.Kotwal, J. - The Applicant is the original accused No.2 in C.C.No.4822/SS/2019 before the learned Metropolitan Magistrate, 63rd Court, Andheri, Mumbai. The learned Magistrate issued process vide the order dated 27.11.2019 against the Applicant and the original accused No.1 who was her husband u/s 138 of the Negotiable Instruments Act.
2. Heard Mr.Tariq Khan, learned counsel for the Applicant, Mr.Abhishek Jadhav, learned counsel for the Respondent No.1 and Mr.Arfan Sait, learned APP for the State.
3. The complaint is filed by the Respondent No.1 herein. It is his case, that, both the accused were husband and wife. In June 2018, they had approached the Respondent No.2 for financial help. The Respondent No.2 gave them Rs.12 lakhs by two cheques. The original accused No.1 i.e. the husband issued a receipt dated 18.06.2018 for Rs.12 lakhs in favour of the Respondent No.1. It is his case that even the present Applicant was aware of these facts. After that, the accused No.1 paid him a sum of Rs.3 lakhs on 22.02.2019. For the remaining amount of Rs.9 lakhs, the accused No.1 and 2 issued three cheques dated 15.07.2019, 15.08.2019 and 15.09.2019 for Rs.3 lakhs each from thei
Only the drawer of a cheque can be prosecuted under Section 138 of the Negotiable Instruments Act; joint account holders are not liable unless they signed the cheque.
A joint account holder cannot be prosecuted under Section 138 of the N.I. Act unless they are also a signatory on the cheque; prosecution of a non-drawer constitutes an abuse of process.
Only the drawer of a cheque can be prosecuted under Section 138 of the Negotiable Instruments Act, and in cases of joint accounts, all signatories must be involved for liability to attach.
Words used in Section 138 of N.I.Act that “such person shall be deemed to have committed an offence” refers to a person who has drawn the cheque, but not any other person, except the contingencies me....
A non-signatory to a cheque cannot be prosecuted under Section 138 of the Negotiable Instruments Act for cheque bounce, as liability is limited to the cheque's drawer.
Liability under Section 138 of the N.I. Act requires the accused to be a signatory to the dishonored cheque, and the provisions of Section 141 regarding the liability of a company, firm, or associati....
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