IMPORTANT POINT
No individual notices need be given to all partners who are incharge and responsible for conduct of day-to-day business of firm before filing complaint regarding dishonour of cheque when notice was given to firm.

T. Ranga Rao, J - This petition is filed under Section 482 Cr. P.C. to quash the proceedings in C.C. No. 220/95 on the file of the III Metropolitan Magistrate, Vijayawada.

2. The facts in giving rise to the filing of this petition are briefly as follows:

The first respondent represented by the General Power of Attorney Holder, filed a complaint against the petitioners under Sections 138 and 142 of the Negotiable instruments Act alleging that A-1 is a partnership firm with its office at Vuyyuru, Krishna District. A-2 is the Managing Partner and A-2 to A-5 are the partners of the said firm. It is further stated that A-2 to A-5 as partners of the A-1 firm are in charge and responsible and playing active role in the management and in day-to-day conduct of business of A-1 firm. It is further alleged that A-1 borrowed Rs. 30,000/- Rs. 21,000/- and Rs. 30,000/ - on 28.11.1988, 7.12.1989 and 28-9-1994 respectively and executed promissory notes promising to pay interest at 30% per annum, and issued cheque dtd. 25-5-1992 for Rs. 1,50,000/- in favour of the complainant drawn on Indian Bank, Vuyyuru and the same was presented for collection at Andhra Bank. Vijayawada but it was returned on 7-61995 due to insufficiency of funds. The complainant got issued notice to the accused No.1 and the accused failed to pay the amount. It is further alleged that the offence was committed with the active connivance and negligence of all the accused and hence they are liable for punishment.

3. Now the petitioners filed this petition to quash the proceedings.

The learned counsel for the petitioner submitted that the cheque was issued by A-2 on behalf of A-1 firm and the fifth petitioner is a woman and it is absurd to contend that she is also looking after the business of firm and the partnership deed clearly shows that A2 the Managing Partner is looking after the affairs of the theatre and others are no way responsible for the management and the afairs of the firm and hence the complaint is not maintainable against A-3 to A-5.

4. But the learned Counsel for the respondent submitted that the other partners are also looking after the business of the first petitioner-firm and it is specifically mentioned in Para 5 of the complaint that the petitioners 3 to 5 are partners of the firm, incharge and responsible for conduct of the business and also playing active role in the management and affairs of A-1 firm, therefore, in view of the said allegation it cannot be said that the complaint is not maintainable against them, in view of Section 141 of the Negotiable Instruments Act.

5. It is useful to extract Sec. 141 of the Negotiable Instruments Act to appreciate the rival contention of both parties and reads as follows:

"(1) If the person committing an offence under Section 138 is a Company, every person who, at the time the offence was committed, was in charge of, and was responsible to the Company for the conduct of the business of the company as well as the Company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:

Provided that nothing contained in this sub-section shall render any person liable to punishment if he proves that the offence was committed without his knowledge or that he had exercised due diligence to prevent the commission of such offence.

(2) Notwithstanding anything contained in sub-section (1), where any offence under this Act has been committed by a Company and it is proved that the offence has been committed with the consent or connivance of or is attributable to, any neglect on the part of, any Director, Manager, Secretary or other Officer of the Company, such Director, Manager, Secretary or other Officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Explanation: - For the purpose of this section:

(a) "Company" means anybody corporate and includes a firm or other association of individuals; and

(b) "Direct