Back
N. S. SHEKHAWAT
Kiran Chintamani Vaidya – Appellant
Versus
Dilbagh Singh Rohilla – Respondent
JUDGMENT
N.S. Shekhawat, J. (Oral)
This order shall dispose off two petitions, i.e. CRM M-19143 of 2022 titled as "Kiran Chintamani Vaidya v. Dilbagh Singh Rohilla" and CRM M 20721 of 2022 titled as "Manjit Kirpal Singh and another v. Dilbagh Singh Rohilla", whereby, the petitioner have prayed for quashing of the complaint bearing NACT No. 560 dated 07.05.2019 instituted in the Court of Judicial Magistrate 1st Class, Panchkula, District Panchkula, by respondent/complainant as well as for quashing of the order dated 29.05.2019 (Annexure P-3) passed by the Court of Judicial Magistrate 1st Class, Panchkula, whereby, the petitioners have been summoned to face trial for the offences punishable under Section under Section 138 of the Negotiable Instruments Act 1881 (hereinafter to be referred as 'the Act')
2. Learned counsel for the petitioners submits that all the petitioners are senior citizens and have been falsely implicated in a complaint (Annexure P-1), which was filed at the instance of respondent/complainant alleging the commission of the offence punishable under Section 138 of the Act. From the complaint (Annexure P-1), it was apparent that the respondents had arrayed a Company by
Non-Executive Directors cannot be held liable under Section 141 of the Negotiable Instruments Act without specific averments demonstrating their involvement in the company's day-to-day affairs.
Vicarious liability under the Negotiable Instruments Act requires proof of a director's active involvement and responsibility in the company's operations, not merely their title.
(1) Dishonour of cheque – Impleadment of all Directors of Accused Company on the basis of a statement that they are in charge of and responsible for conduct of business of company, without anything m....
Directors can only be held vicariously liable under Section 141 of the Negotiable Instruments Act if specific averments are made in the complaint regarding their responsibility for the company's cond....
Dishonour of cheque – Offence by company – Creeping up escalating liability to Chairpersons of large conglomerates/companies for cheques issued in day-to-day affairs of business of a company would un....
Merely holding the designation of director does not establish liability under the Negotiable Instruments Act; specific allegations of involvement and responsibility in the company's affairs at the ti....
Liability under Section 141 of NI Act depends on the role in the conduct of the company's affairs, not just the designation, and the burden of proof lies on the accused to establish lack of knowledge....
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
