9911796707
TMI Blog2002 (12) TMI 495X X X X Extracts X X X X X X X X Extracts X X X X ..... Instruments Act, 1881, in short hereinafter referred to as "Act". The allegations made in C.C. No. 1814/1998 are to the effect that the 1st respondent-accused No. 1 company, represented by Accused No. 2, availed bill discounting facility with the 1st respondent to a tune of Rs. 25,00,000 and requested the 1st respondent for discounting the bills of M/s. Sun Farm Dairies-accused No. 5 for Rs. 25,00,000 for a period of 90 days which has fallen due for payment on 20-4-1997. It is further alleged that the accused had executed a promissory note dated 20-1-1997. It was also averred that the 1st respondent paid a sum of Rs. 25,00,000 and towards discharge of its liability the Accused No. 1 Company issued a cheque for a sum of Rs. 25,00,000 which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... v. XEDD Finance Investments Pvt. Ltd., 1999 (2) ALT (Crl.) 170 (AP) and Sunil Kumar Chhaperia v. Dakka Eshwaraiah 2001 (1) ALD (Crl.) 633 (AP). 5. Sri V.S. Raju, the learned counsel representing the 1st respondent-complainant had submitted that there is a Board resolution and in view of the same all Directors are liable and hence the complaint is perfectly maintainable as against this Director also. The learned counsel further submitted that notice had been issued on 7-7-1997 and the petitioner had not chosen to reply and this itself shows that he has been in charge of the day-to-day affairs and hence it cannot be said that he is not liable to be prosecuted. The learned counsel also had drawn my attention to allegations in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies to operate the Bank Account of Accused No. 1 Company." 7. The allegations made in the complaint are general allegations and there is no specific allegation as against the petitioner-accused No. 14, except, the allegation that Accused Nos. 2 to 14 have neglected in honouring the cheques and therefore accused Nos. 2 to 14 are guilty of the offence under section 138 of the Act. In Tiruchandoor Muruhan Spinning Mills Pvt. Ltd. v. Madanlal Ramkumar Cotton General Merchants 2002 (6) K.L.J. 139, the Division Bench had elaborately considered the aspect of inherent powers under section 482 of the Code. In Krishna Murthy v. Shankarappa ILR 1998 Kar. 333 it was held that an accused person should not be liberally permitted to approa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd 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 all 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 agains ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ations that the petitioners were incharge and responsible to company for conduct of its business, an order summoning the petitioners under section 138 of the Act is liable to be quashed. The same view was expressed in Rajkumar Mangla v. Indo Lowenbrau Breweries Ltd. 1997 (4) Crimes 180. No doubt it is also brought to my notice that the learned XXIII Metropolitan Magistrate, Hyderabad had issued Non-Bailable Warrant as against the present petitioner-accused No. 14. It may be the reason why the petitioner had approached this Court by invoking the jurisdiction of this Court under section 482 of the Code. Whatever may be the reason, in view of the clear legal position, inasmuch as the allegations made in the complaint do not satisfy the ing ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
