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TMI Blog2021 (7) TMI 117X X X X Extracts X X X X X X X X Extracts X X X X ..... petitioners that they are household ladies, this Court is of the opinion that vague and omnibus against the petitioners/directors as being responsible for the day-to-day affairs of A1 company is not sufficient. Mere verbatim reproduction of the words contained in Section 141 of the Negotiable Instruments Act without any specific role attributed to each of the petitioners in the A1 company, cannot be the basis to prosecute the petitioners, as the same would unjust and result in abuse of process of law. In POOJA RAVINDER DEVIDASANI's case [ 2014 (12) TMI 1070 - SUPREME COURT] , the Supreme Court allowed the quash petition not only on the ground that there is no specific role attributed to the appellant but also on the ground that the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n, showed them various types of jewellery pertaining to men and women. A5, A6, A7, A8 and A9 selected various jewellery items like necklace, ear rings etc. as they are women, they showed keen interest in selecting jewellery. They assured the complainant that they going to be permanent customers and would place more orders on various occasions like marriage season, festivals like Akshaya Tritiya. A2, A3 and A4 selected various kinds of jewellery like bracelets, rings etc. and placed orders for the same. 4. It is alleged that A2 to A9 purchased gold ornaments worth about ₹ 25,49,121/- and issued two cheques drawn on Allahabad Bank, Balanagar Branch and Axis Bank, Kukatpally Branch and assured that the cheques would be honoured on the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... anaged and operated by A2, who is the Managing Director and involved in the day-to-day affairs of the company. The petitioners though are Directors, did not have direct access to the purchases or sales or to the accounts or to the receipts or payments pertaining to the business of A1 company. It is only A2 who was responsible for the affairs of A1 company. From 02.07.2010 onwards the petitioners are no way concerned with A1 company since they have resigned as Directors and by suppressing the same, the present complaint is filed. 7. It is further contended that the respondent No. 2 also filed a recovery suit in O.S. No. 388 of 2010 on the file of the III Additional Chief Justice, City Civil Court, Hyderabad. There is no allegation in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s being responsible for the day-to-day affairs of A1 company is not sufficient. Mere verbatim reproduction of the words contained in Section 141 of the Negotiable Instruments Act without any specific role attributed to each of the petitioners in the A1 company, cannot be the basis to prosecute the petitioners, as the same would unjust and result in abuse of process of law. 10. In POOJA RAVINDER DEVIDASANI v. STATE of MAHARASHTRA (2014) 16 SCC 1 the Supreme Court made the following observations: Time and again, it has been asserted by this Court that only those persons who were in charge of and responsible for the conduct of the business of the Company at the time of commission of an offence will be liable for criminal action. A Di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d by the Respondent No. 2, specific averments were made against the Appellant. But on the contrary, taking the complaint as a whole, it can be inferred that in the entire complaint, no specific role is attributed to the Appellant in the commission of offence. It is settled law that to attract a case Under Section 141 of the N.I. Act a specific role must have been played by a Director of the Company for fastening vicarious liability. But in this case, the Appellant was neither a Director of the accused Company nor in charge of or involved in the day to day affairs of the Company at the time of commission of the alleged offence. There is not even a whisper or shred of evidence on record to show that there is any act committed by the Appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X
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