Petitioner, a director in respondent company, challenged ...

Cheque Bounce Case: Director Faces Liability Despite Not Being Signatory.

December 27, 2024

Case Laws Indian Laws HC

Petitioner, a director in respondent company, challenged complaint and summoning order against her u/ss 138 and 141 of NI Act for dishonour of cheque issued to complainant. HC held petitioner prima facie liable u/s 141 as being in charge of company's affairs despite not being signatory. Mere non-signatory status didn't absolve liability if requisites u/ss 138 and 141 met. MM rightly issued summons after observing prima facie case and non-payment despite demand notice. No illegality in summoning order to warrant quashing u/s 482 of Code. Petition dismissed.

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Petitioner, a director in respondent company, challenged ...

Cheque Bounce Case: Director Faces Liability Despite Not Being Signatory.

December 27, 2024

Case Laws Indian Laws HC

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