Sec 319 CrPC cannot be invoked to add Partnership firm as accused in a Trial under Sec 138 NI Act; Gujarat HC [Read Judgment]
9 years ago

Sec 319 CrPC cannot be invoked to add Partnership firm as accused in a Trial under Sec 138 NI Act; Gujarat HC [Read Judgment]

Live Law  

When the complaint itself is not maintainable in the absence of the partnership firm being a legal entity before the Court and the cognizance and issue of process against the partners alone is illegal, then there is no question of invoking Section 319 of the Cr.P.C. The Gujarat High Court has held that when a complaint under Section 138 Negotiable Instruments Act, does not name the Partnership firm as accused, but only the partners, Section 319 of the Code of Criminal Procedure cannot be invoked to implead the Partnership firm as the accused, to save such a serious infirmity in the complaint. Complaint not maintainable against Partners alone The Court observed that it is settled law that the prosecution of the partners of a firm, by virtue of Section 141 of the Act, is not maintainable in the absence of the partnership firm being arraigned as an accused. Referring to Madras High Court decisions in Suryanarayan v. Anchor Marine Service and Anandan v. Arivazhagan, the Court said that when the complaint itself is not maintainable in the absence of the partnership firm being a legal entity before the Court and the cognizance and issue of process against the partners alone is illegal, then there is no question of invoking Section 319 of the Cr.P.C.

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History of this topic

Gujarat HC Refuses To Quash Cheating FIR Against Partners Of Real Estate Firm For Not Completing Project Or Returning Homebuyers' Money
1 week, 4 days ago

Gujarat HC Refuses To Quash Cheating FIR Against Partners Of Real Estate Firm For Not Completing Project Or Returning Homebuyers' Money

Live Law  

The Gujarat High Court refused to quash an FIR against developers/partners of a real estate development firm accused by home buyers of neither finishing the project called Suranva Residency nor handing over possession of the flats in question or returning the booking amount. Perusing the provisions of law, Supreme Court decisions and facts of the case Justice Divyesh A Joshi …

Not Mandatory For Each Partner In A Firm To Contribute Towards Share Capital: Karnataka High Court
2 years, 3 months ago

Not Mandatory For Each Partner In A Firm To Contribute Towards Share Capital: Karnataka High Court

Live Law  

The Karnataka High Court has said that it is not necessary that there must be an investment by each partner to constitute a partnership firm and it cannot be presumed that a partner who does not contribute is a co-worker and not a partner in the firm. Then, terming the finding of the court that an unregistered partnership agreement cannot …

Unregistered Partnership Firms Can Maintain Complaint For Dishonor Of Cheque U/S 138 NI Act : Bombay HC [Read Judgment]
5 years, 1 month ago

Unregistered Partnership Firms Can Maintain Complaint For Dishonor Of Cheque U/S 138 NI Act : Bombay HC [Read Judgment]

Live Law  

The Nagpur Bench of the Bombay High Court on Friday held that an unregistered partnership firm can maintain a complaint under Section 138 of the Negotiable Instruments Act. The division bench comprising Justice PN Deshmukh and Justice Pushpa V Ganediwala was answering a reference from an order of single judge, questioning the previous view of the high court taken in …

Section 141 NI Act: Company Includes Partnership Firm Or Other Association Of Individuals [Read Judgment]
5 years, 10 months ago

Section 141 NI Act: Company Includes Partnership Firm Or Other Association Of Individuals [Read Judgment]

Live Law  

The Supreme Court has observed that the expression "company" used in Section 141 of the Negotiable Instruments Act includes a partnership firm or association of persons. In this case, the first accused was a partnership firm named Vainqueur Corporate Services which was dealing in data entry work and and the other accused were its partners. Allowing the appeal, the bench …

Sec 319 CrPC cannot be invoked to add Partnership firm as accused in a Trial under Sec 138 NI Act; Gujarat HC [Read Judgment]
9 years ago

Sec 319 CrPC cannot be invoked to add Partnership firm as accused in a Trial under Sec 138 NI Act; Gujarat HC [Read Judgment]

Live Law  

When the complaint itself is not maintainable in the absence of the partnership firm being a legal entity before the Court and the cognizance and issue of process against the partners alone is illegal, then there is no question of invoking Section 319 of the Cr.P.C. The Gujarat High Court has held that when a complaint under Section 138 Negotiable …

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