The Supreme Court reiterated that the authorised signatory of a company cannot be held liable under Section 138 of the Negotiable Instruments Act, 1881 for dishonour of a cheque drawn on the company's account unless the company is arraigned as the principal accused. The Sessions Court upheld the conviction, but the Calcutta High Court reversed it, ruling that the cheque …
A Delhi court on Saturday issued bailable warrants against movie director and producer Rajkumar Santoshi in a cheque dishonour case filed by businessman Jhoolan Prasad under Section 138 of the Negotiable Instruments Act. Filmmaker Rajkumar Santoshi is known for hits such as “Andaz Apna Apna,” “Damini,” and “Ghayal.” Judicial magistrate first class Aakash Sharma issued the warrants, noting that Santoshi …
The Kerala High Court recently laid down that a third party cannot prosecute the drawer of cheque for the offence punishable under Section 138 of the Negotiable Instruments Act, 1881. Perusing Section 142 of the Act which provides that no court shall take cognizance of. Perusing Section 142 of the Act which provides that no court shall take cognizance of …
A party faced the ire of the Supreme Court for taking a cheque dishonour dispute to the level of apex level before agreeing to settle the matter with the complainant. The appellant had approached the Supreme Court challenging the concurrent orders of conviction passed by three courts against him for the offence of cheque dishonour under Section 138 of the …
