2011 (2) TMI 1278 - SUPREME COURT

Dishonour of cheque for insufficiency, etc., of funds in account - Complainants had placed orders with company for supply of some products and had issued demand drafts in favour of that company - However, company failed to deliver ordered products and complainants asked company for return of their money - Cheques were issued by company on 30-4-2004 in favour of complainants but same were dishonoured on presentation – Held that:- dishonoured cheques were issued by the Company on 30-4-2004, i.e., much after the appellant had resigned from the post of Director of the Company. The acceptance of appellant’s resignation is duly reflected in the resolution dated 2-3-2004. Then in the prescribed form (Form No. 32), the Company informed to the Registrar of Companies on 4-3-2004 about appellant’s resignation. It is not even the case of the complainants that the dishonoured cheques were issued by the appellant. These facts leave no manner of doubt that on the date the offence was committed by the Company, the appellant was not the Director; he had nothing to do with the affairs of the Company. appeals are, accordingly, allowed