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2013 (7) TMI 718 - SUPREME COURTScope of section 141 of NI Act – whether the officers of the company could be held vicariously liable for the criminal liability u/s 138 on account of dishonor of cheque - Held that:- U/S 138 only the drawer of the cheque can be prosecuted - the appellant was not a drawer of the cheque and had not signed the same - court relied upon Raghu Lakshminarayanan vs. Fine Tubes (2007 (4) TMI 367 - SUPREME COURT OF INDIA ) - a bare reading of the complaint as also the affidavit of examination-in-chief of the complainant and a bare look at the cheque would show that the appellant had not signed the cheque - the interpretation sought to be advanced by the respondents would add words to Section 141 and extend the principle of vicarious liability to persons who are not named in it - if it is a Company, then Drawer Company and is extended to the officers of the company - normal rule in the cases involving criminal liability is against vicarious liability - exceptions on account of specific provision being made in statutes extending liability to other - section 141 is a specific provision that in case an offence u/s 138 is committed by a company the criminal liability for dishonour of a cheque will extend to the officers of the company - it contains conditions which have to be satisfied before the liability can be extended – the conditions have to be strictly complied with – appeal decided in favour of appellant.
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