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2015 (2) TMI 1367 - SC - Indian LawsDishonor of Cheque - It is contended that in absence of impleadment of the Company as per Section 141 of NI Act, the punishment Under Section 138 on the Director cannot be sustained - HELD THAT:-In ANEETA HADA VERSUS GODFATHER TRAVELS & TOURS (P.) LTD. [2012 (5) TMI 83 - SUPREME COURT] the question that arose for determination by this Court was whether an authorized signatory of a company would be liable for prosecution Under Section 138 of the Act without the company being arraigned as an accused. As there was a difference of opinion between the two learned Judges regarding the interpretation of Sections 138 and 141 of the Act reference was made to the larger Bench of three Judges. In the said case, this Court noticed the ratio laid down in the case of STATE OF MADRAS VERSUS CV. PAREKH [1997 (10) TMI 389 - SUPREME COURT] and the view expressed in the case of SHEORATAN AGARWAL & ANOTHER VERSUS STATE OF MADHYA PRADESH [1984 (9) TMI 300 - SUPREME COURT] while interpreting Section 138 and 141 of the Act, this Court observed that we arrive at the irresistible conclusion that for maintaining the prosecution Under Section 141 of the Act, arraigning of a company as an accused is imperative. The other categories of offenders can only be brought in the dragnet on the touchstone of vicarious liability as the same has been stipulated in the provision itself. After analyzing all the provisions and having noticed the different decisions rendered by this Court, the three Judges' Bench arrived at the irresistible conclusion that for maintaining the prosecution Under Section 141 of the Act, arraigning a company as an accused is imperative. Hence in this case, we find no reason to refer the matter to the larger Bench. In the present case, only the Appellant was impleaded as an accused. In that view of the matter, we are of the view that complaint with respect to the offence Under Section 138 read with 141 of the Act was not maintainable following the decision in Aneeta Hada - Appellant stands acquitted. Appeal allowed.
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