TMI Blog2001 (3) TMI 1052X X X X Extracts X X X X X X X X Extracts X X X X ..... ation in this batch of five criminal petitions, which were filed under Section 482, Cr.P.C. for quashing the criminal proceedings in Calendar Case Nos. 290, 291, 316, 282 and 283 of 1999 respectively pending on the file of the I Additional Judicial Magistrate of I Class. Proddatur, Cuddapah District. 2. The petitioner herein is figuring as A-3 in all the aforesaid Calendar Cases and he is charged with the offences punishable under Sections 138 and 142 of the Negotiable Instruments Act (for short 'the Act') and Section 420, IPC. Proceedings in Calendar Case Nos. 290, 291 and 316 of 1999 were initiated on the private complaints filed by one Sri. Dakka Eswaraiah and proceedings in Calendar Case Nos. 282 and 283 of 1999 were initiate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... issued statutory notice to all the accused demanding payment. Since they failed to pay the amounts, they filed the complaints. After examining the complainants, the learned Magistrate took cognizance of the same and issued process. Coming to know of the said fact, the petitioner herein, who is A-3 in all the cases, came up with these petitions, under Section 482, Cr.P.C. seeking quashing of the proceedings insofar as they relate to him. 5. Mr. V.S. Raju, learned Counsel for the petitioner-A-3 contends that: (1) A-3 ceased to be the Director of the Company with effect from 2.11.1998 i.e., much before the dates on which the cheques were issued by the Company; and (2) A-3 was never in-charge of the day-to-day business of the Company a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act certifying the said fact even though he has filed the other material like copies of the resignation letters addressed to the Company and also to the Registrar of Companies. In the absence of the same, it is difficult to accept this contention in a proceeding under Section 482, Cr.P.C. It may be that the petitioner A-3 can lead evidence before the Trial Court for proving the said fact, However, any finding on this aspect may not be necessary in the view I am taking on the second contention. 8. It is a settled principle of criminal jurisprudence that there can be no vicarious criminal liability. However, there are exceptions to the general principle. One such is, when the Company is the offender. In such a case, every person, who was i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liable for punishment for an offence committed by the Company under Section 138 of the Act, if he was in-charge of and was responsible for the conduct of the business of the Company at the time when the offence was committed, (ii) a Director of the Company, who was not in-charge of and was not responsible to the Company for the conduct of the business of the Company at the relevant time, will also be liable, if the offence was committed with his consent or connivance. 9. The question then arises for consideration is: Whether a Director of a Company registered under the Companies Act is liable for prosecution for an offence punishable under Section 138 of the Negotiable Instruments Act without there being an allegation in the compla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also no allegation to the effect that the offence was committed with his consent or connivance. On the other hand, there is a clear admission in Para 1 of the complaints filed by Sri Dakka Eswaraiah (in Calendar Case Nos. 290, 291 and 316 of 1999) that A-2 and A-4 are doing business on behalf of accused i.e., placing order, receiving ordered goods, selling them, etc., on behalf of Accused No. 1.......... . In the complaints filed by Sri MothukuruVenkataraimana (in Calendar Cases Nos. 282 and 283 of 1999) it was admitted that A-2 is doing business on behalf of accused i.e., placing order, receiving ordered goods, selling them, etc., on behalf of Accused No. 1........... . There is absolutely no allegation in any of the complaints to the e ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
