TMI Blog2000 (10) TMI 984X X X X Extracts X X X X X X X X Extracts X X X X ..... tioners purchased cotton from him and issued 10 cheques for different amounts drawn on Indian Overseas Bank, N. Paraipatti Post, Dindigul. On presentation, the cheques were returned with an endorsement 'insufficient funds in the drawer's account'. The complainant thereafter got issued a legal notice to the accused persons calling upon them to pay the cheque amount which they failed within the time stipulated therein. He therefore filed this complaint in respect of 10 cheques. The learned Magistrate before whom the complaint was filed, took cognizance of the offence alleged and ordered issue of summons to the accused petitioners as in his opinion, there was sufficient material for proceeding against the accused. The order of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... otiable Instruments Act and the cognizance taken against them is not justifiable and is an abuse of process of Court which is liable to be set aside. 3. Insofar as this contention is concerned, learned Counsel for the respondent has not much to say as the complaint allegations and the sworn statement do not satisfy the provisions of Section 141 of the Negotiable Instruments Act where a Company is prosecuted for the offence represented by the Managing Director and other Directors, it is for the complainant to aver in the complaint and place in on record that every person who, at the time the offence was committed, was in charge of, and was responsible to the Company for the conduct of the business of the Company, as well as the Company, s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the facts of the case is concerned, it is contended that cause of action for the complainant arose only after service of notice to the accused. It is pointed out that the complainant has issued a single notice calling upon the accused by way of demand to pay the cheque amount within 15 days from the date of service of notice and the accused failed to pay the cheque amount within the time stipulated under Section 138(b) of the Act and therefore the complainant filed a complaint within one month from the date of service of notice which is well within time. There is no bar for lodging a complaint for initiation of action under Section 138 of the Negotiable Instruments Act as the accused committed the offence punishable under Section 138 of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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