Dishonor of Cheque - vicarious liability of Director u/s 141 of ...

Directors Only Liable for Cheque Dishonor if Responsible for Company Business u/s 141 Negotiable Instruments Act.

August 22, 2022

Case Laws Indian Laws HC

Dishonor of Cheque - vicarious liability of Director u/s 141 of NI Act - The provisions under Section 141 does not make all the Directors liable for the offence. The criminal liability can be fastened only on those who, at the time of commission of the offence, were in charge of and were responsible for the conduct of the business of the company. Further, the primary responsibility is on the complainant to make specific averments as are required under the provisions in the complaint so as to make the accused vicariously liable. For fastening the criminal liability, there is no presumption that every Director knows about the transaction - HC

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Dishonor of Cheque - vicarious liability of Director u/s 141 of ...

Directors Only Liable for Cheque Dishonor if Responsible for Company Business u/s 141 Negotiable Instruments Act.

August 22, 2022

Case Laws Indian Laws HC

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