Just a moment...
Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
Press 'Enter' after typing page number.
Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
Press 'Enter' after typing page number.
Press 'Enter' after typing page number.
Don't have an account? Register Here
Press 'Enter' after typing page number.
Issues: Whether the order permitting impleadment of the proprietrix and another person as additional accused under Section 319 of the Code of Criminal Procedure, 1973 in a prosecution under Sections 138 and 141 of the Negotiable Instruments Act, 1881 was legally sustainable.
Analysis: The material on record showed that the business dealings, statutory notice, reply, and the cheque transactions were all in relation to a proprietorship concern. Section 319 is an extraordinary power to be exercised sparingly, but it can be invoked in a complaint case on the basis of evidence emerging during trial where such evidence indicates the complicity of a person not already arraigned. A sole proprietorship has no separate legal identity from the proprietor or proprietrix, and liability in such a case rests on the sole proprietor of the concern. The Court distinguished authorities dealing with companies and partnerships and held them inapplicable to a proprietorship concern. On the facts, the evidence justified bringing the proprietrix and the cheque signatory on record as accused.
Conclusion: The order of the Magistrate allowing the application under Section 319 was valid, and the revisional order setting it aside was unsustainable.
Final Conclusion: The petitions succeeded and the Magistrate's order restoring the additional accused in the cheque dishonour proceedings stood revived.
Ratio Decidendi: In a prosecution arising from a sole proprietorship concern, if evidence recorded during trial shows the involvement of the sole proprietor or proprietrix, the Court may invoke Section 319 to array such person as an accused, provided the evidence is strong and cogent and the discretion is exercised sparingly.