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Issues: Whether the complaint and summoning order could be sustained against the petitioners, described only as managers, in the absence of specific averments showing that they were in charge of and responsible for the conduct of the company's business at the relevant time.
Analysis: Vicarious liability in criminal law is an exception and must rest on the ingredients of Section 141 of the Negotiable Instruments Act, 1881 being strictly satisfied. A complaint must contain clear and specific averments as to how and in what manner the person sought to be prosecuted was responsible for the conduct of the business of the company; a bare assertion that the person was a manager or was involved in day-to-day affairs is not enough. The petitioners were only described as managers and wives of directors, with no pleaded role in the transaction or the day-to-day running of the company. In the absence of such foundational averments, the prosecution could not be sustained.
Conclusion: The complaint and summoning order against the petitioners were liable to be quashed.
Final Conclusion: Criminal process could not continue against the petitioners on the basis of general allegations alone, and the proceedings were set aside as against them.
Ratio Decidendi: For fastening liability under Section 141 of the Negotiable Instruments Act, 1881, the complaint must specifically plead and show that the accused was, at the relevant time, in charge of and responsible for the conduct of the company's business; mere designation or general statements of involvement are insufficient.