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The HC quashed criminal proceedings under Sections 138/141 of the Negotiable Instruments Act against a Company Secretary in a dishonoured cheque case. The Court held that the trial court mechanically issued summons without conducting mandatory inquiry under Section 202 CrPC, violating procedural requirements. The petitioner, being merely a non-executive Company Secretary, was neither a director, shareholder, nor signatory to the dishonoured cheque, and had no role in day-to-day business affairs or financial transactions. The complainant failed to establish the Company Secretary's responsibility for the company's conduct. The Court exercised inherent powers under Section 482 CrPC to prevent abuse of process, finding insufficient grounds to proceed against a person with limited liability who was not in charge of business operations.
The HC quashed criminal proceedings under Sections 138/141 of the Negotiable Instruments Act against a Company Secretary in a dishonoured cheque case. The Court held that the trial court mechanically issued summons without conducting mandatory inquiry under Section 202 CrPC, violating procedural requirements. The petitioner, being merely a non-executive Company Secretary, was neither a director, shareholder, nor signatory to the dishonoured cheque, and had no role in day-to-day business affairs or financial transactions. The complainant failed to establish the Company Secretary's responsibility for the company's conduct. The Court exercised inherent powers under Section 482 CrPC to prevent abuse of process, finding insufficient grounds to proceed against a person with limited liability who was not in charge of business operations.
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