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Territorial jurisdiction defects under the Negotiable...

Direct Drawer Liability: personal criminal responsibility for a dishonoured cheque persists despite non impleading the firm.

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Indian Laws March 20, 2026 Case Laws HC
Territorial jurisdiction defects under the Negotiable Instruments framework are curable and do not vitiate prosecution where a magistrate has taken cognizance in good faith; such irregularity falls within curable procedural defects and requires demonstration of failure of justice before quashing. Where an accused is the drawer and signatory of a dishonoured cheque, criminal liability is direct and personal regardless of non-impleadment of a partnership; internal firm arrangements do not negate statutory responsibility. A demand notice sent to the loan-document address attracts presumptions of service and a cheque issued as security, if presented for an enforceable liability and dishonoured, engages the dishonour provision at prima facie stage.

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Acts Income Tax