https://www.taxtmi.com/caselaws?id=106066 Pendency of a winding up petition, or even a subsequent winding up order, does not by itself bar prosecution of a company and its directors for dishonour of cheque under the Negotiable Instruments Act, 1881. Where the cheque was dishonoured, statutory notice was issued, and the payment default under section 138 had already arisen, winding up proceedings do not create a legal disability that defeats penal liability. The later winding up order does not erase an offence that was complete on failure to pay within the statutory period after notice. Quashing on the ground of pending winding up proceedings was therefore not maintainable. en-us Tue, 04 Jul 2000 00:00:00 +0530 Mon, 12 Mar 2012 15:33:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=106066 Pendency of a winding up petition, or even a subsequent winding up order, does not by itself bar prosecution of a company and its directors for dishonour of cheque under the Negotiable Instruments Act, 1881. Where the cheque was dishonoured, statutory notice was issued, and the payment default under section 138 had already arisen, winding up proceedings do not create a legal disability that defeats penal liability. The later winding up order does not erase an offence that was complete on failure to pay within the statutory period after notice. Quashing on the ground of pending winding up proceedings was therefore not maintainable. Case-Laws Companies Law Tue, 04 Jul 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=106066