https://www.taxtmi.com/caselaws?id=409281 For an offence under Section 138 of the Negotiable Instruments Act, prosecution must be based on service of the mandatory statutory notice on, and arraignment of, the actual drawer of the dishonoured cheque. Where the cheque was issued by a partnership firm, notice had to be addressed to the firm, and liability under Section 141 could be pursued only against persons connected with that drawer entity in law. A private limited company is a separate legal entity from the firm, and the fact that an individual was both a partner of the firm and a director of the company did not justify criminal liability against the company or its directors. In the absence of notice to the firm, the complaint could not be sustained. en-us Mon, 21 Jun 2021 00:00:00 +0530 Sat, 03 Jul 2021 08:57:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=409281 For an offence under Section 138 of the Negotiable Instruments Act, prosecution must be based on service of the mandatory statutory notice on, and arraignment of, the actual drawer of the dishonoured cheque. Where the cheque was issued by a partnership firm, notice had to be addressed to the firm, and liability under Section 141 could be pursued only against persons connected with that drawer entity in law. A private limited company is a separate legal entity from the firm, and the fact that an individual was both a partner of the firm and a director of the company did not justify criminal liability against the company or its directors. In the absence of notice to the firm, the complaint could not be sustained. Case-Laws Indian Laws Mon, 21 Jun 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=409281