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    <title>2021 (11) TMI 276 - MADRAS HIGH COURT</title>
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    <description>For fastening liability under the Negotiable Instruments Act in cheque dishonour cases, the complaint must contain specific averments showing that each director or officer was in charge of and responsible for the company&#039;s business at the relevant time; a mere designation as director is insufficient. Statutory notice under Section 138 is also mandatory, and where notice was not issued to the petitioners, prosecution could not be sustained. As the cheque was not shown to have been issued by the petitioners and the complaint lacked allegations of their day-to-day control, continuation of the proceedings against them was held unjustified.</description>
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    <pubDate>Fri, 08 Oct 2021 00:00:00 +0530</pubDate>
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      <description>For fastening liability under the Negotiable Instruments Act in cheque dishonour cases, the complaint must contain specific averments showing that each director or officer was in charge of and responsible for the company&#039;s business at the relevant time; a mere designation as director is insufficient. Statutory notice under Section 138 is also mandatory, and where notice was not issued to the petitioners, prosecution could not be sustained. As the cheque was not shown to have been issued by the petitioners and the complaint lacked allegations of their day-to-day control, continuation of the proceedings against them was held unjustified.</description>
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