https://www.taxtmi.com/caselaws?id=415409 A cheque issued as security can still attract Section 138 of the Negotiable Instruments Act if, at presentation, the underlying commercial transaction has matured into a legally enforceable liability; that defence does not defeat the complaint at the threshold. Section 202 CrPC requires inquiry where the accused resides outside jurisdiction, but process is not vitiated if the Magistrate applies mind to the complaint, affidavit, and supporting materials before issuing summons. Directors may face vicarious liability under Section 141 where the complaint contains specific averments that they were in charge of and responsible for the company's business, with final defences reserved for trial rather than quashing. en-us Fri, 03 Dec 2021 00:00:00 +0530 Thu, 23 Jul 2026 10:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=415409 A cheque issued as security can still attract Section 138 of the Negotiable Instruments Act if, at presentation, the underlying commercial transaction has matured into a legally enforceable liability; that defence does not defeat the complaint at the threshold. Section 202 CrPC requires inquiry where the accused resides outside jurisdiction, but process is not vitiated if the Magistrate applies mind to the complaint, affidavit, and supporting materials before issuing summons. Directors may face vicarious liability under Section 141 where the complaint contains specific averments that they were in charge of and responsible for the company's business, with final defences reserved for trial rather than quashing. Case-Laws Indian Laws Fri, 03 Dec 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=415409