https://www.taxtmi.com/caselaws?id=421579 A prosecution under the Negotiable Instruments Act may be quashed where the complainant already holds funds in escrow that can be adjusted against the cheque liability, compensation and costs, because the criminal process should not be used as a recovery device in those circumstances. The Court also emphasised that vicarious liability of directors requires specific averments showing how they were in charge of and responsible for the company's business at the relevant time; vague allegations are insufficient. On those grounds, the proceedings were quashed and adjustment from the amount lying with the respondent was directed. en-us Wed, 30 Mar 2022 00:00:00 +0530 Wed, 27 Apr 2022 21:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=421579 A prosecution under the Negotiable Instruments Act may be quashed where the complainant already holds funds in escrow that can be adjusted against the cheque liability, compensation and costs, because the criminal process should not be used as a recovery device in those circumstances. The Court also emphasised that vicarious liability of directors requires specific averments showing how they were in charge of and responsible for the company's business at the relevant time; vague allegations are insufficient. On those grounds, the proceedings were quashed and adjustment from the amount lying with the respondent was directed. Case-Laws Indian Laws Wed, 30 Mar 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=421579