https://www.taxtmi.com/caselaws?id=424191 A criminal complaint under Section 138 of the Negotiable Instruments Act was not quashed under Section 482 CrPC because the defence that the cheques were issued only as security raised factual disputes unsuitable for summary determination at the quash stage. The complaint also contained specific averments that the directors participated in negotiations, monitored the work and were involved in issuing the cheques towards the liability, satisfying the threshold for proceeding under Section 141. The Court reiterated that vicarious liability requires specific pleadings, but a Managing Director or cheque signatory can be proceeded against where the complaint discloses a prima facie case. The accused were therefore required to face trial. en-us Wed, 15 Jun 2022 00:00:00 +0530 Fri, 24 Jun 2022 07:53:12 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=424191 A criminal complaint under Section 138 of the Negotiable Instruments Act was not quashed under Section 482 CrPC because the defence that the cheques were issued only as security raised factual disputes unsuitable for summary determination at the quash stage. The complaint also contained specific averments that the directors participated in negotiations, monitored the work and were involved in issuing the cheques towards the liability, satisfying the threshold for proceeding under Section 141. The Court reiterated that vicarious liability requires specific pleadings, but a Managing Director or cheque signatory can be proceeded against where the complaint discloses a prima facie case. The accused were therefore required to face trial. Case-Laws Indian Laws Wed, 15 Jun 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=424191