https://www.taxtmi.com/caselaws?id=445469 A complaint under Section 138 of the Negotiable Instruments Act is not maintainable against a director or authorised signatory alone when the cheque is issued in the company's name and the company is not arraigned as an accused. Section 141 creates vicarious liability only after the company, as the principal offender and juristic drawer of the cheque, is before the Court. Penal provisions imposing vicarious liability must be strictly construed, so the company cannot be omitted merely because a director is the authorised signatory or sole director. The complaint was therefore held unsustainable without impleading the company. en-us Wed, 01 Nov 2023 00:00:00 +0530 Wed, 08 Nov 2023 10:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=445469 A complaint under Section 138 of the Negotiable Instruments Act is not maintainable against a director or authorised signatory alone when the cheque is issued in the company's name and the company is not arraigned as an accused. Section 141 creates vicarious liability only after the company, as the principal offender and juristic drawer of the cheque, is before the Court. Penal provisions imposing vicarious liability must be strictly construed, so the company cannot be omitted merely because a director is the authorised signatory or sole director. The complaint was therefore held unsustainable without impleading the company. Case-Laws Indian Laws Wed, 01 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=445469