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    <title>1997 (7) TMI 701 - KARNATAKA HIGH COURT</title>
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    <description>In a prosecution for cheque dishonour by a company, vicarious liability under Section 141 of the Negotiable Instruments Act arises only where the complaint contains specific averments that the accused was in charge of and responsible for the company&#039;s business, or that the offence occurred with consent, connivance, or negligence. A mere designation as director is insufficient. Applying that principle, the complaint disclosed a specific role only for the Managing Director and Joint Managing Director connected with the cheque transaction, while no foundational allegations were made against the other directors. Proceedings were therefore sustained against the persons specifically linked to the transaction and quashed against the remaining directors.</description>
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    <pubDate>Wed, 23 Jul 1997 00:00:00 +0530</pubDate>
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      <title>1997 (7) TMI 701 - KARNATAKA HIGH COURT</title>
      <link>https://www.taxtmi.com/caselaws?id=311088</link>
      <description>In a prosecution for cheque dishonour by a company, vicarious liability under Section 141 of the Negotiable Instruments Act arises only where the complaint contains specific averments that the accused was in charge of and responsible for the company&#039;s business, or that the offence occurred with consent, connivance, or negligence. A mere designation as director is insufficient. Applying that principle, the complaint disclosed a specific role only for the Managing Director and Joint Managing Director connected with the cheque transaction, while no foundational allegations were made against the other directors. Proceedings were therefore sustained against the persons specifically linked to the transaction and quashed against the remaining directors.</description>
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      <pubDate>Wed, 23 Jul 1997 00:00:00 +0530</pubDate>
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