https://www.taxtmi.com/caselaws?id=754095 Delhi HC dismissed petition challenging trial court's refusal to grant interim compensation under Section 143A of NI Act. Petitioner sought compensation for dishonored cheques totaling Rs.20 lacs allegedly given to secure canteen lease/license at Sena Bhawan and employment for relatives. HC held that interim compensation under Section 143A is discretionary power to be exercised judiciously, not a mandatory right. Court found consideration prima facie unlawful as it involved securing lease through official and employment arrangements. Absence of written agreement and proof of payment, coupled with only cheques as evidence, supported trial court's discretionary refusal. HC noted it cannot interfere unless order is perverse or unreasonable. en-us Thu, 30 May 2024 00:00:00 +0530 Tue, 18 Jun 2024 08:28:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754095 Delhi HC dismissed petition challenging trial court's refusal to grant interim compensation under Section 143A of NI Act. Petitioner sought compensation for dishonored cheques totaling Rs.20 lacs allegedly given to secure canteen lease/license at Sena Bhawan and employment for relatives. HC held that interim compensation under Section 143A is discretionary power to be exercised judiciously, not a mandatory right. Court found consideration prima facie unlawful as it involved securing lease through official and employment arrangements. Absence of written agreement and proof of payment, coupled with only cheques as evidence, supported trial court's discretionary refusal. HC noted it cannot interfere unless order is perverse or unreasonable. Case-Laws Indian Laws Thu, 30 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754095