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    <title>2024 (8) TMI 1267 - DELHI HIGH COURT</title>
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    <description>Section 141 of the Negotiable Instruments Act imposes vicarious criminal liability only when the complaint contains specific, unambiguous averments showing that a director was in charge of and responsible for the company&#039;s business at the relevant time, or that the offence was committed with the director&#039;s consent, connivance or neglect. Mere designation as a director, attendance at meetings, or a boilerplate repetition of statutory language is insufficient. On the pleaded facts, the petitioners were non-executive or independent non-executive directors, were not cheque signatories, and the complaint lacked particulars connecting them to the dishonoured cheque transaction. The complaint and summoning order were therefore unsustainable against them, and the proceedings were quashed.</description>
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    <pubDate>Tue, 20 Aug 2024 00:00:00 +0530</pubDate>
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      <title>2024 (8) TMI 1267 - DELHI HIGH COURT</title>
      <link>https://www.taxtmi.com/caselaws?id=757563</link>
      <description>Section 141 of the Negotiable Instruments Act imposes vicarious criminal liability only when the complaint contains specific, unambiguous averments showing that a director was in charge of and responsible for the company&#039;s business at the relevant time, or that the offence was committed with the director&#039;s consent, connivance or neglect. Mere designation as a director, attendance at meetings, or a boilerplate repetition of statutory language is insufficient. On the pleaded facts, the petitioners were non-executive or independent non-executive directors, were not cheque signatories, and the complaint lacked particulars connecting them to the dishonoured cheque transaction. The complaint and summoning order were therefore unsustainable against them, and the proceedings were quashed.</description>
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