https://www.taxtmi.com/caselaws?id=758997 The Gujarat HC quashed proceedings under Section 138 of the Negotiable Instruments Act against petitioners who were neither partners of the partnership firm nor signatories of the dishonored instruments. The Court held that prosecution under Section 138 can only be instituted against persons who were in-charge and responsible for the firm's business conduct at the relevant time. Since petitioners had no connection to the partnership firm or the instruments, the proceedings constituted abuse of process. The Court found the lower court committed error in issuing process against petitioners and allowed the petition, quashing all pending proceedings. en-us Tue, 17 Sep 2024 00:00:00 +0530 Mon, 23 Sep 2024 09:10:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=758997 The Gujarat HC quashed proceedings under Section 138 of the Negotiable Instruments Act against petitioners who were neither partners of the partnership firm nor signatories of the dishonored instruments. The Court held that prosecution under Section 138 can only be instituted against persons who were in-charge and responsible for the firm's business conduct at the relevant time. Since petitioners had no connection to the partnership firm or the instruments, the proceedings constituted abuse of process. The Court found the lower court committed error in issuing process against petitioners and allowed the petition, quashing all pending proceedings. Case-Laws Indian Laws Tue, 17 Sep 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=758997