https://www.taxtmi.com/caselaws?id=462704 Vicarious liability under Section 141 of the Negotiable Instruments Act, 1881 arises only where the company has itself committed the offence under Section 138. Where the company is acquitted and that acquittal has attained finality, liability cannot be fastened independently on the Managing Director or other persons in charge of its affairs. The cheque was issued in the Managing Director's capacity for the company, not towards any personal liability, so his conviction could not survive once the company stood exonerated. The conviction was therefore unsustainable and acquittal of the Managing Director followed. en-us Tue, 14 Nov 2023 00:00:00 +0530 Thu, 10 Jul 2025 20:20:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=462704 Vicarious liability under Section 141 of the Negotiable Instruments Act, 1881 arises only where the company has itself committed the offence under Section 138. Where the company is acquitted and that acquittal has attained finality, liability cannot be fastened independently on the Managing Director or other persons in charge of its affairs. The cheque was issued in the Managing Director's capacity for the company, not towards any personal liability, so his conviction could not survive once the company stood exonerated. The conviction was therefore unsustainable and acquittal of the Managing Director followed. Case-Laws Indian Laws Tue, 14 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=462704