https://www.taxtmi.com/caselaws?id=777836 HC dismissed the petition, holding there was no recorded or court-accepted settlement that subsumed the Section 138 NI Act complaint; the alleged out-of-court agreement was not placed on record or intended to compound the offence. The court further held that a partner prima facie incurs vicarious liability under Section 141(1) NI Act for firm transactions unless non-involvement in management is proved at trial. The petitioner, alleged to be a sleeping partner, failed to establish non-participation on the record and is not entitled to discharge under Section 138 read with Section 142 NI Act. en-us Thu, 28 Aug 2025 00:00:00 +0530 Wed, 03 Sep 2025 14:22:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=777836 HC dismissed the petition, holding there was no recorded or court-accepted settlement that subsumed the Section 138 NI Act complaint; the alleged out-of-court agreement was not placed on record or intended to compound the offence. The court further held that a partner prima facie incurs vicarious liability under Section 141(1) NI Act for firm transactions unless non-involvement in management is proved at trial. The petitioner, alleged to be a sleeping partner, failed to establish non-participation on the record and is not entitled to discharge under Section 138 read with Section 142 NI Act. Case-Laws Indian Laws Thu, 28 Aug 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=777836