Negotiable Instruments Act, 1881
Sections 138 & 141—Dishonour of cheque—Petition filed under Section 482 of CrPC to quash summoning order—Petitioner was not even an Additional Director - Non Executive in the accused company at the time when the cheques were issued and thus was not handling the affairs or the conduct of business of the accused company at the relevant time—Metropolitan Magistrate while issuing summons took cognizance of the offence under Section 138 of the Act and mechanically summoned the petitioner in the capacity of a Director of the accused company without applying his judicial mind—MM committed an error by summoning the petitioner—Summoning orders qua petitioner are hereby set aside—Petitioner is acquitted of offences alleged under Section 138 of the Negotiable Instruments Act—Petition allowed.
[Paras 24 & 26]
Decision : Petition allowed