Section 141 of Negotiable Instrument Act, 1881 does not make all the Directors liable for Dishonour of cheques

The criminal liability can be fastened only on those who, at the time of the commission of the offence, were in charge of and were responsible for the conduct of the business of the company; vicarious liability on the part of a person must be pleaded and proved and not inferred.

CASE LAWS DETAILS

DECIDED BY: SUPREME COURT OF INDIA,

IN THE CASE OF: National Small Industries Corp. Ltd. Vs Harmeet

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