Section 138 of NI Act against Independent / Non-executive Directors, CFO

In all 12 cheques drawn on Andhra Bank were issued by the accused no.1 Company.   They were dis-honoured.   The respondent no.2 sent statutory notices under Section 138 of the NI Act to the applicants.  The notice on the Company was served on 4.12.2017.

The petitioners – original accused nos.2 to 9 are Company Secretary, Independent Directors, Non-executive Director and the Chief Financial Officer of the accused No.1Amtek Auto Ltd.

HELD that the applicants did not sign the cheques, they were given statutory notices after dis-honour of the cheques, the details of their specific role in the affairs of the Company are not given and the knowledge as to the issuance of the disputed cheques is not even attributed and mentioned in the complaint.

As required by the first proviso to Section 141 of the NI Act, it is necessary to plead knowledge of all these applicants.                                                     

Judgment dated 21.6.2024 of the Bombay High Court In Criminal Application No.1492 of 2019 of Rajeev Raj Kumar and others Vs.  State of Maharashtra and another