{"id":208575,"date":"2019-01-22T14:30:33","date_gmt":"2019-01-22T09:00:33","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=208575"},"modified":"2019-01-24T18:02:24","modified_gmt":"2019-01-24T12:32:24","slug":"del-hc-independent-directors-can-be-summoned-in-s-138-ni-act-complaint-on-allegation-of-responsibility-for-day-to-day-functions-of-accused-company","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2019\/01\/22\/del-hc-independent-directors-can-be-summoned-in-s-138-ni-act-complaint-on-allegation-of-responsibility-for-day-to-day-functions-of-accused-company\/","title":{"rendered":"Del HC | Independent directors can be summoned in S. 138 NI Act complaint on allegation of responsibility for day-to-day functions of accused company"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>Delhi High Court:\u00a0<\/strong>The Bench of Sunil Gaur, J. held that the trial court did not commit any error while summoning the petitioners in relation to a complaint under Section 138 of the Negotiable Instruments Act, 1881 (dishonour of cheque).<\/p>\n<p style=\"text-align: justify;\">Petitioners were independent directors of the accused company. MIC Electronics Ltd. They challenged the complaint filed under Section 138 and the consequent summoning order against them the ground that they were not in charge of the day-to-day business of MIC Electronics.<\/p>\n<p style=\"text-align: justify;\">Vikas Gupta and Vipin Kalra, Advocates representing the petitioners submitted that they cannot be summoned in the complaints in question. Per contra, Satinder Singh Mathur, Advocate for the complainant submitted that there was an allegation that petitioners responsible for the day-to-day functioning of MIC Electronics.<\/p>\n<p style=\"text-align: justify;\">The High Court referred to\u00a0<em>Standard Chartered Bank v. State of Maharashtra,\u00a0<\/em><a href=\"http:\/\/scconline.com\/DocumentLink\/47skNMOw\">(2016) 6 SCC 62<\/a> wherein the Supreme Court had permitted summoning of directors of the accused company. In the present case, since there were allegations against the petitioners as mentioned above, therefore the Court found no case to quash the complaint and summoning order. The petitions were disposed of by giving liberty to the petitioners to appear through their attorneys and counsels. [Somendra Khosla v. State, <b><a href=\"http:\/\/scconline.com\/DocumentLink\/701bJXz9\">2019 SCC OnLine Del 6585<\/a>,<\/b> Order dated 09-01-2019]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Delhi High Court:\u00a0The Bench of Sunil Gaur, J. held that the trial court did not commit any error while summoning the petitioners <\/p>\n","protected":false},"author":8808,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[2862,33359,33230],"class_list":["post-208575","post","type-post","status-publish","format-standard","hentry","category-casebriefs","category-highcourts","tag-dishonour_of_cheque","tag-independent-directors","tag-section-138-of-the-negotiable-instruments-act"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Del 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directors without reference to their role in relation to a transaction, or to the issuance or dishonour of a cheque by the company, requires to be deprecated and discouraged, since it amounts to abuse of the salutary process of criminal\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"delhi high court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/05\/delhi-high-court.webp?resize=700%2C400&ssl=1 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Petitioners in the present case were summoned for the offence\u00a0punishable under Section 138 NI Act. Respondent filed a complaint stating that the accused were\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":375445,"url":"https:\/\/www.scconline.com\/blog\/post\/2026\/02\/11\/del-hc-non-executive-director-liability-section-141-ni-act\/","url_meta":{"origin":208575,"position":2},"title":"Whether a Non-Executive Director can be held vicariously liable under Section 141 NI Act? Delhi HC answers","author":"Ritu","date":"February 11, 2026","format":false,"excerpt":"\u201cMere bald cursory statement in a Complaint that the Director (arrayed as an accused) is in charge of and responsible to the company for the conduct of the business of the Company without anything more as to the role of the Director, is not sufficient.\u201d","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Section 141 NI Act","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/02\/Section-141-NI-Act.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/02\/Section-141-NI-Act.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/02\/Section-141-NI-Act.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/02\/Section-141-NI-Act.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":267807,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/06\/03\/dishonour-of-cheque-section-138-ni-act-delhi-high-court-law-legal-news-legal-updates\/","url_meta":{"origin":208575,"position":3},"title":"Presumption against signatory of a Cheque, Plea of lost cheque to be proved at trial: Del HC refuse quashing of summoning order for S. 138 NI Act offence","author":"Bhumika Indulia","date":"June 3, 2022","format":false,"excerpt":"Delhi High Court: Asha Menon, J. refused to allow a petition filed under Section 482 CrPC seeking quashing of summoning order passed by the Metropolitan Magistrate, Patiala House Courts in complaint filed by the respondents 1 and 2 against the petitioner under Section 138 read with Section 142 of the\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/DelPresump.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/DelPresump.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/DelPresump.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/DelPresump.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/DelPresump.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":211935,"url":"https:\/\/www.scconline.com\/blog\/post\/2019\/03\/13\/cal-hc-authorised-signatory-not-to-be-prosecuted-under-s-138-ni-act-if-the-company-not-arraigned-as-accused\/","url_meta":{"origin":208575,"position":4},"title":"Cal HC | Authorised signatory not to be prosecuted under S. 138 NI Act if the company not arraigned as accused","author":"Bhumika Indulia","date":"March 13, 2019","format":false,"excerpt":"Calcutta High Court:\u00a0Asha Arora, J., allowed a criminal revision petition filed against the order of conviction and sentence awarded to the petitioners for the offence under Section 138 of the Negotiable Instruments Act, 1881 (dishonour of cheque). To cut the matter short, the present\u00a0was a cheque bounce matter. The complainants\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/06\/calcutta-court.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/06\/calcutta-court.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/06\/calcutta-court.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/06\/calcutta-court.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/06\/calcutta-court.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":258444,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/12\/14\/section-138-ni-act-10\/","url_meta":{"origin":208575,"position":5},"title":"For summoning accused under S. 138 NI Act, recording of statements under Ss. 200 and 202 is required? All HC decides","author":"Bhumika Indulia","date":"December 14, 2021","format":false,"excerpt":"Allahabad High Court: Sameer Jain, J., decided that whether for summoning an accused under Section 138 of Negotiable Instruments Act, 1881, recording of statements under Section 200 and 202 of CrPC is required or not. Instant application was filed under Section 482 CrPC to quash the proceedings of complaint case\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/208575","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/8808"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=208575"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/208575\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=208575"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=208575"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=208575"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}