Company and Directors Can Be Prosecuted under NI Act Even If Cheque Signatory Is Dropped as Accused: Delhi High Court
The Delhi High Court has refused to quash criminal proceedings arising out of multiple cheque dishonour complaints, holding that removal of the cheque signatory from the array of accused does not invalidate prosecution against the company and its directors. The judgment was delivered by Justice Neena Bansal Krishna, reinforcing the settled legal position on corporate criminal liability under the Negotiable Instruments Act, 1881. Nature of the Dispute The case arose…
