Dishonour of Cheque--Liability of Partners--Absence of Privity of Contract and Specific Averments Against Partners Fatal to Prosecution Under S.138 N.I. Act
Prosecution under Section 138 of the Negotiable Instruments Act, 1881, fails where privity of contract and legal debt are not established. Partners cannot be prosecuted without specific averments in the complaint regarding their role in day-to-day affairs and the transaction in question. Mere designation or general averment is insufficient to fasten vicarious liability. There must be a specific allegation in the complaint as to the part played by partners in the transaction—in the absence of any averment or specific evidence, the complaint would not be entertainable.
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