Dishonour of Cheque--Vicarious Liability--Designation Alone Without Transaction-Specific Role Insufficient to Attract Liability Under Section 141 NI Act
Vicarious criminal liability under Section 141 of the Negotiable Instruments Act, 1881 cannot be fastened on an office bearer of a society merely by virtue of designation or position. To attract liability, the complaint must disclose specific factual averments establishing that the person was in charge of and responsible for the conduct of the affairs of the society at the relevant time. Active participation evidenced by signatures on promissory notes, memoranda of understanding, or allied financial documents constitutes sufficient prima facie material, whereas bare allegations relying solely on official status do not.
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