VISHNOO MITTAL Vs. SHAKTI TRADING COMPANY

JUDGEMENT

(1.) Leave granted.

(2.) The appellant before this court has challenged the order dtd. 21/12/2021 of the learned Single Judge of the Punjab and Haryana High Court by which the appellant's petition under sec. 482 of Criminal Procedure Code, 1973 ('CrPC'), seeking quashing of proceedings initiated under Sec. 138 of Negotiable Instruments Act, 1881 ('NI Act') against the appellant, has been dismissed.

(3.) Admittedly, the appellant was the director of M/s Xalta Food and Beverages Private Limited (hereinafter 'corporate debtor'). There was a contract between the corporate debtor and the RespondentM/s Shakti Trading Company where the respondent was to function as a super stockist of the corporate debtor. As a consequence of the business relationship between the two companies, the appellant, in his capacity as director of the corporate debtor, had drawn eleven cheques in favour of the respondent of varying amounts, the total amount being Rs.11,17,326.00 (approximately). These cheques were dishonoured on 7/7/2018. A legal notice under Sec. 138 of the NI Act was issued to the appellant by the respondent as the cheque amounts were not furnished to the respondent by the bank. Consequently, in September 2018, a complaint was filed before the appropriate Court by the respondent against the appellant for offences under Sec. 138 of NI Act. Meanwhile, on 25/7/2018, insolvency proceedings against the corporate debtor, of which the appellant was the director, commenced and a moratorium under Sec. 14 of the Insolvency and Bankruptcy Code, 2016 (hereafter 'IBC') was imposed. On the same day i.e. 25/7/2018, the interim resolution professional (hereinafter 'IRP') was appointed in regard to the corporate debtor.