V PUSHPA Vs. P ARUMUGAM

JUDGEMENT

(1.) THE Petitioners, who are arrayed as A3 to A5, challenge the criminal proceedings in CC.No,523/2005 on the file of the learned Judicial Magistrate II, Udumalpet, initiated on the complaint launched by the Respondent under Section 138 of the Negotiable Instruments Act.

(2.) ON a perusal of the complaint, it appears that the A1 the Sri Kamatchi Amman Construction (herein after referred to as the Company) represented by one K.Venkatapathi had borrowed a sum of Rs.15 lakhs for the purpose of his business and had issued a cheque bearing No,323069 dated 15.9.2005 drawn on the State Bank of India, Salem and when the said cheque was presented for encashment on 19.9.2005 in his Bankers, it was returned with an endorsement "accounts closed". The Respondent had issued a legal notice date 13.10.2005, which had been received by the accused, but they failed to pay any amount and hence, the complaint has been filed.

(3.) ON the other hand, Mr.S.N.Thangaraj, the learned counsel for the Respondent contends that at the time of borrowal, all the Petitioners have been partners and all of them were in charge and responsible for the conduct of the business of the Company and hence, they are liable to proceeded with and punished accordingly.