RATHIMALA Vs. S P SRINIVASAN

JUDGEMENT

(1.) THE petitioners/accused 3 to 5 have filed the above Criminal O.P.No,24064 of 2007 to call for the records of the complaint in C.C.No,348 of 2007 pending on the file of the Judicial Magistrate No.I, Erode, and quash the same.

(2.) THE respondent/complainant filed the complaint in C.C.No,348 of 2007 before the Judicial Magistrate I, Erode against 5 accused persons on an alleged offence under Section 138 r/w. 142 of Negotiable Instrument Act. THE ingredients of the complaint is that the 1st accused, namely Bharat Refiners and Oil mills is a partnership concern, accused 2 to 6 are the partners of the said 1st accused concern. THE accused 2 to 6 are in charge and responsible for the day today affairs of the said accused partnership concern. On 08.04.2007, the accused have borrowed a sum of Rs.5 Lakhs from the complainant and promised to repay the same. On 07.05.2007, the accused issued a post dated cheque for Rs.5 Lakhs, the cheque bearing No,7948763 dated 07.05.2007, drawn on the Dhanalakshmi Bank Ltd., Erode Branch. THE complainant presented the cheque for collection through his bankers, Indian Bank Ltd., Periyasemur Branch, Erode and the same was returned on 08.05.2007 with the endorsement as "funds insufficient".

(3.) THE petitioners further submit that they are not signatories to the cheque issued by V.Kamalanathan, who is the active partner of the partnership firm. Further, the cheque was only issued as a security. THE mere vague allegation that the petitioners were in charge and responsible for the day today affairs of the partnership firm will not suffice to satisfy requirement of Section 141 of the Negotiable Instruments Act. Further, the petitioners have alleged that they are not vicariously liable and are only sleeping partners. Hence the petitioners have filed this quash petition.