CHIRAG JANARDAN DOSHI Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) The challenge in this petition, under Article 227 of the Constitution of India, is to the orders of issuance of process against the Petitioners herein in proceedings/prosecutions instituted under Sec. 138 r/w. 141 of the Negotiable Instruments Act (for short N.I. Act).

(2.) Heard. The Petitioners 1 to 3 are original accused nos. 2, 7 and 8, respectively, in the criminal complaints, the details whereof have been given in para 1 of this petition. The complaints have been instituted by Respondent No.2-Oriental Containers, against the Petitioners herein and Respondent Nos. 3 to 9.

(3.) It is the case of the Respondent/complainant that it is engaged in the business of manufacturing, selling and buying of packaging products, such as collapsible tubes crown caps, plastic closures, etc. Respondent No.3 (original accused no.1) is in the business of bottling and selling aerated and other beverages. It has, therefore, plants at some places in India. The original accused nos. 2 to 10, including the Petitioners herein, at the relevant time, were in charge of day-to-day management and business affairs of the accused Company. It is also the case of the complainant Company that accused no.1 placed purchase orders for supply of various quantity of bottle closures. The goods, namely, bottle closures, were supplied to the accused Company as per its requirement and in terms of the purchase orders. Various cheques, the details whereof have been given in para 3 of this petition, were issued towards price of goods purchased. The complainant Company presented the cheques for encashment. The cheques returned unpaid with remarks,'payment stopped'. Statutory demand notices were, therefore, issued to the accused Company. Since there was no compliance of the demand notices, complaints for offence punishable under Sec. 138 r/w. 141 of N.I. Act came to be instituted. Learned Metropolitan Magistrate took cognizance of the offence/s and issued process against the accused Company and its directors, including the Petitioners herein.