Legal Reference Library

The government must pay for the negligence of its officers and it cannot claim "sovereign immunity" like in the old days, the Supreme Court has stated while imposing compensation on the authorities who failed to register three fishing vessels, causing loss to owners. The vessels were bought by Sancheta Food Products in an auction. They had to be registered under the Merchant Shipping Act for taking them to the high seas for fishing. However, the officers were taking contrary stands regarding the rules applicable to the vessels, causing heavy loss to the firm. It sued the government in the Calcutta high court. It imposed compensation on the government for its "contradictory and dilatory" stands. The government appealed to the Supreme Court, which upheld the high court judgment. It elaborated on the "vicarious liability" of the state for the actions of its officers and diluted the immunity of the government in negligence cases. Citing earlier decisions rejec...

Arising out of SLP (Crl.) No. 6134-6135 of 2005] WITH CRIMINAL APPEAL NO. 951 OF 2006 [Arising out of SLP (Crl.) No. 6252 of 2005] S.B. SINHA, J : Sabitha Ramamurthy & Anr vs R.B.S. Channabasavaradhya on 13 September, 2006 Section 138 of the Negotiable Instruments Act provides that where a cheque drawn by a person is returned by the bank unpaid on the grounds specified therein, the person who had drawn the said cheque shall be deemed to have committed an offence thereunder. Section 139 provides for a presumption in favour of a holder of a negotiable instrument. Section 141 of the Act provides for offences by a company. Sub-section (1) of Section 141 reads as under: "141. Offences by companies.(1) If the person committing an offence under section 138 is a company, every person who, at the time the offence was committed, was in charge of, and was responsible to, the company for the conduct of the business of the company, as well as the company, shall be deemed to be...

SUPREME COURT OF INDIA CRIMINAL APPELLATE JURISDICTION CRIMINAL APPEAL NO. 838 OF 2008 [Arising out of SLP (Crl.) No. 2094 of 2007] Aneeta Hada ...Appellant Versus M/s. Godfather Travels and Tours Pvt. Ltd. ...Respondent WITH CRIMINAL APPEAL NO. 842 OF 2008 [Arising out of SLP (Crl.) No. 2117 of 2007] JUDGMENT S.B. SINHA, J : Aneeta Hada vs M/S Godfather Travels & Tours ... on 8 May, 2008 2. Appellant is said to be an authorised signatory of M/s. Intel Travels Ltd (Company). The said Company as also the respondent company had business transactions. Appellant on behalf of the company issued a cheque dated 17.1.2001 for a sum of Rs.5,10,000/- in favour of respondent which was dishonoured. Respondent filed a complaint petition against the appellant under Section 138 of the Negotiable Instruments Act, 1881 ('the Act' for short). The Company which is a juristic person was not arrayed as an accused. The learned Magistrate took cognizance of the offence against her....

2014 STPL(Web) 1503 DELHI [2014 (2) DCR 470] DELHI HIGH COURT (HON'BLE MR. V. K. JAIN, J.) VIJAY POWER GENERATORS LTD. Petitioner VERSUS SUMIT SETH Respondent Crl. A. No. 1432, 1433, 1434, 1435 and 1436 of 2013-Decided on 9-5-2014 (A) Negotiable Instruments Act, 1881—Section 139, 118(a) - Acquittal Set aside - Evidence - Appeal against acquittal in complaint of dishonour of cheque - Acquittal on ground that cheque issued for advance payment - Complainant produced accounts showing sale and payment due - Sales tax forms issued by accused for purchase of goods - No rebuttal of evidence by complainant - Nor any evidence in favour of defence pleas - Presumption of consideration with complainant - Acquittal set aside - Conviction. [Para 10, 11, 12 & 15] (B) Negotiable Instruments Act, 1881—Section 138 - Advance Payment - Dishonour of cheque - When offence not made out - Liability - Held: For the purpose of Section 138 of the Act, the drawl of the cheque should be in ...