Dishonour of Cheque -- Joint Account Holder Not Signatory to Cheque -- Joint account holder cannot be prosecuted unless a signatory to the dishonoured cheque
(i) Negotiable Instruments Act, 1881, Ss.138, 141 -- Dishonour of Cheque -- Joint Account Holder Not Signatory to Cheque -- A joint bank account holder cannot be prosecuted for an offence under Section 138 unless she is a signatory to the dishonoured cheque. (ii) Negotiable Instruments Act, 1881, S.141 -- Dishonour of Cheque -- Applicability of Vicarious Liability -- Section 141, which provides for vicarious liability, applies only to companies and partnership firms and has no application to individuals. (iii) Negotiable Instruments Act, 1881, Ss.138, 141 -- Dishonour of Cheque -- Non-Signatory Joint Account Holder Not Attributed Specific Role -- Where a cheque is issued from a joint account but signed solely by the co-accused, the applicant, not being a signatory, cannot be held liable under Section 138. Liability cannot be fastened merely on the basis that the applicant is jointly and severally liable to repay the loan, absent any specific role attributed to her.
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