NI Act, 1881 : "Signatory of Cheque, authorized by "Company", is Not the Drawer in Terms of S.143A" : Bombay HC

 NI Act, 1881 : "The Signatory of the cheque, authorized by the "Company", is Not the Drawer in terms of section 143A" : Bombay HC

A recent judgment has been passed on 8 March 2023 by Hon'ble Bombay High Court.

In context of Negotiable Instruments Act, 1881 it has been commented at page 56 of Lyka Labs Ltd v State of Maharashtra [2023] GCtR 531 (Bombay) thus : - 

"The signatory of the cheque, authorized by the "Company", is not the drawer in terms of section 143A of the NI Act and cannot be directed to pay interim compensation under section 143A. 

(ii) In an appeal under section 148 of NI Act filed by persons other than "drawer" against the conviction under section 138 of the NI Act, a deposit of a minimum sum of 20% of the fine or compensation is not necessary."

Kindly note that full text Judgments of Hon'ble Bombay High Court can be downloaded absolutely free of cost from the official website at the link https://bombayhighcourt.nic.in/index.php.

Written by 

Vishal

Delhi

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