Monday, August 25, 2025

Corporate Liability in Cheque Dishonour

Corporate Liability in Cheque Dishonour

In cases where the corporate structure is misused to perpetrate fraud or to commit other illegal acts, the directors too can be made personally liable. Courts, in such scenarios, are empowered to pierce the corporate veil thereby disregarding the separate legal entity accorded to the company.  - Ajay Gupta v. Amit Sales Corporation Pvt. Ltd [2025] GCtR 1439 (Delhi)

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