Negotiable instrument act

Querist : Anonymous (Querist) 04 February 2012 This query is : Resolved
Dear Experts,
What is latest law laid down by Hon'ble Apex Court in the following circumstances :

A is a Public Ltd Company and B is its MD.
A Complaint u/s 138 has been filed by C against B and the title reads as under :

Mr C Prop of ABC Vs Mr B Director of A

Cheque in question has been issued by A to C and is signed by B

Now my precise querry is,

Is this compalint not maintainable on the ground that the condition precedent to section 138 are not satisfied.

Section 138 says where a cheque drawn on an account maintained by HIM is dishonoured........

In this case the cheque is drawn on an account which is not maintained by the accused but by the Co.

2. Is it necessary to plead Company as accused and MD as co-accused as the liability of directors u/s 141 is vacarious one and unless the person who has committed offence (CO in this case) is made laible, directors cannot be pleaded guilty.

Pls reply with latest citation in favour and against if any.

Thanks

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Deepak Nair (Expert) 04 February 2012
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Sailesh Kumar Shah (Expert) 04 February 2012
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