138 notice to the director or company?
SAPNA KANNAIDAS
(Querist) 26 November 2012
This query is : Resolved
Dear Members,
Can anybody advise on whether the notice u/s 138 of NI Act is to be addressed to the Director followed by the Company's name or in the name of the company?
What would be the implication if it is addressed to 'the Director, XYZ Pvt. Ltd.'? will such a notice be void?
pls advise.
Regards,
Sapna Kannaidas
ajay sethi
(Expert) 26 November 2012
since cheque has been issued by the company the legal notice on account of dishonour has to be issued tot he company . the directors who are in charge of day to day management a nd who have signed the cheques should also be issued notice
SAPNA KANNAIDAS
(Querist) 26 November 2012
Thanks sir for your reply.
wanted some more clarity. Will the notice, if addressed to the Director become invalid per se if not marked to the Company?
What would be the case, if the cheque is signed by the same director?
Regards,
Sapna
Nadeem Qureshi
(Expert) 26 November 2012
It's depend on the report of the postal department that why the notice could not receive or delivere?
SAPNA KANNAIDAS
(Querist) 26 November 2012
Mr. Nadeem...did not get you. Could you pls elaborate?
ajay sethi
(Expert) 26 November 2012
Sec.138(b) contemplates demand for payment by giving a notice in writing to the drawer of the cheque. If the drawer of the cheque had issued the cheque towards any legally enforceable debt or liability in his personal capacity or if he has issued the cheque for such a debt of an another person or a Company or a Firm and if he fails to make the payment, the offence is said to have been committed. If the demand is not made to the drawer, the notice is invalid. Under Sec.139 of the Act, the presumption is in favour of the holder.
V R SHROFF
(Expert) 26 November 2012
Agreed with Shri Ajay.
138 is applicable to both director as well as co, Only signing authority Magm will be punished. Co is liable for comp
Raj Kumar Makkad
(Expert) 27 November 2012
I have nothing to add in the wise advice of Ajay.
