Dear Learned Friends,
Request clarification on the following situation please.
A partnership firm comprising of four partners, issued an undated cheque as security to a proprietary concern with who business relationship was established. Two partner retired from the firm thereafter. The proprietary firm fills the date and beneficiary's name in the aforesaid cheque after retirement of two partners and presents the instrument for encashment and is returned dishonoured. Under the circumstances, are the retired partners liable to be prosecuted under NI Act?
I will be very thankful if any judgments can be pointed to for reference in the above circumstances.
Thanks,
Aravind
