CRL.P/6009/2024 of SRI VIJAY KUMAR Vs M/S AARBEE INTERNATIONAL on 16 September 2026

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA,F

Digitally signed by PANKAJA S Location: HIGH COURT OF KARNATAKA

HC-KAR

PH NO. 9663385882

2. ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1, R2 NOTICE SERVED BUT UNREPRESENTED)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.5745 OF 2024

BETWEEN:

HC-KAR

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 42 YEARS, PH NO. 9663385882

2. ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

HC-KAR

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.5758 OF 2024

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 38 YEARS, PH NO. 9663385882

2. HC-KAR

ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.5759 OF 2024

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S AARBEE INTERNATIONAL NO.29/1, 1ST FLOOR, CHUNCHAGATTA MAIN ROAD YELACHANAHALLI

HC-KAR

BANGALORE-560 078 A PARTNERSHIP FIRM REPRESENTED BY ITS PARTNER MR. TARUN REDDY GUNNA SON OF ASHOK REDDY GUNNA AGED ABOUT 40 YEARS PH NO. 9845004274

2. ALSO AT,

(BY SRI. PREMA KUMAR G A, ADVOCATE FOR R1, R2 NOTICE SERVED BUT UNREPRESENTED)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

HC-KAR

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 43 YEARS, PH NO. 9663385882

2. ALSO AT,

HC-KAR

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1, R2 NOTICE SERVED BUT UNREPRESENTED)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.6009 OF 2024

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S AARBEE INTERNATIONAL NO.29/1, 1ST FLOOR, CHUNCHAGATTA MAIN ROAD YELACHANAHALLI BANGALORE-560 078 A PARTNERSHIP FIRM REPRESENTED BY ITS PARTNER MR. TARUN REDDY GUNNA SON OF ASHOK REDDY GUNNA

HC-KAR

AGED ABOUT 40 YEARS PH NO. 9845004274

2. ALSO AT,

(BY SRI. PREMA KUMAR G A, ADVOCATE FOR R1)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.6011 OF 2024

BETWEEN:

NELAMANGALA,

HC-KAR

BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 43 YEARS, PH NO. 9663385882

2. ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

HC-KAR

OFFENCES P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.6014 OF 2024

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD, 1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 42 YEARS, PH NO. 9663385882

2. HC-KAR

ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1, R2 NOTICE SERVED BUT UNREPRESENTED)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881, PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

IN CRL.P.NO.6219 OF 2024

BETWEEN:

NELAMANGALA, BENGALURU - 562 123. …PETITIONER (BY SRI. SHREERAM TIMMAPPA NAYAK, ADVOCATE)

AND:

1. M/S MANTHAN CREATION NO. 40, 2ND FLOOR, 2ND MAIN, ROAD, H SIDDAIAH ROAD,

HC-KAR

1ST CROSS, OPP KATARIYA TRANST, SUDHAMA NAGAR, BANGALORE - 560 027. A PARTNERSHIP FIRM, REPRESENTED BY ITS PARTNER, MR JITESH BAFNA, SON OF PRAKASH CHAND BAFNA, AGED ABOUT 44 YEARS, PH NO. 9663385882

2. ALSO AT,

(BY SRI. PREMA KUMAR G.A, ADVOCATE FOR R1)

THIS CRL.P IS FILED U/S.482 OF CR.P.C PRAYING TO QUASH THE PROCEEDINGS INITIATED AGAINST THE

OFFENCE P/US/ 138 R/W SEC.142 OF NI ACT 1881 PENDING BEFORE THE XXXIV ADDITIONAL METROPOLITAN MAGISTRATE MAYO HALL AT BENGLAURU WHICH IS HEREWITH PRODUCED AS ANNEXURE A.

THESE PETITIONS, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

HC-KAR

CORAM: HON'BLE MR. JUSTICE RAJESH RAI K

ORAL ORDER

These petitions are filed challenging the proceedings for the offence punishable under Section 138 of Negotiable Instruments Act, 1881 (for short, 'N.I. Act'). The respondents herein have filed nine private complaints under Section 200 of Cr.P.C against the petitioner and others alleging that the cheques in question in the private complaints were issued by the Company for a total sum of Rs.1,96,03,732/-, of which the petitioner is one of the Director towards legally enforceable debt. After presentation of the said cheques, the same were returned for "want of funds".

2. It is contended by the learned counsel for the petitioner that as on the date of issuance of cheques in question, the petitioner ceased to be one of the Director of the Company, since he submitted his resignation on 15.11.2018, whereas the cheques in question were issued post resignation of the petitioner i.e., in the year 2019. Therefore, he submits that the petitioner is not involved or held responsible for the day-to-day affairs of the Company. As such, he cannot be

HC-KAR

prosecuted vicariously along with the Company as per Section 141 of N.I. Act.

3. Learned counsel for the respondents fairly submitted that he does not dispute the said fact that the petitioner ceased to be the Director of the Company as on the date when the cheques in question were issued.

4. I haven given my anxious consideration both on the submission and documents made available before this Court.

5. Section 141 of the N.I. Act deals with offences by companies and it specifies that if an offence is committed under Section 138 of N.I. Act, is a Company, every person who, at the time of the offence was committed, was incharge of, and was responsible of the Company for the conduct of the business of the Company, as well as the Company shall be deemed to be guilty of the offence.

6. In the instant case, the petitioner herein had ceased to be the Director of the Company and was not in charge of the affairs and responsible for the conduct of the

HC-KAR

business of the Company as on the date when the cheques in question were issued in favour of the complainants to hold them vicariously guilty along with the Company.

7. Therefore, continuation of criminal proceedings against the petitioner would be an abuse of process of law. Accordingly, I pass the following:

ORDER

The petitions are allowed. Crl.P No.5734/2024:

The impugned proceedings in C.C.No.50530/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.2, is hereby quashed.

Crl.P No.5745/2024:

The impugned proceedings in C.C.No.50527/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.4, is hereby quashed.

Crl.P No.5758/2024:

The impugned proceedings in C.C.No.50532/2020, pending on the file of the XXXIV Additional Metropolitan

HC-KAR

Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.2, is hereby quashed.

Crl.P No.5759/2024:

The impugned proceedings in C.C.No.51467/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.2, is hereby quashed.

Crl.P No.5867/2024:

The impugned proceedings in C.C.No.50528/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.4, is hereby quashed.

Crl.P No.6009/2024:

The impugned proceedings in C.C.No.51460/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.4, is hereby quashed.

Crl.P No.6011/2024:

The impugned proceedings in C.C.No.50526/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.2, is hereby quashed.

HC-KAR

Crl.P No.6014/2024:

The impugned proceedings in C.C.No.50529/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.4, is hereby quashed.

Crl.P No.6219/2024:

The impugned proceedings in C.C.No.50531/2020, pending on the file of the XXXIV Additional Metropolitan Magistrate, Mayohall Unit, Bengaluru, insofar as it relates to accused No.4, is hereby quashed.

In view of disposal of these petitions, pending interlocutory applications, if any, do not survive for consideration.

SD/- (RAJESH RAI K) JUDGE

HKV List No.: 1 Sl No.: 7