Swatantra Singh v. Vikas Bhardwaj and Another
Negotiable Instruments Act, 1881 – Sections 138, 141 – Vicarious liability of Independent/Non-Executive Directors – Batch of twelve revision petitions (CRM-M) disposed of by common order
Case brief
What is this about?
Punjab & Haryana High Court, Chandigarh; Virinder Aggarwal, J (Oral); decided 15.07.2026; CRM-M-5707-2022 (O&M) and eleven connected petitions; petitioners Swatantra Singh and Mewa Singh; respondents Monika Bhardwaj and Vikas Bhardwaj; Section 138 and Section 141 NI Act; maintainability of cheque dishonour complaint against Independent/Non-Executive Director; absence of specific averments of being in charge of and responsible for day-to-day affairs; designation alone insufficient for vicarious liability; summoning orders quashed qua directors; K.S. Mehta v. M/s Morgan Securities and Credits Pvt. Ltd., 2025 (4) SCR 1 relied on; abuse of process; complaint to continue against remaining accused.
What did the court decide?
All revision petitions allowed; the complaint, impugned summoning orders and all consequential proceedings arising therefrom quashed qua the present petitioners only; complaint proceedings to continue against the remaining accused, if any, strictly in accordance with law and uninfluenced by any observation made herein; photocopy of the order to be placed on the files of all connected revision petitions; pending miscellaneous applications disposed of accordingly.