SUHAS BHAND Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) THESE matters arise out of the Reference made by the learned Single Judge of this Court dated 24th September, 2008 upon the question of law relating to the resignation of a Director of a Limited Company or a private Limited Company registered under the Companies Act, 1956 in a criminal proceeding initiated against such Director of such Company under Section 138 read with Section 141 of the Negotiable Instruments Act, 1881 (the Act).

(2.) THE petitioners in each of these petitions are one of the Directors of the Company by name Enbee Infrastructure Limited (the Company) which availed of and obtained a loan from respondent No. 2 herein. The loan agreement was entered into on 29.12.1999 between the Company and respondent No. 2. The loan agreement has been signed by one of the petitioners in these petitions who has been arraigned as accused No. 9 in the criminal complaint. Pursuant to the execution of the loan agreement and obtaining the loan from respondent No. 2, the Company through its Director/authorized signatory issued several post-dated cheques (PDCs). Some of the cheques came to be dishonoured. Hence, a complaint under Sections 138/141 of the Act came to be filed in the relevant Magistrate's Court upon following the procedure prescribed by law in that behalf by respondent No. 2. Several Directors of the Company have been made accused in the complaint along with the Company itself. The petitioners in these petitions are two of those Directors arraigned as accused Nos. 6 and 9 therein.

(3.) THE petitioners have produced certified copy of Form No. 32 issued by the Registrar of that the said certified copy of Form No. 32 is the proof of their resignation and no further inquiry can be made by the Court about the factum of the resignation. They have applied for quashing the criminal complaint against them consequent upon the said document having been issued by the ROC.