IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.SASIDHARAN NAMBIAR FRIDAY, THE 11TH DECEMBER 2009 / 20TH AGRAHAYANA 1931 Crl.MC.No. 3345 of 2009() ------------------------- ST.1837/2008 of JUDL.MAGISTRATE OF FIRST CLASS COURT-I, KANNUR .................... PETITIONER(S): 4TH ACCUSED IN S.T.C.NO.1837/08 OF JFCM(I),KANNUR: ------------------------------------------------------------------------------------------------------------- B.SRIDHAR, S/O.BALAKRISHNAN, 'KOUNDANYA HOUSE', POOTHOLE, THRISSUR. BY ADV. MR.N.K.SUBRAMANIAN RESPONDENT(S) NO.1/COMPLAINANT IN STC.NO.1837/08 JFCM(I),KANNUR: ---------------------------------------------------------------------------------------------------------------- 1. P.P.GANGADHARAN, S/O.RAMAN, DRIVER, 'ASWATHI', PUZHATHI AMSOM, KAKKAD DESOM, KANNUR TALUK & DISTRICT, KANNUR-670 005. 2. STATE OF KERALA, REPRESENTED BY THE PUBLIC PROSECUTOR, HIGH COURT OF KERALA, ERNAKULAM. R2 BY PUBLIC PROSECUTOR MR. P.A. SALIM THIS CRIMINAL MISC. CASE HAVING BEEN FINALLY HEARD ON 11/12/2009,THE COURT ON THE SAME DAY PASSED THE FOLLOWING: Kss M.SASIDHARAN NAMBIAR,J. =========================== CRL.M.C.No. 3345 OF 2009 =========================== Dated this the 11th day of December,2009 ORDER Petitioner is the fourth accused in S.T.1837/2008 on the file of Judicial First Class Magistrate Court-I, Kannur taken cognizance for an offence under section 138 of Negotiable Instruments Act on Annexure A complaint filed by the first respondent. This petition is filed under section 482 of the Code of Criminal Procedure contending that petitioner is implicated as accused on the allegation that he is one of the Directors of the Private Limited Company based on a dishonoured cheque dated 15.6.2007 when petitioner had ceased to be a Director of the Company, with effect from 28.6.2006 and therefore petitioner cannot be prosecuted for the offence committed by the Company, after he ceased to be a Director and hence the case is to be quashed. Petitioner also pointed out that in Crl.M.C.1039/2009 and connected cases, this court has already quashed similar proceedings initiated under section 138 of Negotiable Instruments Act, finding that the dishonoured cheques in those cases were also issued subsequent to 28.6.2006. Crl.M.C.3345/2009 2 2. Though notice was served on the first respondent complainant before the trial court, he did not appear. 3. Learned counsel appearing for the petitioner was heard. 4. As per Annexure E order in Crl.M.C.1039/2009 and connected cases, this court has already found that petitioner had resigned from the Director of the company with effect from 28.6.2006. Therefore he is not liable or responsible for the business of the Company subsequent to 28.6.2006. Annexure A complaint shows that the dishonoured cheque in the case was issued on 15.6.2007. It was allegedly issued towards discharge of the amount due under the chitty account as on 11.6.2007. The cheque was dishonoured on 14.9.2009 and notice under section 138(b) of Negotiable Instruments Act demanding the amount was also sent on 9.10.2007. In such circumstances, when the cheque itself was issued after the petitioner ceased to be a Director of the Company, he cannot be prosecuted for its dishonour or failure to pay the amount when demanded. The continuation of the proceedings, as against the petitioner, in such circumstance, is only an abuse of process of court. Petition is allowed. C.C.1837/2008 on the file of Judicial First Class Magistrate Court-I, Kannur is quashed. M.SASIDHARAN NAMBIAR JUDGE Crl.M.C.3345/2009 3 tpl/- M.SASIDHARAN NAMBIAR, J. --------------------- W.P.(C).NO. /06 --------------------- JUDGMENT SEPTEMBER,2006