A Delhi court has dismissed a revision petition by a director of a private company seeking discharge in a cheque bounce case.
Special Judge Satinder Kumar Gautam dismissed the revision petition of Ashok Kumar Jhunjhunwala, a non-executive director with Reliance Cellulose Products Ltd., with imposition of cost of ₹20,000 to be deposited with the Delhi Legal Services Authority.
Non-executive director
Counsel for Mr. Jhunjhunwala argued that he was a non-executive director of the company and that he ceased working as whole-time director (technical) due to critical medical exigency.
The trial court had failed to appreciate the facts that the revisionist neither signed the supplementary agreement nor the post-dated cheques, and the order was passed in a casual manner which was contrary to the principle of natural justice. Therefore, it was liable to be set aside, the revisionist’s counsel said.
‘Factually incorrect’
Dismissing the argument, the judge said: “The said averment is factually incorrect as [per] copy of the loan agreement dated July 15, 2011. Complainant showed that the same was in fact being executed by both the accused including the present revisionist.
“It is also not disputed that revisionist is a director of accused no. 1 company. In para 3 of the present complaint, it has been specifically mentioned that the petitioner/revisionist is responsible for day- today affairs of accused no. 1 company. The said fact has not been denied by petitioner/revisionist. In para 4 of the complaint, however, there is specific averment made in respect of the responsibilities and have a joint collateral securities by the petitioner/revisionist in the complaint as well as loan agreement,” the judge further said.
“In view of the above discussion..., revision petition does not find any merit and there is no illegality or perversity found in the order dated February 6, 2017. Hence, the present revision petition is hereby dismissed with the cost of ₹20,000 to be deposited with the Delhi Legal Services Authority within four weeks,” the court ordered.