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Filing 200CrPC before magistrate
20-Jan-2026 (In Criminal Law)
X has signed agreements on stamp [aper as MD of the company in 2016 and collected Rs. 50 lakhs from Y. After 19 days he informed that the company has gone babkrupt with the investment lost. Once the security cheques were deposited and defaulted, X visited Y and reassured entire payment within a month, however that never happened and a 138 NI case with section 142 was filed for recovery in December 2016. In 2019, while giving statement for 251 CrPC, he falsely stated that he was never an MD, but
On the stated facts, criminal liability can extend beyond Section 138 NI Act. Prima facie offences under Sections 420 IPC (cheating) and 406/409 IPC (criminal breach of trust) are attracted if it is shown that X induced Y to part with ₹50 lakhs by representing himself as MD and with dishonest intention from inception, followed by misappropriation. Execution of agreements as MD and issuance of security cheques support mens rea. His false statement under Section 251 CrPC denying that he was ever MD, despite documentary proof, may attract Sections 191/193 IPC (false evidence) and proceedings under Section 340 CrPC. For NI Act liability, vicarious liability is governed by Section 141 (not 142); documents showing X was MD at the time of transaction/cheque issuance would sustain prosecution. Parallel remedies—continuation of 138 NI case, complaint under IPC, and application under Section 340 CrPC—are maintainable subject to proof.
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Adv. Madhvi Chopra
Adv. Madhvi Chopra
Delhi | 50+ Answers
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Can you narrate the entire incidence since here only a part of the incidence has come in narration. Additionally it will be best if you speak telephonically for once to understand better.
I am presuming this has got something to do with 138
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Adv. Parth Chaturvedi
Adv. Parth Chaturvedi
Delhi | 25+ Answers
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Hi there, since you have a written document where he signed as MD therefore he stating that he wasn't MD at the time being him under the definition of Fraud (S.420 IPC) and you can file an additional case of cheating and fraud against him.
However, in order to understand the transactions between you two, I'll need some more information.
Thus, it's advisable to contact me and provide requisite details to assist you better.
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Adv. Ishan Parashar
Adv. Ishan Parashar
Delhi | 200+ Answers
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Continue S.138 NI Act (S.142) and file proof he acted as MD (agreement, cheques, ROC/MCA records). False statement may attract perjury. Also consider IPC/BNS cheating/fraud, breach of trust + civil recovery.
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Adv. Keshav Agarwal
Adv. Keshav Agarwal
Delhi | 25+ Answers
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On the facts stated, strong criminal and civil liability arises. Execution of agreements as MD, receipt of ₹50 lakhs, issuance of security cheques, and post-default assurances clearly support Section 138 NI Act prosecution. The false denial of MD status in the Section 251 CrPC statement, if contradicted by ROC records and documents, may attract IPC (false evidence). Additionally, ingredients of cheating and criminal breach of trust may be examined. Documentary proof of directorship is crucial to rebut his defence and strengthen both recovery and penal action. Consult me for further details.
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Adv. Ayushi Priyadarshini
Adv. Ayushi Priyadarshini
Delhi | 25+ Answers
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