Legal Question in Criminal Law in India

Power of Attorney

Sir,

my wife runs a Proprietorship business given Power of Attorney to me to represent & operate bank account in the concern's name. I am no partner but an executive in the concern.

I borrowed money in cash from friend and issued wife�s proprietorship concern's cheque signed by myself with seal 'Power of Attorney Holder' in 1999, subsequently paid up fully(no Receipts, Cheque not returned).

In 2002 a feud and �friend� deposited chq, bounced 'Insufficient funds' court charging 138.

I admitted in a reply through advocate to his Lawyer Notice that �I admit borrowing money and issuing said chq as security in 1999, but money is paid back and no money payable, hence accusing me is cheating�. ( I HONESTLY paid money back !)

1. Is Power of Attorney holder (husband) guilty and punishable under 138 ?

(Neither wife is co- accused nor 420 is charged).

2. Will the court accept the contention that � what he admitted in reply is of the transaction in 1999, and nothing about the accused transaction of 2002 that too he was ''acting on behalf of the owner of the bank account of her concern, as Power of Attorney as part of his duty � borrowing and paying for the concern� hence not guilty ?

3. Or what is best stand and argument for me ?


Asked on 3/01/09, 4:37 am

4 Answers from Attorneys
Sudershan Goel India Law Offices of Sudershan Goel - Advocate

Re: Power of Attorney

If you paid the money back, you were required to take the cheque back; or at least obtain a receive from the payee;

The signatory on the cheque is guilty u/s 138.

2. The Power of Attorney, if a signatory on the cheque, may be guilty u/s 138.

3. Your best defence could only be to prove that there is no liability because you had discharged the same by way of payment;

You may better settle the matter amicably with the payee to avoid adverse consequences.

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Answered on 3/01/09, 9:04 am
Aniruddha Pawse Aniruddha.P.Pawse Advocates

Re: Power of Attorney

yes if he is signatory.you may disown any liability.

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Answered on 3/01/09, 10:40 am
Pranav Desai PD Legal & Associates

Re: Power of Attorney

I believe your questions are matter of evidence. Your lawyer has to prove the above contentions reasonably well in the court for your to be secured.

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Answered on 3/01/09, 3:20 pm
Shrichand Nahar S.V.Nahar, Advocate

Re: Power of Attorney

1. Guilt & punishment will be determined by court.

2. You need to prove by giving evidence.

3. Refute/rebut the allegation of the complainant about issuance of cheque by you towards discharge or legal debt/liability by giving cogent evidence.

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Answered on 3/02/09, 12:56 am


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