Central Bank Of India vs M/S. Asian Global Ltd.& Ors

The Supreme Court upheld the Delhi High Court's decision to quash the complaint filed by the Central Bank of India against the Respondents under Sections 138 and 139 of the Negotiable Instruments Act, 1881, along with Section 120-B and 420 IPC. The Court established that the Respondent No.3, being a sister concern, did not have privity of contract with the Bank, thereby negating the Bank's claim as a 'holder in due course'. Consequently, the Court affirmed the High Court's ruling that discharged the Respondents from the criminal proceedings initiated by the Bank.