Gunmala Sales Pvt. Ltd vs Anu Mehta & Ors

The Supreme Court held that a mere bald assertion in a complaint under Section 138 read with Section 141 of the Negotiable Instruments Act, 1881, regarding the responsibility of Directors for the conduct of the company is insufficient to maintain the complaint. The Court emphasized that specific averments are necessary to establish the liability of Directors in cases of dishonored cheques. Consequently, the Court upheld the High Court's decision to quash the proceedings initiated by the Magistrate due to the lack of adequate factual basis in the complaint.