Cheque bounce: Prakash Ind’s MD gets 1-yr jail

Cheque bounce: Prakash Ind’s MD gets 1-yr jail

FPJ BureauUpdated: Thursday, May 30, 2019, 04:14 AM IST
article-image

New Delhi : Delhi court has awarded one year jail term to Prakash Industries Ltd’s Managing Director in 20-year-old cheque bounce cases and directed him and the firm to pay Rs 10 crore each to two Sahara group companies.

It directed Prakash Industries and its MD V P Aggarwal to pay Rs 5 crore each to Sahara India Airlines Ltd (SIAL) and Sahara India Financial Corporation Ltd (SIFCL), which had given a loan of Rs 5 crore each to the firm, through him, in May 1996. The convicted company had handed over cheques to pay back the money. However, these got dishonoured and both the complainant companies filed cases in this regard.

“Considering the length of the proceedings, this court is of the opinion that even if the cheque amount involved would have been deposited in bank, it would have been doubled by now,” Metropolitan Magistrate Nupur Gupta said. The court noted that the present matter was pending since 1997 and “the very purpose of Negotiable Instruments Act seems to have been frustrated”.

RECENT STORIES

AMD Shares Surge 35% In Pre-Market Trade As OpenAI Eyes 10% Stake In AI Chipmaker; Sam Altman Reacts...

AMD Shares Surge 35% In Pre-Market Trade As OpenAI Eyes 10% Stake In AI Chipmaker; Sam Altman Reacts...

IndiGo To Launch Direct Daily Flights Between Mumbai And London Heathrow From October 26

IndiGo To Launch Direct Daily Flights Between Mumbai And London Heathrow From October 26

PM Modi To Inaugurate India Mobile Congress 2025 On October 8

PM Modi To Inaugurate India Mobile Congress 2025 On October 8

Groww Completes Acquisition Of Fisdom After SEBI Nod, Enters Wealth Management

Groww Completes Acquisition Of Fisdom After SEBI Nod, Enters Wealth Management

Global Fintech Fest 2025: Centre To Showcase Key Statistics From GDP To CPI

Global Fintech Fest 2025: Centre To Showcase Key Statistics From GDP To CPI