Chandigarh Director Sentenced to One Year for Cheque Bounce of ₹43 Lakh
Chandigarh: Firm director sentenced to one-year RI in ₹43-lakh cheque bounce case
Hindustan Times
Image: Hindustan Times
Amarjeet Singh, director of Light Air Transmission Private Limited, has been sentenced to one year of rigorous imprisonment by a Chandigarh court for dishonoring a cheque worth ₹43 lakh. The court also ordered him to pay the same amount in compensation, highlighting his failure to fulfill a repayment agreement.
- 01Amarjeet Singh was sentenced to one year of rigorous imprisonment.
- 02The case involved a cheque bounce of ₹43 lakh.
- 03Singh had previously agreed to repay ₹50 lakh to Color Advertisers.
- 04The court emphasized the enforceability of the debt.
- 05Singh has prior convictions in related cheque dishonor cases.
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A local court in Chandigarh has sentenced Amarjeet Singh, director of Light Air Transmission Private Limited, to one year of rigorous imprisonment for dishonoring a cheque worth ₹43 lakh (approximately $52,000 USD). The ruling was made by Judicial Magistrate Jasbeer Singh on April 17. The case stemmed from a complaint by Color Advertisers, a firm based in Zirakpur, which had invested ₹53 lakh in Singh's company between 2017 and 2018. After receiving only ₹7 lakh of the agreed repayment, Singh issued a cheque for the remaining amount, which was subsequently dishonored due to insufficient funds. The court noted Singh's admission of his signature on the cheque and ruled in favor of the complainant, stating that the agreements and compromise deed clearly established Singh's liability. In addition to the prison sentence, Singh is required to pay ₹43 lakh in compensation, with interest at 6% per annum until the amount is realized. The court also mentioned that Singh has previous convictions in two related cheque dishonor cases, with sentences to run concurrently.
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This ruling reinforces the legal consequences of cheque dishonor, emphasizing the importance of fulfilling financial agreements.
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