Description

We bring to you, the nota bene update for May 2025.

This edition focuses on the recent judicial pronouncement passed in Rakesh Bhanot v. Gurdas Agro Pvt. Ltd., where the Hon’ble Supreme Court held that personal insolvency proceedings under the IBC do not halt criminal prosecution for cheque dishonour under Section 138 of the NI Act. The Court drew a clear line between civil debt resolution and criminal liability, protecting the sanctity of financial instruments. This judgment reinforces trust in business transactions and prevents misuse of insolvency as a shield against penal consequences.

We hope you enjoy reading this nota bene and find it informative and engaging.