In Brief
A director of Zylog Systems Limited resigned on 24 June 2013 and filed Form 32 with the Registrar of Companies confirming his disassociation from the company. When the company issued cheques on 15 September 2013 that subsequently bounced, a complaint was filed under the Negotiable Instruments Act against the company and its directors, including the resigned director. The Supreme Court held that the director cannot be held criminally liable for the company's acts occurring after his resignation date, as he was no longer associated with the company's affairs. The Court set aside the High Court's order dismissing his petition to quash proceedings and allowed his appeal.
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