As per case facts, M/s Rainbow Papers Limited, whose director is the Appellant, sought loans from the Respondent. A post-dated cheque issued for an installment was dishonoured, leading to a ... criminal complaint under the NI Act. Subsequently, Corporate Insolvency Resolution Process (CIRP) was initiated against the company under the IBC, and a resolution plan was approved. The Appellant sought discharge from the criminal proceedings, arguing that the debt was extinguished under the IBC. The question arose whether criminal proceedings under Section 138 of the Negotiable Instruments Act can continue against the directors of a corporate debtor after a resolution plan has been approved under the Insolvency and Bankruptcy Code, which addresses the underlying debt. Finally, the Supreme Court ruled that Section 138 NI Act proceedings are penal, not merely for debt recovery, and thus distinct from civil proceedings under IBC. The extinguishment of debt under the resolution plan does not automatically absolve the directors from personal criminal liability for dishonour of cheques. The moratorium under IBC applies only to the corporate debtor, not to its directors or signatories who remain liable under the NI Act.