|Madhya Pradesh High Court
Section 138 NI Act | Compromise After Conviction Justifies Acquittal Regardless of Stage : MP HC Gwalior
The Madhya Pradesh High Court has ruled that a voluntary compromise between parties in a cheque bounce case under Section 138 of the NI Act permits acquittal even after conviction, affirming the absolute compoundability of the offense. This removes any procedural barrier to settlement and empowers litigants to resolve disputes at any stage, reinforcing the Act’s intent to promote commercial harmony over punitive outcomes.