Topic

dishonour of cheque

1 articleLatest May 2026
Section 138 NI Act | Imprisonment Waived Upon Double Cheque Compensation to Legal Heirs: AP HC Affirms Compensatory Over Punitive Approach
|Andhra Pradesh High Court

Section 138 NI Act | Imprisonment Waived Upon Double Cheque Compensation to Legal Heirs: AP HC Affirms Compensatory Over Punitive Approach

The Andhra Pradesh High Court upheld conviction under Section 138 of the Negotiable Instruments Act but waived imprisonment upon payment of twice the cheque amount as compensation to the legal heirs of the deceased complainant. The ruling reinforces the statute's compensatory intent, prioritizing restitution over punitive incarceration for dishonored cheques.