
Case Law Analysis
|Himachal Pradesh High Court
Section 138 NI Act | Compounding Permissible Even After Conviction: Himachal Pradesh HC Imposes 5% Compounding Fee
The Himachal Pradesh High Court ruled that offences under Section 138 of the Negotiable Instruments Act can be compounded even after conviction, provided the accused settles the amount with the complainant. The court mandated a 5% compounding fee, setting a precedent for post-conviction settlements in cheque dishonour cases.
