Case Law Analysis
|Himachal Pradesh High Court
Section 138 NI Act | Compounding Permissible Post-Conviction on Settlement & Full Payment : Himachal Pradesh HC Follows Damodar S. Prabhu Precedent
Himachal Pradesh High Court reinforces that courts may compound offences under Section 138 of the Negotiable Instruments Act even after conviction, provided the complainant consents and full payment is made. The ruling aligns with the Supreme Court's Damodar S. Prabhu judgment, offering relief to accused parties who settle cheque bounce disputes post-conviction, ensuring fairness in commercial litigation.