Case Law Analysis
|Madhya Pradesh High Court
Section 138 NI Act | Compounding at Revision Stage Mandates 15% Cost to State Legal Services Authority : MP HC Gwalior Reinforces Damodar S. Prabhu Guidelines
Madhya Pradesh High Court rules that compounding cheque bounce offences under Section 138 NI Act at the revision stage requires payment of 15% of the cheque amount as costs to the State Legal Services Authority. The decision reinforces the Supreme Court's Damodar S. Prabhu guidelines, deterring delayed settlements and ensuring compliance with judicial directives in financial disputes.