Interim Compensation under Section 143A of NI Act Not mandatory: SC

Rakesh Ranjan Shrivastava Vs State of Jharkhand & Anr. (Supreme Court of India) Supreme Court in Rakesh Ranjan Shrivastava vs. State of Jharkhand & Anr. addressed the issue of whether Section 143A(1) of the Negotiable Instruments Act, 1881, which allows for interim compensation in cheque dishonor cases, is mandatory or discretionary. The case arose from a complaint under Section 138 of the NI Act, where the complainant alleged that the appellant had agreed to pay Rs. 4.25 crore but failed to honor a cheque of Rs. 2.2 crore. The trial court took cognizance of the complaint, and the resp...