Offence u/s.138 of Negotiable Instruments Act can be compounded at the discretion of Complainant

The word ‘compromise’ itself signifies an agreement between the two parties to compound the offence. If the parties do not agree to compound the offence, the Court has to proceed with the complaint. It is different thing that the Court on considering the offer of payment of cheque amount plus cost may not award a punishment of imprisonment and may only award penalty plus compensation.

But the Court cannot force the respondent to enter into a compromise on deposit of cheque amount or the penalt

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