Definition
An offence that can be settled between the accused and the victim/complainant, with court permission. NI Act Section 138 (cheque bounce) is a compoundable offence — the drawer and payee can settle the matter out of court even during appeal, and the court will acquit the accused. Most serious banking fraud offences under IPC S.409 and S.420 are non-compoundable.
Related Terms
NI ActCheque BounceSettlement
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Defined by Advocate Subodh Bajpai, Senior Partner, Unified Chambers and Associates