Can I claim compensation if I was falsely accused and later acquitted?

Indian law doesn't provide a broad, automatic statutory right to compensation simply for having been prosecuted and later acquitted — an acquittal by itself doesn't mean the original prosecution was unlawful or malicious, since the state is generally entitled to prosecute based on evidence available at the time.

However, if you can show the prosecution was initiated maliciously, without reasonable or probable cause, and caused you genuine loss (financial, reputational, or otherwise), you may be able to pursue a civil claim for damages for malicious prosecution against the person who set the criminal process in motion against you.

Separately, if your arrest or detention itself involved specific illegality — such as being held beyond permissible limits without proper procedure, or subjected to custodial abuse — you may have a distinct claim for compensation for that specific violation, independent of the outcome of the underlying case. Given how fact-specific and legally nuanced this area is, it's worth having a lawyer assess whether the specific circumstances of your case support either of these routes.