Cheque Bounce Law
Compounding of Cheque Bounce Case
The settlement of a cheque dishonour case between the complainant and accused, typically involving payment of the amount, resulting in the criminal proceedings being closed.
Cheque bounce cases are generally compoundable, meaning the parties can settle at any stage — even during appeal — and have the case closed once the complainant confirms the matter is resolved, reflecting the underlying purpose of recovering the money rather than purely punitive prosecution.
Courts often actively encourage settlement in such cases, given how common and largely civil in nature the underlying dispute typically is.
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