RAJENDRAN vs N.MOHANAN

The Supreme Court upheld the conviction of the appellant under Section 138 of the Negotiable Instruments Act, 1881, but modified the sentence to a fine of Rs. 2.00 lakhs as compensation under Section 357(1) of the Code of Criminal Procedure. Following a compromise between the parties, the Court allowed the appeal, set aside the conviction, and acquitted the appellant, noting that the offence under Section 138 is compoundable. The appellant was ordered to be released from custody as the settlement was confirmed by both parties.