R.Raju vs K.Sivaswamy

The Supreme Court upheld the principle that under Section 147 of the Negotiable Instruments Act, 1881, parties can compound an offence after reaching a settlement. The Court set aside the conviction under Section 138 of the Act, acquitting the appellant due to the complainant's lack of objection following the settlement. The Court imposed exemplary costs of Rs. 50,000 to be deposited with the National Legal Services Authority for wasting public time, emphasizing the need for accountability in such cases.