Compounding by settlement in criminal defamation can extinguish conviction once the compromise is accepted.

A criminal defamation conviction under Section 500 IPC was set aside after the parties' settlement was accepted and the offence was permitted to be compounded under Section 320(5) CrPC. A joint compounding application supported by affidavits and settlement terms was filed, and the Court found the compromise acceptable. Once compounding was allowed, the conviction could not survive, and the appellants were acquitted of the offence.

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Issues: Whether the offence could be compounded on the basis of the settlement between the parties and, upon such compounding, whether the conviction under Section 500 of the Indian Penal Code could be set aside.

Analysis: A joint application for compounding was filed under Section 320(5) of the Code of Criminal Procedure, 1973, supported by affidavits of both sides and recording the settlement terms. The Court found the settlement acceptable and granted permission to compound the offence. Once compounding was permitted, the conviction could not survive.

Conclusion: The offence was validly compounded and the appellants were acquitted of the offence under Section 500 of the Indian Penal Code.

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