Mediation Settlement Does Not Erase Criminal Liability, But Can Support Bail: Delhi High Court

The Delhi High Court held that a settlement reached through mediation does not absolve an accused of criminal liability, but can be a relevant factor while considering bail.

The case involved allegations of cheating in a financial transaction, where parties later entered mediation and agreed to a settlement, with over half the amount already repaid.

The Court clarified that criminal liability must still be determined independently.

However, it emphasised that the accused’s conduct, willingness to resolve the dispute, and partial compliance can weigh in favour of granting bail, particularly when custodial interrogation is not required.

[Manish Yadav  v. State of NCT of Delhi & Anr.]