This invention relates to a flat panel display device that is adaptive for perfectly compensating a panel defect by performing an electrical compensation on pixels in a panel defect location, and a method of controlling a picture quality thereof. A flat panel display device according to an embodiment of the present invention includes a display panel which has a non-defect area and a panel defect area; a memory which stores a first compensation, a second compensation data, a third compensation data, a fourth compensation data, and a fifth compensation data; a compensation part; and a driver for driving the display panel in use of the data modulated by the compensation part.