Compounding of offences.— (1) Any offence punishable with fine only under this

Compounding of offences.— (1) Any offence punishable with fine only under this Act may, either before or after the institution of the prosecution, be compounded by such officer or authorities and for such amount as the Government may, by notification in the Official Gazette, specify in this behalf. 2) Where an offence is compounded under sub-section (1), no proceeding or further proceeding, as the case may be, shall be taken against the offender in respect of the offence so compounded and the offender, [if in custody, shall be released forthwith.]