Provided that no prosecution for an offence under section 41 shall be instituted in respect of the same contravention for which a penalty has been imposed under thissection.

Payment and disbursement of amounts wrongly collected by dealers as tax.—

1. (1) Where any amount is collected by way of tax or purporting to be by way of tax from any person by any dealer in contravention of section 4, whether knowingly or not, such dealer shall pay the entire amount so collected to the assessing authority within thirty days after the close of the month in which such amount was collected, notwithstanding that the dealer is not liable to pay such amount as tax or that only a part of it is due from him as tax under this Act.
2. (2) If default is made in payment of the amount in accordance with sub-section (1),— 1. the whole of the amount outstanding on the date of default shall becomeimmediately due and shall be a charge on the properties of the dealer; 2. the dealer liable to pay the amount shall pay interest at the rate of one and one half percent of such amount for each month of default; and 3. the whole of the amount remaining unpaid along with the interest calculated under clause (ii) of this sub-section shall be recoverable in the manner specifiedin section 19.
3. (3) Notwithstanding anything contained in this Act or in any other law for the time being in force, any amount paid or payable by any dealer under sub-section (1) shall, to the extent it is not due as tax, be forfeited to the Government and be recovered from him and such payment or recovery shall discharge him of the liability to refund the amount to the person from whom it was collected.
4. (4) Where any amount is paid or recovered from any dealer under sub-section (1) or sub-section (3), as the case may be, a refund of such amount or any part thereof can be claimed from the Government by the person from whom it was realized by way of tax provided an application in writing in the prescribed form is made to the Commissioner, within two years from the date of the order of forfeiture. On receipt of any such application, the Commissioner shall hold such inquiry as he deems fit and if the Commissioner is satisfied that the claim is valid and admissible and that amount as claimed as refund is actually paid or recovered, he shall refund the amount or any partthereof, which is found due to the persons concerned: Provided that a fund shall be established by the Government within three months from the commencement of this Act from the amounts forfeited or recovered except for the amounts refunded as aforesaid to the persons concerned, and after deducting the expensesof collection and recovery as determined. The fund shall be administered in the prescribed manner and the amount in the fund shall be utilized for meeting the expenses of any welfare activity by Governmental or non-Governmental organization functioning in the State or credited to Chief Minister‘s Relief Fund.