If a fine is imposed under this Act, the Panchayat may order compensation.

(1) If a fine is imposed under the provisions of this section and such a fine is not paid the Panchayat shall record an order declaring the amount of fine imposed and that it has not been paid and shall send the same to the nearest Judicial Magistrate who shall proceed to execute it as if it were an order passed by himself, and such Judicial Magistrate may sentence the accused to imprisonment in default of payment of the whole or any part of the fine. (2) The fine shall be applied— (a) in defraying expenses properly incurred in the case by the complainant; (b) in compensation for any material damage or loss caused by the offence committed.