Section 13. Compounding of offences.

(1) Any offence punishable under the Act, may before the institution of the prosecution, be compounded by such officer as may be authorized by the Government in this behalf, on payment, of such sum as such Officer may order which shall not exceed the amount of fine prescribed for such offence. (2) Where any offence has been compounded under sub-section (1) no proceedings shall be taken against the offender, in respect of the offence as compounded and the offender, if in custody, shall be discharged. 1[(3) The proceeds from the compounding of the offences under subsection (2) shall be remitted in the Government Treasury under appropriate head].