Section 16. -Power to compound offences

The 26[Controller or any other officer authorized for specific offences by the State Government] may accept, from any person who is reasonably suspected of having committed an offence punishable under this Act, a sum of money not exceeding 27[two lakh fifty thousand rupees] by way of composition for the offence which may have been committed and in all the cases in which any property has been seized is liable to forfeiture under this Act, may release the same on payment of value thereof as estimated by him. On payment of such sum of money or value or both, as the case may be, to the Controller, the accused, if in custody, shall be discharged and the property seized shall be released and no further proceeding shall be taken against such person or property.