The Nagaland Protection of Interests of Depositors (in Financial Establishment) Act, 2014State Act of Nagaland · Act 9 of 2015
(1) An offence punishable under section 5 may, before the institution of the prosecution, be compounded by the Competent Authority or after the institution of the prosecution, be compounded by the Competent Authority with the permission of the Special Court, on payment of the entire amount due to the depositors with or without interest.
(2) When an offence has been compounded under sub-section (1), no proceeding or further proceeding, as the case may be, shall be taken or continued against the offender, in respect of the offence so compounded and the offender, if in custody shall be discharge forthwith.
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