(1) An offence punishable under clause (b) of sub-section (1) of section 39 may be compounded on the application of the accused before or after the institution of the prosecution by such officers as may be notified by the State Government after imposing fifty per cent of minimum fine prescribed for the offence as compounding fee along with minimum prescribed fine:
Provided that the remedy for compounding shall be available for the first offence only.;
(2) Every officer referred to in sub-section (1) shall exercise the power to compound an offence subject to the direction, control and supervision of the State Government.
(3) Every application for the compounding of an offence shall be made in such form and in such manner as may be prescribed.
(4) Where any offence is compounded before the institution of any prosecution, no prosecution shall be instituted in relation to such offence, against the offender in relation to whom the offence is so compounded.
(5) Where the composition of any offence is made after the institution of any prosecution, such composition shall be brought by the officer referred to in sub-section (1) in writing to the notice of the court in which prosecution is pending and on such notice of the composition of the offence being given, the person against whom the offence is so compounded shall be discharged.