(1) The Chairperson or any person authorised by him by general or special order in this behalf may, either before or after the institution of the proceedings, compound any offence made punishable by or under this Act:
Provided that no offence shall be compoundable which is committed by failure to comply with a notice, order or requisition issued by or on behalf of the Council or of the Chairperson unless and until the same has been complied with so far as the compliance is possible.
(2) Where an offence has been compounded, the offender, if in custody shall be discharged, and no further proceedings shall be taken against him in respect to the offence so compounded.