(1)A Farmer's Organisation may accept from any person who committed or in respect of whom a reasonable belief can be inferred that he has committed an offence punishable under this Act or the rules made thereunder, a sum of rupees one hundred or an amount equivalent to the loss caused to the Farmer's Organisation which ever is higher as a consideration for compounding of such offence.(2)On payment of such sum of money, the said person, if in custody, shall be discharged and no further proceeding shall be taken against him in regard to the offence, so compounded.Chapter-VI Settlement of Disputes
