Composition of offences under Industrial Relations Code allows compounding with fixed percentages payable to Social Security Fund.

The Industrial Relations Code allows specified offences to be compounded on application by a Gazetted Officer designated by the appropriate Government for fixed sums-50% of the maximum fine for fine-only offences and 75% for offences with imprisonment up to one year or with fine-with those sums credited to the Social Security Fund. Compounding follows prescribed procedure and government supervision, bars repeat compounding within three years of a similar compounded or convicted offence, prevents prosecution if compounded pre-prosecution, requires notification and discharge if compounded post-prosecution, and imposes an additional 20% penalty for noncompliance.

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