Compounding under FEMA requires a standardized application detailing applicant identity, residence, contravention and fee disclosure for processing. The compounding application requires applicant identity and address, residency status, name of the adjudicating authority, the nature of the contravention, a brief statement of facts, details of the compounding fee, any other relevant information, a certified copy of the memorandum issued, and a signed declaration consenting to directions or orders of the Compounding Authority.