Rule 9 - Contraventions not to be Compounded in Certain Cases - Foreign Exchange (Compounding Proceedings) Rules, 2024

Contraventions not to be Compounded in Certain Cases . - 9. No contravention shall be compounded, - (a) where the amount involved is not quantifiable; or (b) where the provisions of section 37A of the Act are applicable; or (c) where the Directorate of Enforcement is of the view that the proceeding relates to a serious contravention suspected of money-laundering, terror financing or affecting the sovereignty and integrity of the nation, the compounding authority shall not proceed with the matter and shall remit the case to the appropriate Adjudicating Authority for adjudicating contravention under section 13; or (d) where the Adjudicating Authority has already passed an order imposing penalty under s ection 13 of the Act; or (e) where the compounding authority is of the view that the contravention involved requires further investigation by the Directorate of Enforcement to ascertain the amount of contravention under section 13 of the Act.