(1) An applicant may, either before or after institution of prosecution, make an application under sub-section (3) of section 137 in the form appended See Customs Series Form No. 124 in Part 5 to these rules, to the compounding authority for compounding of the offence.

Explanation. - Where an offence has been committed at more than one place falling under the jurisdiction of more than one compounding authority, then the Principal Chief Commissioner or Chief Commissioner, as the case my be of Customs having jurisdiction over such place where the value of goods seized, or the amount of duty evaded or attempted to be evaded or amount of export incentives wrongly claimed or attempted to be claimed wrongly is more than others shall be the competent authority.