39Collector's power to refund penalty paid under section 38, sub-section (1).

(1) When a copy of an instrument is sent to the Collector under section 38, sub-section (1), he may, if he thinks fit, ¹*** refund any portion of the penalty in excess of five rupees which has been paid in respect of such instrument.
(2) When such instrument has been impounded only because it has been written in contravention of section 13 or section 14, the Collector may refund the whole penalty so paid.