CONCILIATION under Part III (Sections 61-81) of the Arbitration and Conciliation Act 1996 is:

1. PART III of the Arbitration and Conciliation Act 1996 (Sections 61-81) provides for CONCILIATION as an ADR mechanism. 2. CONCILIATION is a NON-BINDING process where a CONCILIATOR (mutually agreed upon) assists the parties in reaching an AMICABLE SETTLEMENT. 3. KEY FEATURES: 4. (i) Section 65: Conciliator's role — to ASSIST parties to reach amicable settlement; 5. (ii) Section 66: Conciliator not bound by Code of Civil Procedure or Indian Evidence Act; 6. (iii) Section 67: Conciliator may make proposals for settlement; 7. (iv) Section 73: Successful conciliation results in SETTLEMENT AGREEMENT signed by parties; 8. (v) Section 74: A SETTLEMENT AGREEMENT shall have the SAME STATUS AND EFFECT as if it were an ARBITRAL AWARD on agreed terms — enforceable as such. 9. (vi) Section 75: CONFIDENTIALITY of conciliation proceedings. 10. (vii) Section 81: ADMISSIBILITY of evidence — proposals, admissions during conciliation are not admissible in other proceedings. 11. Hence option B is correct. _Source: Arbitration and Conciliation Act 1996 (Bare Act) + Mediation Act 2023 — Arbitration and Conciliation Act 1996, Part III (Sections 61-81)_