Closing of fir through compromise between both parties.

Until the FIR is not dropped it is still there and can be investigated and activated anytime. It is better to get written withdrawal of FIR from the department and get the FIR drpped or closed.Or ask them to accompnay you to Police station and get their complaint withdrwan.

An offence charged under a section including IPC 353 is a cognizable, non bailable and non compoundable offence.

Whoever assaults or uses criminal force to any person being a public servant in the execution of his duty as such public servant, or with intent to prevent or deter that person from discharging his duty as such public servant, or in consequence of anything done or attempted to be done by such person to the lawful discharge of his duty as such public servant, shall be punished with imprisonment of either descripttion for a term which may extend to two years, or with fine, or with both.

In the above given circumsntance the complaint filed by the president of the RWA, which was subsequently converted into FIR with the sections mentioned thherein, cannot be withdrawn by the complainant.

Then the next option before you is to approch high court with a petition to quash the FIR. High court has inherent power u/sec 482 of Cr. P.C to quash complaint u/sec 353 IPC on the basis of compromise between complainant and accused even though offence is against State in the interest of justice.

These cases are very common in India. Now, since the 2nd party is ready to compromise then you need to file a Quashing Petition in High Court. As per law, you cannot cancel the FIR in Police Station or in Sp office.