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Extracted from Debian GNU/Linux's package:

[...]

Compface - 48x48x1 image compression and decompression
Copyright (c) James Ashton 1990.
Written 89/11/11

Feel free to distribute this source at will so long as the above
message and this message are included in full.

This copyright message dosn't specify whether modified version is allowed,
but the following mail from the author does allow them:

> From: James Ashton <James.Ashton@syseng.anu.edu.au>
> Subject: Re: Bug#72019: compface not DFSG
> Date: Wed, 20 Sep 2000 09:48:34 +1100 (EST)
> 
> >On Tue, Sep 19, 2000 at 08:58:43AM -0400, Raul Miller wrote:
> >> Package: compface
> >> Version: 1989.11.11-17.1
> >> Severity: important
> >>
> >> compface's copyright doesn't grant permission to
> >> distribute modified versions
> >
> >The compface copyright says:
> >
> >Feel free to distribute this source at will so long as the above
> >message and this message are included in full.
> >
> >
> >Which could be interpretated as it is allowed to distribute modified
> >versions of it. James Ashton is the original author, would you care to
> >clairify the matter, mr Ashton?
> 
> I don't mind modified versions being distributed.  Please included the
> original copyright notices as specified and also prominently note, if
> it is a modified version, the nature and author(s) of the
> modifications.
> --
> James Ashton                  VK1XJA                    System Administrator
> http://wwwsyseng.anu.edu.au/~jaa                   Department of Systems Engineering
> Voice +61 2 6279 8675  Research School of Information Sciences and Engineering
> FAX   +61 2 6279 8688                         Australian National University
> Email James.Ashton@anu.edu.au                    Canberra ACT 0200 Australia
> 

Another peoblem with the copyright of this source code is that the
copyright message in the source files and in the readme file is conflicting.
The following mail from the author should clear that up:

> From: James Ashton <James.Ashton@syseng.anu.edu.au>
> Subject: Re: libcompface license (again)
> Date: Thu, 22 Feb 2001 09:32:23 +1100 (EST)
> 
> >Hi,
> >I'm maintaining the debian pkg of your compface lib, and I've talket to you
> >before about it's license. And now ouer legal people have found another
> >problem. The sourcefiles contains a diffrent copyright notice than the
> >redmefile. They say:
> >

/*
 *  Compface - 48x48x1 image compression and decompression
 *
 *  Copyright (c) James Ashton - Sydney University - June 1990.
 *
 *  Written 11th November 1989.
 *
 *  Permission is given to distribute these sources, as long as the
 *  copyright messages are not removed, and no monies are exchanged. 
 *
 *  No responsibility is taken for any errors on inaccuracies inherent
 *  either to the comments or the code of this program, but if reported
 *  to me, then an attempt will be made to fix them.
 */

> >
> >The problem is the last part "no monies are exchanged". As you probably=20
> >know we do allow third party companies to produce debian CDs and sell them.
> >So this statement would inmply that we can't have your libcompface in
> debian
> >at all.
> 
> I'm happy to remove the phrase no monies are exchanged' from the
> source and allow distribution as per the README file.  Do you need more
> from me than just this email?
> --
> James Ashton                    VK1XJA                    System Administrator
> http://wwwsyseng.anu.edu.au/~jaa             Department of Systems Engineering
> Voice +61 2 6125 8675  Research School of Information Sciences and Engineering
> FAX   +61 2 6125 8660                           Australian National University
> Email James.Ashton@anu.edu.au                      Canberra ACT 0200 Australia