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Judgment
Ajay Tewari, J
The essential facts which have emerged are that due to some accounting error in the year 1993-1994, opening balance in the GPF Account of the petitioner was inflated by Rs. 60,000/- and because of this discrepancy, payment of a portion of his GPF was delayed. The respondents have now recovered the same not only along with normal interest but also with penal interest @ 4%.
Before me, the dispute only is with regard to this amount of 4% penal interest. When I put it to learned Counsel for the respondents that if there was any act of defalcation on the part of the petitioner as a result of which his opening balance was inflated, he could not deny that in fact there was no fault of the petitioner.
In the circumstances, in my opinion, the imposition of penal interest of 4% would be unjust. Consequently, the action of the respondents in recovering the penal interest @ 4% is set aside. The amount now found due be released to the petitioner within two months from the receipt of a certified copy of this order. Petition stands disposed of.