VARINDER KUMAR Vs. STATE OF PUNJAB & ANOTHER

JUDGEMENT

(1.) Grievance raised in this petition is against demand of interest under Rule 4(5) of the Punjab State Agricultural Marketing Board (Sale and Transfer of Plots) Rules, 1999 even after the necessary payments were made.

(2.) Case of the Petitioner is that a plot was allotted to him in the Grain Market at Mansa vide letter dated 8.12.2009. The entire payment having already made, the Estate Officer, Punjab Mandi Board issued letter dated 3.9.2010 raising demand for interest which also covered the period after the deposit on the ground that the above Rule enabled such liability to be created if the payment was beyond 30 days from the date of issuance of the allotment letter. Aggrieved thereby, this petition has been filed on the ground that the Rule has been misread and once the entire payment is made, no interest could be claimed thereafter. Alternatively, prayer has been made to quash the Rule, as being arbitrary.

(3.) The Mandi Board has contested the petition by submitting that once the payment was not made within 30 days, the interest liability will continue for two years irrespective of payment earlier.