STATE OF BIHAR Vs. KEDAR NATH JHA

JUDGEMENT

(1.) IN spite of valid service of notice respondent no. 1 has not appeared.

(2.) HEARD learned counsel for the appellants on the point of limitation. Taking into consideration the facts and circumstances mentioned in the limitation petition it appears that sufficient cause has been shown to condone the delay in filing this appeal. Accordingly delay in filing this appeal is condoned and the limitation petition is allowed.

(3.) THIS appeal is directed against the ORDER :dated 11.5.2000 passed by the learned Single Judge in C.WJ.C. No. 8360 of 1999* by which a direction has been issued for payment of penal interest of 18% per annum on the amount of leave encashment from the due date till the date of payment and on provident fund amount up -to -date statutory interest to respondent no.1. This apart a cost of Rs. 5,000/ - has been allowed to be recovered from the person responsible for delay. We fully agree with the view taken by the learned single Judge that there was delay in payment of G.P.G. amount and as such respondent is entitled to the statutory interest till payment is made. So far as imposition of penal interest of 18% on am punt of leave encashment is concerned we are of the view that respondent no. 1 did not bring the matter to the notice of the authority concerned by filing a petition as such he is entitled to only 10% interest till the date of payment of leave encashment. Accordingly the ORDER :for payment of 18% penal interest is modified and it is ORDER :ed that respondent no. 1 is entitled to payment of interest at the rate of 10% per annum till the amount was paid. If any amount in excess of that has been paid then respondent no. 1 is directed to refund the same.