IN THE HIGH COURT OF PUNJAB & HARYANA, CHANDIGARH CWP No. 1575 of 2008 Date of Decision: March 20, 2008 Vipin Kwatra ...........Petitioner Versus State of Haryana and others ..........Respondents Coram: Hon'ble Mr.Justice Surya Kant Hon'ble Mrs. Justice Sabina Present: Mr.R.S.Mamli, Advocate for the petitioner. Ms. Palika Monga, AAG Haryana * * * Surya Kant, J. Written statement filed on behalf of respondent Nos. 1 to 4 is taken on record. In this civil writ petition, the petitioner seeks a direction to the respondents to release the security amount of Rs.1,50,000/- deposited by him on 17-3-2006 and 25.3.2006 along with interest at the rate of 18% per annum. The petitioner had given a bid for taking licence of L- 14A on 11.3.2006 and as per the terms and conditions thereof deposited 5% of the bid amount on 17.3.2006 (Rs. one lac) and 25.3.2006 (Rs. fifty thousand) respectively. The petitioner, however, was not allotted the liquor vend. He, accordingly, sought for the refund of the aforesaid amount on 13.11.2006. There being no refund, the petitioner has approached this CWP No.1575 of 2008 -2- Court through the present writ petition. Notice of motion was issued and in response thereto, written statement has been filed on behalf of respondent Nos. 1 to 4, which is taken on record. As per the averments made in the written statement, the security amount of Rs. 1,50,000/- has now been refunded to the petitioner vide refund voucher dated 15.3.2008, a copy of which has been appended as Annexure R1. While the petitioner claims interest on the delayed refund, the learned State Counsel argues that there is no provision under the Punjab Excise Act and/or Excise Policy framed by the State Government to grant interest on refund. The petitioner had deposited the aforementioned amount as a security being a prospective allottee of the liquor vend . No such vend was allotted to him. The respondents, thus, had no occasion to withhold the security amount. No explanation, whatsoever, is unveiled as to why the refund of the security amount was withheld when no liquor vend was allotted to the petitioner. Every State action must stand to the test of fairness. We are,therefore, of the view that the respondents are liable to pay interest to the petitioner on the withheld amount, at least from November,2006 when he demanded the refund till the actual payment thereof. We accordingly, direct that the interest at the rate of 7% be paid to the petitioner with effect from 1.12.2006 till the actual payment CWP No.1575 of 2008 -3- of the security amount. The arrears of interest shall be paid to the petitioner within a period of three months from today. ( Surya Kant ) Judge ( Sabina ) Judge March 20, 2008 arya