THE HON'BLE SRI JUSTICE L.NARASIMHA REDDY WRIT PETITION No.870 of 2004 ORDER: The petitioner joined the service of erstwhile A.P. Electricity Board and thereafter, became the employee of the A.P. Central Power Distribution Company Limited after re-organization. Up to the year 1985, he worked as Foreman and thereafter, he was promoted as Additional Assistant Engineer. The General Provident Fund Scheme is prevalent in the organization. The amounts deducted towards contribution to the provident fund were being credited to the account properly up to the stage, the petitioner functioned as Foreman. However, remittances were not made after the petitioner was promoted for a period of four years between 1986 and 1989 on the ground that the account number was not assigned. The petitioner retired from service in the year 2001. He was paid the General Provident Fund together with interest for the entire period of service, except the period between 1986 and 1989 on the ground that the contributions were not credited to the account. The petitioner raised dispute in this regard. The respondents realized their mistake and paid a sum of Rs.3,081/- being the contribution for that period in the year 2003. The petitioner contends that he is entitled to be paid interest on the amount recovered from him towards contribution of the General Provident Fund for the period during which the respondents had the amount with them. The respondents filed a counter-affidavit admitting the factum of their failure to remit the contribution from 1986 to 1989. It is stated that the petitioner was already paid the amount contributed by him. In that view of the matter, they are not liable to pay any further amount. Heard the learned counsel for the petitioner and the learned Standing Counsel for the respondents. The controversy is in a very narrow compass. It is in relation to the calculation of interest on the sum of Rs.3,081/-. There is no denial of the fact that the said amount was not credited to the General Provident Fund, though it was recovered from the petitioner towards contribution. Clause 15 of the A.P. State Electricity Board General Provident Fund Regulations provides for payment of interest on the contribution made by an employee. The method of calculation of interest is also indicated. According to this, the amount that is to the credit of a subscriber at the last date of preceding year shall carry interest. The interval for calculation of interest is 12 months. Thereby, the interest that is earned in a particular year would stand added to the contribution as well as the accrued interest in the next year. In a way, the compound interest is to be levied with rests of one year. Thus calculated, the amount of Rs.3,081/- would become Rs.16,985/-. The petitioner was paid the principal, but not the interest. Having regard to the facts and circumstances, this Court is of the view that the ends of justice would be met if the respondents are directed to pay a sum of Rs.15,000/- to the petitioner, representing the component of interest and costs of this writ petition. Hence, the writ petition is allowed directing the respondents to pay a sum of Rs.15,000/, within a period of four weeks from today. ________________________ L.NARASIMHA REDDY,J Dt:11.11.2010 kdl