IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH. L.P.A. No.411 of 2010 (O&M) Date of decision: 19.5.2010 Haryana Warehousing Corporation. -----Appellant Vs. Lal Chand Sharma. -----Respondent CORAM:- HON'BLE MR. JUSTICE ADARSH KUMAR GOEL HON'BLE MR. JUSTICE ALOK SINGH Present:- Mr. Ashwani Talwar, Advocate for the appellant. --- ORDER: 1. This appeal has been preferred against order of learned Single Judge, directing release of retiral benefits with interest @ 9% from the date of retirement till payment. 2. The respondent retired after rendering 33 years of service. His retirement dues were withheld on account of pendency of a chargesheet, which ultimately resulted in order of recovery of Rs.1 lac and penalty of 25% cut in pension for three years. 3. The respondent claimed that the balance amount should be paid to him and he was entitled to interest for the delay. LPA No.411 of 2010 4. Learned Single Judge upheld the claim of the respondent. 5. We have heard learned counsel for the appellant. 6. Learned counsel for the appellant submits that since there was justification for withholding the amount of retiral benefits, on account of pendency of disciplinary proceedings which resulted in order of recovery and imposition of cut in pension, there was no liability to pay interest. 7. It is not disputed that the respondent was entitled to benefits exceeding the amount of Rs.1 lac. The respondent, thus, having been deprived of the use of the said amount, could be allowed interest. On the other hand, the appellant benefited by keeping the amount for the period in question. The interest which has been awarded is not penal but compensatory. 8. In these circumstances, we do not find any ground to interfere with the view taken by learned Single Judge. 9. The appeal is dismissed. ( ADARSH KUMAR GOEL ) JUDGE May 19, 2010 ( ALOK SINGH ) ashwani JUDGE 2