]IN THE HIGH COURT OF JUDICATURE AT PATNA CWJC No.1441 of 2011 Tarkeshwar Prasad son of Ayodhya, resident of village and post Cheful police station Manjhi, Saran Chapra, at present residing at Mohalla Dahiawan East Jagdamba Raod, near house of Ganesh Singh Master, Chapra, P.O. Sahebganj, Chapra, …Petitioner Versus 1. The Bihar State Food & Civil Supplies Corporation Ltd. (Government of Bihar Undertaking), Sone Bhawan 5th Floor, Birchand patel Path, Patna-1, through its Managing Director. 2. The Managing Director, the Bihar State Food & Civil Supplies Corporation Ltd. (Government of Bihar Undertaking), Sone Bhawan 5th Floor, Birchand Patel Path, Patna-1 3. The Chief of Administration, Bihar State Food & Civil Supplies Corporation Ltd. Sone Bhawan 5th Floor, Birchand patel Path, Patna-1 4. The Chief of Claim, The Bihar State Food & Civil Supplies Corporation Ltd., Sone Bhawan 5th Floor, Birchand Patel Path, Patna-1 …Respondents For the petitioner :Mr. Nityanand Mishra For the respondent :M/s R.S.Pradhan Sr. counsel & A. N. Rai ----------- 05. 24.08.2011 Heard learned counsel for the petitioner and learned counsel for the Respondent-Corporation. Petitioner while serving the Respondent-Bihar State Food & Civil Supplies Corporation Ltd.(for short ‘the Corporation’) earned a departmental proceeding for misappropriating food grains of the Corporation. On a conclusion of the proceeding, he was inflicted punishment of dismissal from service. Said proceeding was initiated against him in the year 1997 and ultimately the final order was passed thereon on 22.9.2003. Aggrieved by the aforesaid order, petitioner filed writ petition in this Court which was allowed and 2 the order imposing punishing of dismissal from service was set aside granting liberty to proceed afresh in accordance with law. The Respondent-Corporation filed writ appeal thereagainst which was disposed of with certain clarifications. In sum and substance, the Respondent-Corporation were granted liberty to proceed afresh against the petitioner in accordance with law. Accordingly, a proceeding was initiated afresh. During the pendency of the said proceeding, the petitioner retired with effect from 31.7.2007. The proceeding was, however, continued in terms of rule 43(b) of the Bihar Pension Rules. On a conclusion of the proceeding an order dated 8.8.2010 (Annexure-12/A) was passed, whereby the petitioner was inflicted punishment of recovery of loss sustained by the Corporation in the sum of Rs.1,14,114.00 with interest grossed at Rs. 2.52,393,54. As per the said order, the petitioner was required to replenish the Corporation in the sum of Rs. 3,66,507.54 for the loss sustained by the Corporation. Learned counsel for the petitioner made diverse submissions in support of the application. It is contended that the rate of interest charged on the actual loss sustained by the Corporation and quantified in the order is excessively high. In this regard, he draws attention of the Court to the office order issued under the signature of the Chairman-cum-Managing Director of the Corporation as contained in Annexure-13 series (at page 74 of the brief). Based on the recitals made therein, it is contended that it has been resolved that if the departmental 3 proceedings have protracted for a long period and the matter concerns loss sustained by the Corporation on account of misconduct/criminal act of the employee, the rate of interest would be fixed at 6 per cent simple interest per annum. In other case(s), it has been fixed at 18 per cent per annum. Learned counsel submits that since the proceeding prolonged for more than 06 years, the respondents would not be justified in charging the interest on higher side. Learned counsel for the Respondent-Corporation draws attention of the Court to the averments made in the counter affidavit filed on behalf of the Respondent-Corporation. It appears from perusal of the averments made in paragraph 21 thereof that for the period 1995-96 to 2003-04, the respondents have charged 18 per cent simple interest and for the period 2003-04 to 2009-10, they have charged varied rate of interest between 10 per cent to 14 per cent which they claim to be the bank lending rate. There is no dispute between the parties that the proceeding continued for more than six years when ultimately the final order was passed whereby he was inflicted with certain punishment(s). There is also no dispute that the petitioner assailed the aforesaid order in this court which was set aside with certain liberty. It is also not in dispute that thereafter the matter remained pending for more than five years. The respondents have decided, in principle, that in such matters the rate of interest to be charged on the defalcated amount and/or 4 the amount of loss sustained by the Corporation would range between 6 per cent to 18 per cent. Having heard the parties and on a consideration of materials on record, this Court is of the view that in the backdrop of the facts that the proceeding continued for close to six years and after intervention of this Court the matter again remained pending before the Respondent-Corporation for more than five years, the respondents cannot be said to be fair in charging higher/excessive rate of interest. Learned Sr. counsel for the Respondent-Corporation has drawn attention of the Court to a judgment since reported in 2010 (2) PLJR 342 (Subhash Chandra Singh vs. The Bihar State Food & Civil Supplies Corporation Ltd. & Ors.) rendered by a Division Bench of this Court. From perusal whereof it appears that this Court found the action of the Respondents Corporation in such matters charging 18 per cent interest on the defalcated amount excessive and reduced the rate of interest to 11 per cent per annum. On hearing both sides, I am satisfied that the rate of interest charged on the misappropriated/defalcated amount as per the calculation set out in the counter affidavit is on the higher/ excessive side and the same is required to be recalculated @ 11% per annum. Let the respondents recalculate the amount to be recovered from the petitioner by virtue of the order contained in Annexure-12/A within three weeks from the date of receipt/production of a copy of this order before respondent 5 no.3 ( The Chief of Administration, Bihar State Food & Civil Supplies Corporation Ltd. Sone Bhawan 5th Floor, Birchand Patel Path, Patna) and provide the same to the petitioner. The respondent shall thereafter proceed to pay the post retiral dues admissible to the petitioner after adjusting the aforesaid amount within a period of eight (08) weeks thereafter. Let it be recorded that this Court has not gone into other aspects of the matter for which the petitioner is granted liberty to approach the Respondent-Corporation by making appropriate application ventilating these grievances which shall be considered and disposed of in accordance with law. The writ application stands disposed of. hr ( Kishore K. Mandal )