- (1.) This is an appeal by Sanatan Dharm College Society-Defendant against Ram Kishan plaintiff from the judgment of Shri Sarup Chand Goyal, Sub-Judge, 1st Class, Ambala, decreeing a sum of Rs. 7,957 with future interest at the rate of 6 per cent per annum from the date of suit till realisation and costs of the suit to be calculated on a sum of Rs. 17,555.75.
(2.) On May 11, 1925, the plaintiff joined service of the defendant as Lecturer. According to the terms of service, he had to contribute towards provident fund. The defendant also had to contribute to it the amount equal to the amount contributed by the plaintiff. The amount so accumulated was payable to the plaintiff. The plaintiff continued service after partition of the country with some period of break until his services were terminated on Oct. 20, 1953. He demanded the amount of the provident fund due to him but the same was not paid to him. Attempts for settlement between the parties did not bear fruit. On April 2, 1955, the defendant wrote to the Punjab University that the amount due to the plaintiff on account of provident fund stood at Rs. 12,599/13/1. Finding that the payment was not forthcoming, the plaintiff filed suit on Aug. 22, 1959 for recovery of Rs. 18,500. During the pendency of the suit, the plaintiff was paid Rs. 9,598.75. The two issues, which were really contested, were as to what was the amount of the provident fund, to which the plaintiff was entitled and whether the plaintiff was entitled to claim interest by way of damages at the rate of 6 per cent per annum. The trial Court found that the plaintiff was entitled to claim Rs. 17,555.75 inclusive of interest of Rs. 4,424 as damages at 6 per cent per annum. After allowing adjustment of Rs. 9,598.75 received by the plaintiff from the defendant after the institution of the suit, the trial Court passed decree in favour of the plaintiff against the defendant for Rs. 7,957 inclusive of the said amount of interest. The trial Court, however, awarded costs on Rs. 17,555.75. The present appeal is directed against the award of interest and costs to the plaintiff.
(3.) There being neither any agreement for payment of interest between the parties nor the plaintiff being entitled to claim interest on the ground of custom or usage, there is no justification for the award of interest of Rs. 4,424 by way of damages to the plaintiff. It has to be excluded from1 the amount decreed. The plaintiff is, however, entitled to interest at 2 per cent per annum on the sum of Rs. 3,533, which is equivalent to the difference between Rupees 7,957, the amount decreed and Rs. 4,424, the interest allowed, from March 1, 1948 to April 2, 1960, when that amount out of the provident fund remained deposited in bank and earned interest at that rate. The respondent is entitled to costs only on Rupees 12,599.81 claimed by the plaintiff and not on Rs. 17,555.75.;