Section 8. Penalty and compensation

(1) The State Public Service Delivery Commission may impose a lump sum penalty against the Designated officer for failure to deliver or render services to which the applicant is entitled. Such lump sum penalty may extend up to five thousand rupees at the first instance and up to twenty thousand rupees for repeated instances which shall be recovered from the officer against whom the penalty has been imposed : Provided that before imposing any penalty under this sub-section, the officer on whom the penalty is proposed to be imposed shall be given a reasonable opportunity of being heard. (2) On receiving the order of imposition of penalty under sub-section (1) above the Drawing and Disbursing Officer or the Treasury Officer, as the case may be, shall recover the amount of penalty from the salary of the Designated Officer and deposit the same in the government account and shall send a copy of the challan to the State Public Service Delivery Commission