Mr. Justice J.D. Kapoor, President—This appeal is directed against order dated 28.6.2002 whereby the appellant was directed to pay 118.53 for the FDR which matured on 21.11.1994 and 452.05 for the two FDs which matured on 8.4.1995 and 13.4.1995. The respondent was also directed to pay compensation of Rs. 5,000/- for the mental agony and Rs. 2,000/- towards costs of litigation.

2. Admittedly the respondent deposited a £ 3124.05 on 21.11.1992 as FD with the appellant at an interest @ 10% for two years compounded every six months. On 19.4.1993 another amount of 10,000/- was deposited on 8.4.1995 at 8% interest p.a. for two years. The amount payable on maturity of FDRs was also mentioned in the FDRs. However, the appellant paid in total less £ 118.53 on FDR which matured on 21.11.1994 than the amount payable as mentioned in FDR.

3. The contention of the appellant is that interest was calculated on the basis of the directions received from the Reserve Bank of India from time-to-time and this fact was in the knowledge of the respondent as it was clearly stipulated in FDR that any interest payable on the deposit was subject to the RBI directives that will be issued from time-to-time.

4.