(3)If in the opinion of the Registrar General, an application made under sub-section (1) is frivolous or vexatious, he may, out of the deposit made under sub-section (1), direct to be paid to the Money-Lender such amount as he deems fit as compensation and balance amount of deposit to be forfeited to the State Government and where no amount is directed to be paid to the Money-Lender direct the whole amount to be forfeited to the State Government, and in any other case the Registrar General may on completion of the proceedings under this section, direct the whole amount of the deposit to be returned to the depositor.
