Section 7B in Karnataka Labour Welfare Fund Act, 1965
7B. Interest on unpaid accumulation or fines after notice of demand.
(1)If an employer does not pay to the Board any amount of unpaid accumulations or fines realised from the employees or the amount of the employer's and employee's contributions under section 7A within the time he is required by or under the provisions of this Act to pay it, the Welfare Commissioner may cause to be served a notice on such employer to pay the amount within the period specified therein, which shall not be more than thirty days from the date of service of such notice.(2)If the employer fails to pay any such amount within the period specified in the notice, he shall, in addition to that amount, pay to the Board simple interest,-(a)for the first three months at twelve percent per annum of the said amount for each complete month after the last date by which he should have paid it according to the notice; and(b)at eighteen percent per annum of that amount for each complete month thereafter, during the time he continues to make default in the payment of that amount.]
