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Section 3

[(4) If the authority hearing an application under this section is satisfied—

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3 [(4) If the authority hearing an application under this section is satisfied— (a) that the application was either malicious or vexatious, the authority may direct that a penalty 4 [not exceeding three hundred seventy-five rupees] be paid to the employer or other person responsible for the payment of wages by the person presenting the application; or (b) that in any case in which compensation is directed to be paid under sub-section (3), the applicant ought not to have been compelled to seek redress under this section, the authority may direct that a penalty 2 [not exceeding three hundred seventy-five rupees] be paid to 5 [appropriate Government] by the employer or other person responsible for the payment of wages.