ORDER : A.S. BOPANNA, J. 1. The petitioner is before this Court assailing the orders dated 01.01.2009 and 10.06.2010 passed by the Controlling Authority and the Appellate Authority under the Payment of Gratuity Act. The Controlling Authority while granting the difference of gratuity amount has taken into consideration the continuity of service and also the total amount that was payable by disallowing the deduction that had been made by the petitioners where under the amount payable by respondent No. 3 employee towards the loan secured from the cooperative societies was deducted and paid to clear the liability of respondent No. 3. In that view, the Controlling Authority has directed payment of Rs. 1,17,586/- with interest thereon at 10% p.a. from 30.05.2004 till the date of payment. 2. Having heard the learned counsel for the petitioner and the learned Government Advocate, insofar as continuity of services that has been taken into consideration and the amount that had been determined for the purpose of payment, at this juncture, the petitioner cannot have any grievance since the said issue has already been concluded by the earlier decisions rendered in this regard. Therefore, the only issue for consideration is as to whether the Controlling Authority and the Appellate Authority were justified in not allowing the petitioner to deduct the amount which had been deposited by the petitioner to the loan account of respondent No. 3 in the Bharathi Cooperative Society, KSRTC Credit Cooperative Society and the amount which had been deducted towards interest for the earlier retained gratuity paid and also the gratuity of Rs. 4,654/- which had been paid to respondent No. 3. 3. In that regard the fact that respondent No. 3 had given authorization to deduct and pay the amount to the Cooperative Societies towards the loan is not seriously in dispute. Since in any event the said amount was to be repaid and had been accordingly deposited, the benefit of such deduction is to be allowed from out of the total amount of Rs. 1,17,586/- that was determined by the Controlling Authority which had been upheld by the Appellate Authority. Hence the petitioner should be allowed to deduct the sum of Rs. 60,624/-. If the same is done the respondent No. 3 would be entitled to receive the sum of Rs. 56,248/- with interest in the same manner as ordered by the Controlling Authority. 1,17,586/- that was determined by the Controlling Authority which had been upheld by the Appellate Authority. Hence the petitioner should be allowed to deduct the sum of Rs. 60,624/-. If the same is done the respondent No. 3 would be entitled to receive the sum of Rs. 56,248/- with interest in the same manner as ordered by the Controlling Authority. Therefore, to the said extent, the order passed by the Controlling Authority and upheld by the Appellate Authority is modified holding that respondent No. 3 is entitled to receive the sum of Rs. 56,248/- towards the balance gratuity with interest in the manner as ordered by the authorities. The said amount if available in deposit with the Controlling Authority shall be disbursed to respondent No. 3 and the excess amount if any deposited by the petitioner shall be refunded to the petitioner. The petition is accordingly disposed of.