Refund of security deposit on termination of tenancy

Refund of security deposit on termination of tenancy

1. (1) The security deposit paid by the tenant to the landlord shall be refunded to the tenant within one month of the handing over of vacant possession of the premises to the landlord after adjusting any dues payable by the tenant to the landlord under the tenancy agreement.
2. (2) In the event of a failure on the part of the landlord to refund the security deposit within the period as specified in sub-section (1), the landlord shall be liable to pay simple interest to the tenant at such rate as may be prescribed for the period during which the security deposit remains unpaid.