Understanding Double LWP Penalties: Should Employers Deposit Fines to Labour Welfare Fund?

Does an employer need to deposit any fine/penalty imposed on an employee (deducted from CTC) to the Labour Welfare Fund?

The employer has imposed double LWP for one day of uninformed leave on the employee. The organization falls under the Bombay Shops and Establishment Act.

Is there any written notification available on any website regarding this matter? Should the variable component be a part of CTC, or should it be separate from CTC? If it is a part of CTC, then is the difference amount of the variable considered as a fine/penalty?

If the employee falls under the purview of the Wages Act, then any punishment not prescribed under the Wages Act will be illegal and void ab initio. For those employees who do not fall under the definition of the Wages Act, self-drafted fines or punishments can be imposed.