Passport Office Ahmedabad — I am complaining about passport rules made by passport officers now a day

Address:

Ahmedabad, Gujarat, 380006

Hello Sir/Mam,

I have filled my cousin's passport application form online because he is not able to do it by himself.
But mistakenly I did not mentioned his present address where my cousin was doing the job so I applied with permenent address. After that he went through pre police verification. And in Police verification he stated to police men politely that he is residing on other address but i belong to this address because my parents are living here and twice in a week I have been here.
So in police verification report sent to passport office they mentioned the provisional address of my cousin. And after that one objection letter was received in which passport office mentioned to visit the regional passport office along with present address proof and two references.
So my cousin went twice for resolving the query and now passport officer is asking to pay 5000 INR penalty. but in the received objection letter it was not mentioned anything about penalty. When he asks passport officer for the reason for penalty then he replied rudly stating that you must have to pay this penalty for getting your passport without providing proper reason.
After searching some rule I came to know that passport office is only allowed to fine 5000 INR if applicant suppresise any criminal record. Where in this case it wasnt.

Now my cousin also asked them to close this application so he can apply fresh passport again with all correct details. So also for closing this application they are asking for the penalty.

Can anybody help me what should be done ?

Thank you .