Doubt in internal reconstruction

                                   Extract of Balance sheet 

Liabilities                              rs            rs     Assets                                    rs   rs
Workmen compensation:                             10% Government loan against
Bombay                                1                     workmen compensation fund           3
Pune                                     2             3
                   
Terms of reconstruction:
1.    Workmen compensation fund disclosed the fact that the actual there was liability of 20000 only. As a result the relevant amount was to be brought to the required amount. 
Pass the journal entry and pls explain.