Question for recruiters

So the company has allowed you to hire a person for X LPA. You offer candidate Y LPA (Y < X). The candidate states he wants X only and not Y. You discuss with your manager, the manager approves X. Now do you still, quote that the company can only offer Z amount (Z > Y but Z < X)?

Why do you do this? Is your variable pay dependent on it or are you just a narcissistic person?