This paper proposes a new method for real-time rigid body simulations based on a volumetric penalty method. The penalty method, which employs spring-damper model, is a simple and useful method for real-time simulation of multi-bodies. However, simple penalty method cannot handle face-face contact, because simple penalty method cannot find application point of reflection force. We suppose distributed small spring-damper model to solve the problem. We analyze intersecting part of bodies and integrate forces and torques from distributed springdamper models. We implement the simulator and compare our simulator with simple penalty method. It showed that our simulator solve the face-face contact problem. In addition, we attach haptic interface to the simulator for interaction. It shows that we were able to interact with virtual world by haptic interfaces.