Hmt Limited vs Smt. K. J. Vijayamma

Citation : 2024 Latest Caselaw 15728 Kant
Judgement Date : 4 July, 2024

Karnataka High Court

Hmt Limited vs Smt. K. J. Vijayamma on 4 July, 2024

                                           -1-
                                                     NC: 2024:KHC:25536-DB
                                                      WA No. 168 of 2024
                                                  C/W CCC No. 226 of 2024



                     IN THE HIGH COURT OF KARNATAKA AT BENGALURU

                          DATED THIS THE 4TH DAY OF JULY, 2024

                                        PRESENT
                       THE HON'BLE MR N. V. ANJARIA, CHIEF JUSTICE
                                           AND
                          THE HON'BLE MR JUSTICE K V ARAVIND
                            WRIT APPEAL NO. 168 OF 2024 (S-R)
                                          C/W
                         CIVIL CONTEMPT PETITION NO. 226 OF 2024
                IN WA No.168/2024
                BETWEEN:
                1.   HMT LIMITED
                     REPRESENTED BY ITS
                     CHAIRMAN AND MANAGING DIRECTOR,
                     HMT BHAVAN, NO. 59,
                     BELLARY ROAD,
                     BANGALORE-560 032.

                2.   THE MANAGING DIRECTOR
Digitally            HMT MACHINE TOOLS LTD.,
signed by            HMT BHAVAN, NO. 59,
SUMA B N             BELLARY ROAD,
Location:            BANGALORE-560 032.
High Court of
Karnataka
                3.   GOVERNMENT OF INDIA
                     REPRESENTED BY ITS SECRETARY,
                     MINISTRY OF HEAVY INDUSTRIES,
                     UDYOG BHAVAN,
                     NEW DELHI-110 001.
                                                            ...APPELLANTS
                (BY SRI. UNNIKRISHNAN M.,ADVOCATE)
                            -2-
                                      NC: 2024:KHC:25536-DB
                                     WA No. 168 of 2024
                                 C/W CCC No. 226 of 2024



AND:
    SMT. K. J. VIJAYAMMA
    D/O. K. N. KRISHNA PILLAI,
    AGED ABOUT 74 YEARS,
    RETIRED GENERAL MANAGER
    (TECHNOLOGY), R/AT NO. 10,
    10TH MAIN, 1 BLOCK, HMT LAYOUT,
    VIDYANARAYANAPURA,
    BENGALURU-560 097.
                                            ...RESPONDENT
(BY SRI. MUBARAK BEGUM S.,ADVOCATE)

     THIS WRIT APPEAL FILED UNDER SECTION 4 OF THE
KARNATAKA HIGH COURT ACT PRAYING TO i)ALLOW THE ABOVE
APPEAL FILED BY THE APPELLANTS THEREBY SETTING ASIDE
THE ORDER PASSED BY THE LEARNED SINGLE JUDGE IN WP
NO.18409/2018 DATED 30/10/2023 AND THEREBY DISMISS THE
SAID PETITION.


IN CCC NO. 226/2024
BETWEEN:
   SMT. K J VIJAYAMMA
   D/O K N KRISHNA PILLAI
   AGED ABOUT 75 YEARS
   (RETIRED GENERAL MANAGER
   (TECHNOLOGY), R/AT NO 10
   10TH MAIN, 1ST BLOCK
   HMT LAYOUT, VIDYARANYAPURAM
   BENGALURU - 560 097.

                                            ...COMPLAINANT
(BY SRI. MUBARAK BEGUM S.,ADVOCATE)
                            -3-
                                     NC: 2024:KHC:25536-DB
                                     WA No. 168 of 2024
                                 C/W CCC No. 226 of 2024



AND:
1. HMT LIMITED
   REPRSETNED BY ITS
   CHAIRMAN AND MANAGING DIRECTOR
   SRI RAJEEV SINGH
   HMT BHAVAN, NO 59
   BELLARY ROAD
   BENGALURU - 560 032.

2.   SRI.RAJEEV SINGH
     THE MANAGING DIRECTOR
     HMT BHAVAN No.59
     BELLARY ROAD
     BENGALURU - 560 032.

3.   SRI.KAMARAN RIZVI
     SECRETARY
     DEPARTMENT OF HEAVY INDUTRIES AND
     PUBLIC SECTOR ENTERPRISES
     UDHYOG BHAVAN
     NEW DELHI.

                                               ...ACCUSED
(BY SRI. UNNIKRISHNAN M.,ADVOCATE)

      THIS CCC IS FILED UNDER SECTIONS 11 AND 12 OF THE
CONTEMPT OF COURTS ACT, 1971, PLEASED TO HOLD THAT THE
ACCUSED NO.2 IS GUILTY OF CONTEMPT OF DISOBEYING THE
ORDER PASSED BY THIS HONBLE COURT IN WP NO.18409/2018
(S-R) DATE 30.10.2023 AND PUNISH THEM IN ACCORDANCE WITH
LAW. POST CCC BEFORE DIVISION BENCH FOR PRELIMINARY
HEARING

     WRIT APPEAL AND CCC COMING ON FOR
PRELIMINARY HEARING THIS DAY, ORDER/JUDGMENT WAS
DELIVERED THEREIN AS UNDER:
                                  -4-
                                             NC: 2024:KHC:25536-DB
                                             WA No. 168 of 2024
                                         C/W CCC No. 226 of 2024



 CORAM: HON'BLE THE CHIEF JUSTICE MR. JUSTICE N. V. ANJARIA
        and
        HON'BLE MR. JUSTICE K. V. ARAVIND

                           ORAL ORDER

(PER: HON'BLE THE CHIEF JUSTICE MR. JUSTICE N. V. ANJARIA) Heard learned Senior Advocate Mr. K. Arvind Kamath with learned advocate Mr. M. Unnikrishnan for appellant Nos.1 and 2, learned Central Government Counsel Mr. Jagadish G. Kumbar for appellant No.3 and learned advocate Smt. S. Mubarak Begum for the respondent.

2. The present appeal preferred under Section 4 of the Karnataka High Court Act, 1961 is directed against the judgment and order dated 30.10.2023, thereby learned Single Judge allowed the petition of the respondent-original petitioner directing the Managing Director of HMT Limited-respondent No.2 therein to revise the scales of pay of the petitioner as in the same way extended to the employees of HMT International Limited with effect from 01.01.1997 till the date of her superannuation.

2.1 It was further directed to re-fix the pension pursuant to the revision of scales of pay and thereafter, to compute the arrears and make payment of arrears to the petitioner.

-5-

NC: 2024:KHC:25536-DB WA No. 168 of 2024 C/W CCC No. 226 of 2024 2.2 The crux of the reasoning of learned Single Judge in allowing the petition and extending the benefit of revision of pay scales to the petitioner was that the petitioner served under respondent No.1-HMT Limited which was one of the subsidiary companies of HMT International Limited. Learned Single Judge took the view that since the employees of one subsidiary company of HMT International Limited were given the revised pay benefit, the same could not have been refused to the petitioner who belonged to the other subsidiary company.

3. Looking into the prayers made in the petition, it was prayed by the petitioner to direct the respondents to pay retirement benefits on the basis of 1992 pay revision and 1997 pay revision with arrears by fixing the pay of the petitioner accordingly, with interest at the rate of 18%. It was next prayed to direct the respondents to pay pensionary benefits also by fixing the pension on basis of the revised pay scales. 3.1 The petitioner was appointed in the year 1975 in the establishment of HMT Limited, which was a parent company then. It came to be bifurcated into more than one subsidiary companies subsequently. The petitioner's services were assigned to HMT Limited and she retired on 30.06.2005 from the said company. -6-

NC: 2024:KHC:25536-DB WA No. 168 of 2024 C/W CCC No. 226 of 2024

4. While allowing the petition, learned Single Judge has relied on the decision of this Court in Writ Petition No.2175 of 2022 dated 04.07.2023, wherein it was held as under:

"... In that view of the matter, I am of the view that, the bifurcation of the respondent-company was in the year 2000 and if the subsidiary Company is extending benefits to its employees since 01.01.1997 same benefit cannot be denied to the employees of other unit and the said exercise to retired employees from implementing the benefit from 2014 has no relevance in so far as the classification made under Article 14 of the Constitution of India."

5. It could be immediately pointed out by learned Senior Advocate appearing for the appellants that the decision in Writ Petition No.2175 of 2022 was the subject matter of Writ Appeal No.955 of 2023. The said writ appeal came to be allowed on 11.06.2024 and the judgment and order of learned Single Judge in the said petition was set aside. 5.1 The issue in Writ Appeal No. 955 of 2023 which considered the challenge to the judgment and order of learned Single Judge in Writ Petition No.2175 of 2022 was identical as is sought to be agitated in the present writ appeal.

5.2 While deciding Writ Appeal No.955 of 2023, the Court upheld the decision of the appellants therein in applying the revised pay scales from 28.02.2014 and excluding all the employees of the company who -7- NC: 2024:KHC:25536-DB WA No. 168 of 2024 C/W CCC No. 226 of 2024 were not on the rolls of the company on 28.02.2014 and were retired. They were not extended the benefit of revised pay scale. The original petitioner/respondent herein belongs to the same class and was the employee of the very same company.

5.3 It is to be noted that the petitioner has not challenged the decision of implementing the pay scales with effect from 28.02.2014. The said cut-off date was upheld on the ground that the dividing line adopted by the company was rational as it was based on the ground of financial constraints.

6. Learned advocate appearing for the respondent-original petitioner relied on the decision of the Hon'ble Supreme Court in the case of Haryana State Minor Irrigation Tubewells Corporation and others Vs. G.S.Uppal and others [(2008) 7 SCC 375]. The said judgment deals with extension of equal pay for equal work and treating the employees at par to hold that higher pay scales introduced by the State Government for removing the anomaly could not be applied by classifying the single homogeneous class. The said judgment in Haryana State Minor Irrigation Tubewells (supra) stands true on its own context of facts and the facts of the present case are quite distinguishable. The said judgment, therefore, will not apply to the -8- NC: 2024:KHC:25536-DB WA No. 168 of 2024 C/W CCC No. 226 of 2024 present case for the reasons recorded in the judgment in Writ Appeal No.955 of 2023.

6.1. Here another argument was sought to be canvassed by learned advocate for the respondent-original petitioner that there was a settlement reached between the Union and the Company. In this regard, learned Senior Advocate appearing for the appellants submitted that the same would not apply inasmuch as the benefit was extended from the said cut-off date that is, 28.02.2014 only. The petitioner had retired in the year 2005 much prior to the said date.

7. All the submissions, therefore, advanced by learned advocate for the respondent-original petitioner to support the impugned judgment and order of learned Single Judge are misconceived and cannot be accepted.

8. In view of the decision in Writ Appeal No.955 of 2023, the present appeal deserves to be allowed. Accordingly, the same is allowed.

9. The judgment and order dated 30.10.2023 passed by learned Single Judge in Writ Petition No.18409 of 2018 is hereby set aside.

10. CCC No.226 of 2024 will not survive in view of our order of even date. Accordingly, it is disposed of.

-9-

NC: 2024:KHC:25536-DB WA No. 168 of 2024 C/W CCC No. 226 of 2024 In view of disposal of the appeal and the contempt petition, the interlocutory applications would not survive and they stand accordingly disposed of.

Sd/-

(N. V. ANJARIA) CHIEF JUSTICE Sd/-

(K V ARAVIND) JUDGE RL List No.: 1 Sl No.: 9