Citation : 2023 Latest Caselaw 1847 AP
Judgement Date : 11 April, 2023
THE HON'BLE SRI JUSTICE SUBBA REDDY SATTI
WRIT PETITION No.22840 of 2020
V. Rambabu, S/o Vamana Rao, aged 71 years, Employee
No.106456 (Retd. Assistant Manager), R/o C-5, Renuka
Enclave, Madhugardens, Vijayawada -520 010, Krishna District.
... Petitioner
Versus
Union of India, represented by its Secretary, Ministry of
Finance, Department of Financial Service, New Delhi and
another.
... Respondents
Counsel for the petitioner : Sri P. Prabhakara Rao,
learned counsel,
Counsel for respondents : Learned Assistant
Solicitor General and
Sri A. Hari Narayana,
Learned standing counsel
ORDER:
Petitioner, resigned as employee of Syndicate Bank and
whose resignation was accepted by the employer w.e.f.
30.04.1998, filed the above writ petition under Article 226 of the
Constitution of India, assailing letter in Ref.No.428/2020/
0012/HO:AM/SWD, dated 03.07.2020 issued by Assistant
General Manager of respondent No.2 whereby authority
intimated that petitioner is not eligible for pension.
2. Facts of the case, in brief, are:
Page 2 of 16 SRS,J
W.P.No.22840 of 2020
a) Petitioner joined on 02.12.1970 in Syndicate Bank,
Nationalized Public Sector Bank, as Clerk and subsequently, he
was promoted as Officer w.e.f. 20.05.1996. Later Syndicate
Bank was merged with Canara Bank w.e.f. 01.04.2020.
b) The Petitioner has put on more than twenty-seven years
of service. Petitioner, due to health problems, was constrained
to give notice of resignation on 31.01.1998. In the said notice,
petitioner requested for permission to opt for pension, if a
chance for option is given with retrospective basis. However,
authorities vide letter, dated 07.04.1998 informed that
petitioner had not opted for pension and hence, he is not eligible
for pensionary benefits.
c) Indian Bank Association and the Bank Employees
Unions entered memorandum and finally a joint note was
signed on 27.04.2010 providing second option, to those who
have not exercised their option in the first instance to join in the
pension scheme. The said benefit was made applicable to such
of employees who were in service prior to 29.09.1995 in case of
Nationalized Banks or 26th March, 1996 in case of Associate
Banks of State Bank of India and continue in the service of the
bank on the date of settlement. The said settlement further
manifests that exercising option should be in writing within Page 3 of 16 SRS,J W.P.No.22840 of 2020
sixty days from the date of offer to become a member of the
Pension Fund and to refund, within thirty days after expiry of
sixty days, the entire amount of the banks contribution to the
Provident Fund and interest accrued thereon received by the
employee on retirement together with his share in contribution
towards meeting 30% of Rs.3115 crores which is estimated and
reckoned.
d) The petitioner underwent a series of health problems,
and he took treatment. In the year, 2017, he had to undergo
major bye-pass surgery. Petitioner could not opt for pension
scheme in time along with other employees due to lack of
complete information as to the efficacy of joint note dated
27.04.2010.
e) While so, petitioner, on noticing the judgment, dated
17.06.2020 of Calcutta High Court, made representation dated
22.06.2020 and the same was replied by the authority dated
03.07.2020 stating that petitioner is not eligible for pensionary
benefits. Assailing the same, the present writ petition is filed.
3. Counter affidavit was filed on behalf of respondent No.2.
a) It was contended inter alia that this writ petition, per se,
is not maintainable in view of laches and in ordinate delay on Page 4 of 16 SRS,J W.P.No.22840 of 2020
the part of petitioner. Petitioner admittedly did not avail the
opportunity for pension when second opportunity was given by
the erstwhile Syndicate Bank on 27.04.2010. Petitioner resigned
from the services and the same was accepted. Petitioner was
relieved from services on 30.04.1998 itself and after lapse of
nearly two decades, petitioner approached Bank and hence,
petitioner's case cannot be considered.
b) Petitioner is ceased to be in service of Syndicate Bank
from 01.05.1998. Thus, he was not pensioner when his
employer Syndicate Bank merged with respondent No.1-Canara
Bank as on 01.04.2020. Erstwhile Syndicate Bank settled
terminal benefits i.e. staff provident fund, gratuity, etc., in June,
1998 itself. Since petitioner resigned from the service,
petitioner's case cannot be considered even as per second
settlement, dated 27.04.2020. Eventually prayed to dismiss the
writ petition.
4. Heard both the learned counsels.
5. Learned counsel for the petitioner would contend that
petitioner, by the date of retirement, had put in 27 years of
service and he got qualifying service to get pension. He would
further submit that petitioner resigned from the employment Page 5 of 16 SRS,J W.P.No.22840 of 2020
due to health problems and hence, petitioner resigned due to ill
health, as such it cannot be termed as resignation, at the most
petitioner's resignation can be termed as voluntary retirement.
Hence, the petitioner is eligible for pensionary benefits. He
would further submit that in the notice of resignation, petitioner
also requested for permission to opt for pension. However, the
same was not considered. He would submit that since petitioner
is under medication, he is not aware of the settlement, dated
27.04.2010 of Indian Banks' Association on behalf of the
Managements and their Workmen represented by All India Bank
Employees' Association etc.,. He would further submit that
latches or delay does not apply to the facts of the case.
6. Learned standing counsel, on the other hand, would
contend that petitioner resigned from service. Application made
by the petitioner, nearly after 22 years of his service, per se is
not maintainable. His employer, Syndicate Bank rejected
pensionary benefits to the petitioner, by letter, dated
07.04.1998 and the same was communicated to the petitioner.
He would submit that petitioner did not challenge the said
letter. After waiting for two decades, the petitioner based on
order of Calcutta High Court made representation to the
authorities. He would submit that in fact the order of Calcutta Page 6 of 16 SRS,J W.P.No.22840 of 2020
High Court in FMA No.4412 of 2016 does not apply to the facts
of the present case. He would also submit that representation,
dated 22.06.2020 does not indicate any medical reasons,
however, in the affidavit, averment has been made that
petitioner resigned due to ill health. He submits that there is no
illegality in the rejection proceedings.
7. The point to be considered is whether petitioner is entitled
to pensionary benefits pursuant to the settlement, dated
27.04.2010?
8. The facts regarding petitioner's joining in Syndicate Bank,
his getting promotion, resignation letter, dated 31.01.1998 and
acceptance of resignation w.e.f 31.04.1998 are not in dispute.
9. In United Bank of India vs. Sri Swapan Kumar Mullick
& Ors. (FMA No.4412 of 2016), Division Bench of High Court
of Calcutta while placing reliance on decision reported in
Shashikala Devi vs. Central Bank of India & Ors 1 and UCO
Bank & Ors. Vs. Sanwar Mal2 directed the authorities to
consider amendment of Regulation 22 of the United Bank of
India (Employees') Pension Regulations, 1995, according to the
circular of the Indian Banks Association dated 30.06.2015 with
2014(16) SCC 260
2004 (4) SCC 412 Page 7 of 16 SRS,J W.P.No.22840 of 2020
or without retrospective effect within three months of physical
communication of said order. In the case before Calcutta High
Court, petitioner therein resigned due to depression and that
was taken note by the Calcutta High Court and considered that
resignation by depression whether amounts to resignation or
voluntary retirement. In fact, petitioner therein served for more
than three decades. Hon'ble Court in the fact situation, came to
the conclusion that the employee did not resign and hence
directed the respondent to consider the case of the petitioner
therein.
10. In the case on hand, no scrap of paper is filed to
substantiate the averment in the affidavit that petitioner
resigned due to ill health. Even the representation, dated
22.06.2020 made by the petitioner does not indicate that
resignation was tendered due to ill health. Medical
record/history filed along with writ petition is of the year, 2008
and thereafter. This Court cannot give much weight to the
medical history filed by the petitioner along with writ petition,
since petitioner's resignation is of the year, 1998. As can be
seen from Ex.P4, dated 07.04.1998 addressed to the petitioner
by Assistant General Manager, the request of the petitioner
opting pension, if a chance for option is given on retrospective Page 8 of 16 SRS,J W.P.No.22840 of 2020
basis, was denied. Inspite of the same, for the reasons best
known, petitioner did not challenge the said proceedings.
11. Further, category II
(a) of Memorandum of settlement, dated 27.04.2010
indicates that pension scheme shall be extended to the
employees who were in service of the bank prior to
29.09.1995 in the case of Nationalized Banks or
26.03.1996 in case of Associate Banks of State Bank of
India and retired after that date and prior to the date of
the settlement;
(b) one can exercise option in writing within sixty days
from the date of offer to become a member of the Pension
Fund and (c) the employee should refund, within thirty
days after expiry of the said period of sixty days, the entire
amount of the banks contribution to the Provident Fund
and interest accrued thereon received by the employee on
retirement together with his share in contribution towards
meeting 30% of Rs.3115 crores, estimated and reckoned
as the funding gap for those eligible under Clause 2(II),
2(III) and 2(IV) of this agreement.
Page 9 of 16 SRS,J
W.P.No.22840 of 2020
12. Though learned counsel for the petitioner would contend
that the petitioner resigned service, due to ill health, in the
absence of resignation letter made by the petitioner, this Court
cannot appreciate the contention of petitioner qua resignation
due to several health problems. It is an undisputed fact that
petitioner served in Syndicate Bank for 27 years and submitted
resignation after qualified service. However, clause 22(1) of the
E-SBEPR, would indicate that for resignation or dismissal or
removal or termination of an employee from the service of the
Bank, shall entail for forfeiture of entire past service and
consequently shall not qualify for pensionary benefits.
13. Based on the facts of that case by placing reliance upon
Shashikala Devi's case the Division bench of Calcutta High
Court concluded that though word 'resign' was used, it cannot
be termed as resignation but, at the most, it is only voluntarily
retirement and petitioners therein are entitled to benefit.
However, as stated supra unless petitioner places before this
Court, letter of resignation, it is difficult for this Court to go into
the fact and appreciate as to whether the petitioner resigned
due to ill health or voluntarily retired. Hence, this Court, in the
absence of any cogent material, shall not give a finding that the
petitioner resigned service due to ill health.
Page 10 of 16 SRS,J
W.P.No.22840 of 2020
14. Admittedly, the petitioner was communicated, with letter
dated 07.04.1998 stating that he is not entitled to pensionary
benefits. When petitioner was intimated prior to acceptance of
his resignation, by letter, dated 07.04.1998, petitioner could
have challenged the said action of respondents in not extending
pensionary benefits.
15. As per memorandum of settlement dated 27.04.2010, one
must exercise the option within sixty days from the date of offer
to become member of the pension fund. When such an offer was
provided in the settlement, petitioner failed to exercise the
option. In the affidavit filed in support of this writ petition,
petitioner contended that due to lack of proper information
about memorandum, he could not make application. It is
pertinent to mention here that in para No.9 of the writ affidavit,
petitioner contended that he was going around hospitals and
hence, he could not response in time due to lack of proper
information. In para No.5 of the affidavit, he contended that in
the year, 2017, he had to undergo major bye-pass for heart and
as such he became completely out of touch with his colleague
employees and about his pension scheme. Settlement was
arrived at on 27.04.2010 and sixty days' time was given. The
divergent or inconsistent statements of petitioner in para Nos.5 Page 11 of 16 SRS,J W.P.No.22840 of 2020
and 9 would show that petitioner, after pronouncement of
judgment by the Calcutta High Court in FMA No.4412 of 2016
(the facts does not apply to the facts of the case), made
application to the bank to the extend pensionary benefits. The
Hon'ble Apex Court considering belated representation qua a
'stale' or 'dead' issue/dispute observed as under in C. Jacob vs.
Director of Geology and Mining & Anr.3:
"The courts/tribunals proceed on the assumption, that every citizen deserves a reply to his representation. Secondly, they assume that a mere direction to consider and dispose of the representation, does not involve any 'decision' on rights and obligations of parties. Little do they realize the consequences of such a direction to 'consider'. If the representation is considered and accepted, the ex- employee gets relief, which he would not have got on account of the long delay, all by reason of the direction to 'consider'. If the representation is considered and rejected, the ex-employee files an application/writ petition, not with reference to the original cause of action of 1982, but by treating the rejection of the representation given in 2000, as the cause of action. A prayer is made for quashing the rejection of representation and for grant of the relief claimed in the representation. The Tribunals/high Courts routinely entertain such applications/petitions ignoring the huge delay preceding the representation and proceeding to examine the claim on merits and grant relief. In this manner, the bar of limitation of the laches gets obliterated or ignored."
2009 (10) SCC 115
Page 12 of 16 SRS,J
W.P.No.22840 of 2020
16. In Krishena Kumar vs. Union of India4 the Hon'ble
Supreme Court while considering options given to the Railway
employees to shift to pension scheme, held that prescription of
cut off dates while giving each option was not arbitrary or
lacking in nexus. Hon'ble Apex Court also held that provident
fund retirees, who failed to exercise option within the time, were
not entitled to be included in the pension scheme on any
ground of parity. Respondent therein who did not exercise
option available when he retired in 1976, was not entitled to
seek an opportunity to exercise option to shift to the pension
scheme, after the expiry of the validity period for option scheme,
that too in the year 1998 after 22 years.
17. In Karnataka Power Corpn. Ltd. V. K. Thangappan 5, the
Hon'ble Apex Court took note of factual position and laid down
that nearly for two decades the respondent workmen therein
had remained silent and mere making of representations could
not justify a belated approach.
18. In the State of Orissa v. Pyarimohan Samantaray 6, the
Hon'ble Apex Court opined that making of repeated
representations is not a satisfactory explanation of delay.
1990 (4) SCC 207
2006 (4) SCC 322
1977 (3) SCC 396
Page 13 of 16 SRS,J
W.P.No.22840 of 2020
19. In BSNL v. Ghanshyam Dass7, three-Judge Bench of the
Hon'ble Apex Court reiterated the principle laid down in
Jagdish Lal v. State of Haryana8, and proceeded to observe
that as the respondents therein preferred to sleep over their
rights and approached the Tribunal in 1997, they would not get
the benefit of the order dated 07.07.1992.
20. In State of T.N. v. Seshachalam9, the Hon'ble Apex Court
testing the quality clause on the bedrock of delay and laches
pertaining to grant of service benefit, observed as under:
"16. ... filing of representations alone would not save the period of limitation. Delay of laches is a relevant factor for a court of law to determine the question as to whether the claim made by an applicant deserves consideration. Delay and/or laches on the part of a government servant may deprive him of the benefit which had been given to others. Article 14 of the Constitution of India would not, in a situation of that nature, be attracted as it is well known that law leans in favour of those who are alert and vigilant."
21. In NDMC v. Pan Singh10, the Hon'ble Apex Court opined
that though there is no period of limitation provided for filing a
writ petition under Article 226 of the Constitution of India, yet
ordinarily a writ petition should be filed within a reasonable
2011 (4) SCC 374
1997 (6) SCC 538
2007 (10) SCC 137
2007 (9) SCC 278 Page 14 of 16 SRS,J W.P.No.22840 of 2020
time. In the said case the respondents had filed the writ petition
after seventeen years and the court, as stated earlier, took note
of the delay and laches as relevant factors and set aside the
order passed by the High Court which had exercised the
discretionary jurisdiction.
22. In the case on hand, as discussed supra, memorandum of
settlement was signed on 27.04.2010. If petitioner claims
benefit under 26(ii), he could have exercised option in writing
within sixty days from the date of offer to become member of
pension funds. He further could have refunded, within thirty
days after expiry of sixty days, the entire amount of his bank
contribution to the Provident Fund and interest accrued
thereon.
23. In the affidavit, as discussed supra, the averments in para
Nos.5 and 9 regarding delay is contradictory and self-
explanatory. In a case relating to pension, the Hon'ble Apex
Court in Krishena Kumar's case held that since petitioner
therein could not avail the opportunity, same cannot be
extended. This Court is conscious that pension is not bounty
granted by the Government. However, at the same time, Court
also cannot ignore laches on the part of the petitioner in
approaching the authority regarding pension scheme.
Page 15 of 16 SRS,J
W.P.No.22840 of 2020
24. As discussed supra, petitioner having made representation
dated 22.06.2020 seeking pensionary benefits pursuant to
settlement dated 27.04.2010, by placing reliance upon
judgment of Calcutta High Court, failed to explain any reasons
much less, valid or cogent reasons in the affidavit, about not
making application immediately after the scheme came into
operation. A stale or dead issue cannot be revived and the reply
to representation of the petitioner does not give fresh cause of
action to the petitioner.
25. In view of the above, this Court does not find any merit in
writ petition.
Accordingly, this writ petition is dismissed.
As a sequel, all the pending miscellaneous petitions shall
stand closed.
_________________________
SUBBA REDDY SATTI, J
Date : 11.04.2023
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Page 16 of 16 SRS,J
W.P.No.22840 of 2020
THE HON'BLE SRI JUSTICE SUBBA REDDY SATTI
WRIT PETITION No.22840 of 2020
Date : 11.04.2023
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