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Nandipati Veeraiah vs Bommidala Brothers Limited,
2024 Latest Caselaw 15 AP

Citation : 2024 Latest Caselaw 15 AP
Judgement Date : 2 January, 2024

Andhra Pradesh High Court - Amravati

Nandipati Veeraiah vs Bommidala Brothers Limited, on 2 January, 2024

 THE HON'BLE SRI JUSTICE TARLADA RAJASEKHAR RAO

                WRIT PETITION No.20066 OF 2016

ORDER:

The present Writ Petition is filed under Article 226 of the

Constitution of India for the following relief:

"To issue an appropriate Writ, Order or Direction, more particularly one in the nature of Writ of Mandamus declaring the order dated 07.04.2016 in M.P.No.1/2009 on the file of the 2nd Respondent Court as arbitrary and violative of Articles 14 & 21 Constitution of India and provisions of I.D.Act more particularly Sec.25-HH and 33C of I.D.Act by setting aside the same and consequently direct the 1st respondent to pay the amounts as claimed in M.P.No.1 of 2009 on the file of the Labour Court with interest @ 12% per annum grant proceedings and pass such other order or orders."

2. The present Writ Petition is filed to set aside the order

dated 07.04.2016 in M.P.No.1 of 2009 on the file of the 2 nd

respondent, i.e., Labour Court, Guntur, and consequently, to

direct the 1st respondent to pay the amount as claimed in

M.P.No.1 of 2009 with interest @ 12% per annum.

3. The petitioner herein has joined as Clerk on 04.09.1980 in

the 1st respondent-industry and worked upto 04.11.1986 on

which date, the petitioner was retrenched from service by the 1 st

respondent. The petitioner raised an Industrial Dispute, vide

I.D.No.648 of 1991, assailing the retrenchment made by the 1 st

respondent herein and the said I.D. was allowed by order dated

31.05.2000 observing that the retrenchment of the applicant

with effect from 04.11.1996 is not in accordance with Section

25F of the Industrial Disputes Act, 1947 (for short, 'the ID Act')

and the same is not legally valid.

4. Assailing the said order, the 1st respondent has filed Writ

Petition No.20169 of 2000 before the composite High Court and

the High Court has stayed the operation of the award and

directed the 1st respondent herein to pay wages under Section

17B of the ID Act to the petitioner herein by an order dated

23.03.2001. Later, the 1st respondent has withdrawn the Writ

Petition and the said Writ Petition No.20169 of 2000 was

dismissed as withdrawn on 11.08.2008.

5. Be that as it may, after dismissal of the Writ Petition on

withdrawal by the 1st respondent herein, the petitioner herein

has filed M.P.No.01 of 2009 in I.D.No.648 of 1991 under Section

33C(2) of the ID Act seeking a direction to the 1st respondent to

pay an amount of Rs.3,39,709/- with interest at 12% per annum

from the 1st respondent herein. The Labour Court has dismissed

the said Miscellaneous Petition observing thus:

"The established principle is that while entertaining an application U/s.33 C(2) of the I.D.Act the Labour Court has no jurisdiction to go beyond the award passed by the court. Infact, the Labour Court has no jurisdiction to adjudicate claim made in proceedings U/s.33 C(2) of the I.D. Act. As verified from the award passed in I.D. No.648/1991 the court felt that the petitioner did not question the termination order or other wise, but made a claim for difference retrenchment compensation, notice pay etc. Considering the fact that the approach of the petitioner was belated for more than five years after receiving the terminal benefits, the court only granted reinstatement as a fresh candidate. Taking into consideration of the findings given in the award, the claim made by the petitioner require adjudication. Though the petitioner intend to invoke the provisions U/s. 25 (HH) the same is not available for the reason that there was no specific finding given by the Labour Court that the petitioner was retrenched."

6. Assailing the said order, the present Writ Petition came to

be filed for the aforesaid relief.

7. Learned counsel for the petitioner would submit that the

termination of the petitioner itself is contrary to Section 25F of

the ID Act and once the order is set aside by the Industrial

Tribunal, the petitioner is entitled for the reinstatement, as

directed by the Labour Court, where in the present case, the

Labour Court has directed reinstatement of the petitioner

without back wages without continuity of service and the

rejection order itself is contrary to Section 25(HH) of the ID Act.

8. Heard the learned counsel for the petitioner. Despite

issuance of notice, the 1st respondent refused the said notice.

Hence, it is deemed to be served.

9. As seen from the provision of Section 25(HH) of the ID Act,

which is an amendment to the Industrial Disputes Act by the

State Government of Andhra Pradesh, which reads thus:

"Section 25HH: Condition of re-instatemen of workman by an award of a Labour Court or Tribunal.-- Where a workman is re-instated in service by an

award of a Labour Court or Tribunal, the workman shall be deemed to be in service from the date specified in the award whether or not the workman was earlier re-instated by the employer and his wages shall be recovered in the manner provided in section 33C."

10. As seen from the said provision, when a workman is

reinstated into service by award of a Labour Court or Tribunal,

the workman is entitled for the wages recovered in the manner

provided in Section 33C of the ID Act. Section 33C envisages

that where any money is due to a workman from an employer

under a settlement or an award or under the provisions of the

workman himself or any other person authorized by him in

writing in this behalf, or, in the case of the death of the

workman, his assignee or heirs may, without prejudice to any

other mode of recovery, make an application to the appropriate

Government for the recovery of the money due to him, and if the

appropriate Government is satisfied that any money is so due, it

shall issue a certificate for that amount to the Collector who

shall proceed to recover the same in the manner as an arrear of

land revenue.

11. Clause (2) of Section 33C of the ID Act envisages that

where any workman is entitled to receive from the employer any

money or any benefit which is capable of being computed in

terms of money and if any question arises as to the amount of

money due or as to the amount at which such benefit should be

computed, then the question may, subject to any rules that may

be made under this Act, be decided by such Labour Court as

may be specified in this behalf by the appropriate Government

within a period of not exceeding three months.

12. Under the above said provision, a workman is entitled to

receive any money from the employer and then he is entitled to

raise a dispute before the Labour Court. The Labour Court in

the award dated 07.04.2016, vide M.C.No.01 of 2009, has

declined to award an amount of Rs.3,39,709/- on the ground

that Section 25(HH) of the ID Act is not available for the reason

that there is no such specific finding that the petitioner was

retrenched and further stated that in view of the principle laid

down in various decisions given about the maintainability of the

application under Section 33C(2) of the ID Act are not allowing

the Court to entertain the petition considering the facts and

circumstances involved.

13. The Labour Court has passed the award observing thus:

"Therefore, the respondent management has not fully complied the provisions of sec.25(F) of I.D.Act in retrenching the workman from service. Hence, the said retrenchment is not in accordance with Sec.25(F) of I.D. Act. Since the retrenchment of the applicant with effect from 4-11-1986 is not in accordance with the Sec.25(f) of I.D.Act, the same is not legal and valid."

14. The other finding that it is delivered by the Labour Court is

that the petition under Section 33C(2) of the ID Act is not

maintainable in view of various decisions. The Labour Court has

not discussed or assigned any reasons about the maintainability

of Section 33C(2) of the ID Act, except stating that as per the

various decisions, the present petition is not maintainable.

15. Right to reason is an indispensable part of a sound judicial

or quasi judicial system and another rationale is that affected

party can know why the decision has gone against him as per

the judgment of the Apex Court in Chairman and Managing

Director, United Commercial Bank and others v. P.C.Kokker 1.

(2003) 4 SCC 364

16. The learned counsel for the petitioner would submit that

present petition under Section 33C(2) of the ID Act is

maintainable and he relies on the judgment of the Apex Court in

Central Bank of India Ltd. v. P.S.Rajagopalan 2 for the proposition

that Section 33C(2) of the ID Act is maintainable.

17. As the order impugned is unsustainable for the reasons

discussed in the above paragraphs, this Court directs the Labour

Court to pass appropriate orders after considering the judgment

of the Apex Court in P.S.Rajagopalan's case (2 supra).

18. Hence, for the aforesaid reasons, the finding of the Labour

Court vide order dated 07.04.2016 in M.P.No.1 of 2009 is

unsustainable and it is liable to be set aside.

19. Accordingly, the present Writ Petition is allowed, setting

aside the impugned order dated 07.04.2016 in M.P.No.1 of 2009

on the file of the Labour Court, Guntur-2nd respondent herein

and the matter is remanded to the Labour Court to pass orders

afresh after considering all the provisions of law raised by the

petitioner herein and keeping in view of the judgment of the Apex

AIR 1964 SC 743

Court in the case of Central Bank of India Ltd. v. P.S.Rajagopalan

Etc.3. There shall be no order as to costs.

As a sequel, interlocutory applications, pending if any in

this case, shall stand closed.

________________________________________ JUSTICE TARLADA RAJASEKHAR RAO Date: 02.01.2024 siva

AIR 1964 SC 743

THE HON'BLE SRI JUSTICE TARLADA RAJASEKHAR RAO

WRIT PETITION No.20066 OF 2016

Date: 02.01.2024

siva

 
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