Pradip Waman Kathane vs The Central Krishak Seva Sahakari ...
2021 Latest Caselaw 15163 Bom

         217-LPA-58-2013.odt                                                                                                   1/4


                       IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                 NAGPUR BENCH, NAGPUR.

                                 LETTERS PATENT APPEAL NO.58 OF 2013
                                                 IN
                                    WRIT PETITION NO.2904 OF 2006

                    Pradeep S/o Waman Kathane, Katangikala, Tah. and Dist. Gondia
                                                               -vs-
 Central Krishak Seva Sahakari Sanstha, Thr. its President, Office at Balaghat Road, Near Shyam
                                      Trader, Gondia. Tahsil and Dist. Gondia
 ---------------------------------------------------------------------------------------------------------------------------------
Office notes, Office Memoranda of
Coram, appearances, Court's orders                                    Court's or Judge's Orders.
or directions and Registrar's orders.

                                  Shri A. R. Patil, Advocate for appellant.
                                  Respondent served.

                                  CORAM : A. S. CHANDURKAR AND G. A. SANAP, JJ.

DATE : October 13, 2021

P. C.

The common judgment dated 18/06/2012 in Writ

Petition No.2904/2006 and connected writ petitions is

challenged in this Letters Patent Appeal. The short question

involved is as regards the quantum of retrenchment

compensation to which the appellant would be entitled pursuant

to retrenchment of his services.

The appellant was engaged temporarily with the

respondent-Co-operative society. After temporary service of

about four years his services were terminated as the financial

condition of the Society was not good. The Society issued a

cheque towards one month's salary in lieu of notice while

terminating the services of the appellant. The appellant

challenged the order of termination by filing complaint under 217-LPA-58-2013.odt 2/4

Section 28 of the Maharashtra Recognition of Trade Unions and

Prevention of Unfair Labour Practices Act, 1971. The Labour

Court by its judgment dated 09/12/2005 allowed the complaint

and directed reinstatement with continuity of service and 50%

back-wages. This judgment of the Labour Court was challenged

by both the parties by preferring separate revision applications.

The Industrial Court by its common order dated 31/12/2005 set

aside the order of termination and directed payment of 40

months' salary being lump sum compensation in lieu of

reinstatement. Being aggrieved the appellant as well as the

Society filed separate writ petitions and by the impugned

judgment the learned Single Judge directed payment of

retrenchment compensation equivalent to 30 days average

salary for every completed year of continuous service. Being

aggrieved the original complainant has filed this appeal.

2. Shri A. R. Patil, learned counsel for the appellant submits

that the monetary compensation as awarded by the learned

Single Judge is on a lower side and in view of the law laid down

in Jagbir Singh vs. Haryana State Agriculture Marketing board and

anr. (2009) 15 SCC 327 the appellant was entitled to higher

amount of compensation. He has also referred to the decision in

Civil Appeal in Special Leave Petition (C) No.19648 of 2019 217-LPA-58-2013.odt 3/4

(Allahabad Bank and ors. vs. Krishan Pal Singh) decided by the

Honourable Supreme Court on 20/09/2021 and on the

aforesaid basis urged that the appellant be awarded higher

amount of compensation.

3. There is no appearance on behalf of the respondent.

With the assistance of the learned counsel for the

appellant we have perused the orders passed by the Courts

below. It is seen that the Labour Court as well as the Industrial

Court have recorded a finding that the Society was suffering

from heavy losses and recovery proceedings for an amount of

Rs.90 lakhs were pending against the Society. The audit report

of the Society was also referred to by this Court. The learned

Single Judge while determining the amount of compensation

has referred to the decision in Anglo-American Direct Tea

Trading Company Ltd. vs. Workmen of Nahortoli Tea Estate

(1961) II L.L.J. 625 wherein compensation equivalent of 30

days of annual pay for every completed year of continuous

service was awarded. On that basis compensation equivalent to

30 days of average pay for every completed year of continuous

service was granted. We find that learned Single Judge was

justified in granting aforesaid compensation especially when

even under the provisions of Section 25-F of the Industrial 217-LPA-58-2013.odt 4/4

Disputes Act, 1947 the compensation prescribed is equivalent to

15 days average pay for every completed year of service.

Moreover, the financial position of the employer also cannot be

ignored while determining the amount of compensation. Taking

all these facts into consideration we do not find that any case is

made out to grant higher compensation to the appellant in this

proceedings.

In the light of aforesaid the Letters Patent Appeal stands

dismissed leaving the parties to bear their own costs.

                                      JUDGE                            JUDGE




Asmita




                                                                          Digitally signed byASMITA
                                                                          ADWAIT BHANDAKKAR
                                                                          Signing Date:22.10.2021
                                                                          10:48:08