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Vimalkumar Bharatbhai Malam vs Tata Chemicals Limited
2025 Latest Caselaw 811 Guj

Citation : 2025 Latest Caselaw 811 Guj
Judgement Date : 11 July, 2025

Gujarat High Court

Vimalkumar Bharatbhai Malam vs Tata Chemicals Limited on 11 July, 2025

                                                                                                                        NEUTRAL CITATION




                            C/SCA/4284/2023                                            JUDGMENT DATED: 11/07/2025

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                                     IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
                                       R/SPECIAL CIVIL APPLICATION NO. 4284 of 2023


                       FOR APPROVAL AND SIGNATURE:


                       HONOURABLE MRS. JUSTICE M. K. THAKKER

                       ==========================================================

                                    Approved for Reporting                            Yes           No
                                                                                                    ✔
                       ==========================================================
                                                VIMALKUMAR BHARATBHAI MALAM
                                                           Versus
                                                TATA CHEMICALS LIMITED & ORS.
                       ==========================================================
                       Appearance:
                       MR UT MISHRA(3605) for the Petitioner(s) No. 1
                       NOTICE SERVED for the Respondent(s) No. 1,4
                       NOTICE THROUGH RPAD UNSERVED for the Respondent(s) No. 2,3
                       ==========================================================

                         CORAM:HONOURABLE MRS. JUSTICE M. K. THAKKER

                                                                Date : 11/07/2025

                                                            ORAL JUDGMENT

1. Endorsement on the cause list indicates that notice has

been served upon respondent Nos. 1 and 4; however,

none has appeared on their behalf. As regards

respondent Nos. 2 and 3, the notice sent through RPAD

has remained unserved, as the postal cover was

returned with the remark "insufficient address".

2. The present petition has been filed by the petitioner

challenging the order dated 23.03.2022 passed in

NEUTRAL CITATION

C/SCA/4284/2023 JUDGMENT DATED: 11/07/2025

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Recovery C-1 Application No. 6 of 2020, whereby the

learned Labour Court, while directing respondent No.1

to file an affidavit clarifying whether the security of

respondent Nos. 2 and 3 is lying with him, further held

that in the absence of such an affidavit, the petitioner

shall be entitled to proceed under Section 33C(1) of the

Industrial Disputes Act, 1947 (hereinafter referred to as

the "ID Act") to initiate proceedings under the

provisions of the Land Revenue Code, 1879.

3. It is the case of the petitioner that the reference filed

challenging the order of termination was decided in

favour of the petitioner by an award dated 30.11.2019,

passed in Reference No. 82 of 2012. By the said award,

the learned Labour Court directed respondent Nos. 2

and 3 to pay lump sum compensation of ₹75,000/- to the

petitioner in lieu of reinstatement and other benefits. It

was further directed that, in case of failure on the part

of respondent Nos. 2 and 3 to make such payment,

respondent No.1 shall pay the said amount from the

security deposit of respondent Nos. 2 and 3. As

respondent Nos. 2 and 3 failed to comply with the

award, the petitioner initiated proceedings under

NEUTRAL CITATION

C/SCA/4284/2023 JUDGMENT DATED: 11/07/2025

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Section 33C(1) of the Industrial Disputes Act by filing

Application No. 6 of 2020. In those proceedings, the

learned Labour Court directed respondent No.1 to file

an affidavit clarifying the status of the security deposit

of respondent Nos. 2 and 3. It was further observed that,

in the absence of such an affidavit, the petitioner would

be entitled to initiate recovery proceedings under the

Land Revenue Code. The said order is the subject matter

of challenge in the present petition.

4. Heard learned advocate Mr.U.T.Mishra for the petitioner

and as observed above, though respondent has been

served, no one has appeared.

4.1. Learned advocate Mr.Mishra submits that as the

directions issued in the reference being reference No.82

of 2012 was not complied with, the recovery application

was filed, wherein though the learned court has

observed that the petitioner would be entitled to recover

the amount through the Gujarat Land Revenue Code

however, has disposed of the application instead of

issuing the recovery certificate. Learned advocate

Mr.Mishra submits that, in the absence of any pending

proceedings, the petitioner is left without an effective

NEUTRAL CITATION

C/SCA/4284/2023 JUDGMENT DATED: 11/07/2025

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remedy to obtain a recovery certificate for the

implementation of the award. In view of the aforesaid

facts and circumstances, learned advocate Mr. Mishra

prays that the present petition be allowed and the

learned Labour Court be directed to issue the necessary

recovery certificate in accordance with law.

5. Having considered the arguments advanced by the

learned advocate, it emerges that learned reference

court has awarded the reference being No.82 of 2012 in

favour of the present petitioner by issuing the following

directions:-

"1. This Reference is partly allowed.

2. The Respondents No. 1 and 2 of this case shall pay lump-

sum amount of Rs. 75,000/- as compensation in lieu of reinstatement to the Applicant of this application within 30 days from the publication of this award.

3. Further, the Respondent No. 3 of this case is hereby ordered that if the Respondent No. 1 and 2 fail to make payment of the above mentioned amount within 30 days from the publication of this award, procedure shall be undertaken to make payment of above mentioned lump- sum amount of Rs. 75,000/- and Rs. 5,000/- as cost of this application to the Applicant from the Security Deposit of Respondent No. 1 and 2 deposited with the Respondent No.

3. The Respondent No. 1 and 2 shall pay Rs. 5,000/- to the

NEUTRAL CITATION

C/SCA/4284/2023 JUDGMENT DATED: 11/07/2025

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Applicant as cost of this application. The Respondents shall bear their own cost."

6. As the directions issued by the learned labour court has

not been complied with, therefore, the proceedings were

initiated under section 33 C (1) of the ID Act by filing the

Recovery Application being No.6 of 2020. It emerges

that, in the said recovery application, the learned Labour

Court directed respondent No.1 to file an affidavit

clarifying the aspect of the security deposit. In the

operative portion of the order, it was further observed

that, in the absence of such an affidavit, the petitioner

would be entitled to initiate recovery proceedings. This

Court is of the view that, having issued such directions,

the learned Labour Court ought to have proceeded to

issue a recovery certificate. Instead, the petitioner was

merely left with the liberty to initiate recovery

proceedings which, in fact, had already been initiated by

filing Recovery Application No. 6 of 2020. In this

background, the petition deserves to be allowed. The

Recovery Application No. 6 of 2020 is required to be

reconsidered and decided afresh by the learned Labour

Court, with specific directions issued in favour of the

NEUTRAL CITATION

C/SCA/4284/2023 JUDGMENT DATED: 11/07/2025

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petitioner, in accordance with law.

7. Resultantly, this petition is allowed with the above

directions.

(M. K. THAKKER,J) NIVYA A. NAIR

 
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