Kerala High Court
V.D.Paul vs The Kerala State Co-Opertive Coir ... on 2 July, 2021
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE AMIT RAWAL
ND
FRIDAY, THE 2 DAY OF JULY 2021 / 11TH ASHADHA, 1943
WP(C) NO. 32956 OF 2015
PETITIONER:
V.D.PAUL, AGED 66 YEARS,
VEMBULLY HOUSE, UDAYA ROAD, VYTTILA P.O.,
KOCHI - 682 019.
BY ADVS.
SRI.P.RAMAKRISHNAN
SRI.C.ANIL KUMAR
SMT.ASHA K.SHENOY
SRI.S.K.HARISH
SRI.T.C.KRISHNA
SMT.PREETHI RAMAKRISHNAN
SRI.PRATAP ABRAHAM VARGHESE
RESPONDENTS:
1 THE KERALA STATE CO-OPERTIVE COIR MARKETING FEDERATION
LTD.NO.679(COIRFED), P.B.NO.4616,
ALAPPUZHA - 688 012,REPRESENTED BY ITS MANAGING DIRECTOR.
2 DIRECTOR,
COIR DEVELOPMENT, COIR BHAVAN, NANDAVANAM,
PALAYAM, THIRUVANANTHAPURAM - 695 033.
BY ADVS.
SRI B HARISH KUMAR, GOVERNMENT PLEADER
SRI.P.C.SASIDHARAN, SC, COIRFED
SRI.JOBY CYRIAC, SC, COIRFED
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
02.07.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO. 32956 OF 2015 -2-
JUDGMENT
Petitioner, while working as Manager in the
Department of respondent No.1 i.e., the Kerala State Co-
operative Coir Marketing Federation Ltd., on attaining the
age of superannuation, retired on 31.05.2007. An
application for settlement of terminal benefits including
leave encashment was submitted before retirement i.e., on
25.05.2007 vide Ext.P1 and several reminders were sent
but no action was taken. Respondents on the premise of
certain shrinkage did not consider the 2% allowable
tolerance neither the gratuity nor other benefits were
given. Vide Ext.P10 dated 15.03.2011 respondent No.1
sanctioned, eligible gratuity which was disbursed after
four years of his superannuation without payment of
interest, though as per the submission of Mr.T.C.Krishnan,
learned counsel representing the petitioner, interest on
delayed payment of gratuity is 10%. Even the other
benefits have not been released entitling the petitioner to
avail the interest.
2. At this point of time Mr. Harish Kumar, learned
Government Pleader submitted that during the pendency
of the writ petition Government had passed an order dated
03.05.2021 allowing the benefits of the petitioner i.e., 2%
tolerance. Aforesaid order is handed over to this Court
during the hearing of the writ petition.
3. I have heard counsel for the parties and
appraised the paper books.
4. The reliefs sought in the writ petition reads as
under:
"A)issue a writ of certiorari or any other appropriate writ
or order quashing and setting aside Exhibit P-7
B)issue a writ of mandamus or any other appropriate writ
or order directing the 1st & 2nd respondent to allow 2%
tolerance on retail sales as decided by the executive
committee of the 1st respondent.
C)direct the 1st respondent to pay interest on the delayed
payment of gratuity paid to the petitioner.
D)direct the 1st respondent to settle the terminal leave
encashment payable to the petitioner with interest."
The order dated 3.5.2021 is extracted hereinbelow:
"PROCEEDINGS OF THE DIRECTOR OF COIR
DEVELOPMENT THIRUVANANTHAPURAM
(Present: V.R.Vinod I.A.S.)
No.CS2/8745/2007 Dtd:03/05/2021
Sub: Coir Development-Compensation of deficit
occurring due to cut in the scale of coir mattings 2%
tolerance approval granted-orders issued
Read 1. Resolution No: 63 of the Executive Committee of
Coirfed, dated 24.10.1981
2. Lr.No. CF/MM/2009-10/477 dated 30.05.2009 of the
Managing Director Coirfed
3. Lr.No. CF/SM4/4280/Vol.II/1403, dated. 21.08.2009 of the
Managing
Director, Coirfed
4. GO99Rt) No. 1557/09/IND dated, 14.12.2009
MD, Coirfed vide letter read as 2nd paper requested
approval for the tolerance of 2% on cut sale of Coir
mattings. As this is a technical matter and several audit
objects are noted against this, the undersigned sought
clarification regarding the matter and in reply to the
same M D, Coirfed vide letter read as 3 rd paper put
forward a suggestion to constitute a committee to study
and report about the admissibility of tolerance. This
matter has been taken up with Government and
Government vide order read as 4th paper constituted a
committee to study and report on different aspect of
tolerance. This committee in its minutes suggested
granting 2% tolerance as cutting wastage on sale of Coir
mattings. As this is a technical/natural process, the
Executive committee of Coirfed vide 1st read paper had
sought approval of the undersigned stating that "if the
deficit occurred in the stock of Coir mattings send to the
depots, is more than 2%, the same will be realized from
the depot manager concerned". Furthermore, discussed
with the technical experts in the field and noted that
there will be some deficit in the stock of coir mattings
due to the cut selling process in the showrooms.
In the above circumstances stated above, approval
is hereby accorded to Coirfed for allowing 2%
tolerance on the deficit of Coir mattings stock in the
showrooms occurring due to cut sale, and cutting
wastage. This tolerance standard is applicable for the
pending cases of disposal with Coirfed in connection
with retirement benefits of retired employees.
Sd/-
Director of Coir Development
To
The Managing Director, COIRFED
Alappuzha"
On perusal of the above, I am of the view that the
relief Nos.A and B no longer subsists. Ext.P7 would not
come into force. It is a matter of fact that gratuity was
released to the petitioner only in 2011 as evident from
Ext.P10. No explanation has come forth for holding of
payment of gratuity which envisage payment of interest in
case it is not released within the time prescribed at the
rate of 10%. I, thus deem it appropriate to direct the
respondents to pay interest for delayed payment of
gratuity at the same percentage prescribed in the Payment
of Gratuity Act. In view of the aforementioned order, I also
order payment of interest at the rate of 6% per annum
from the date of retirement till the date of the judgment.
Let this interest amount be paid within a period of three
months from the date of receipt of a certified copy of the
judgment.
Sd/-
AMIT RAWAL
JUDGE
vv
APPENDIX OF WP(C) 32956/2015
PETITIONER ANNEXURE
EXT.P-1 TRUE COPY OF APPLICATION DATED
25.5.2007 FROM THE PETITIONER TO THE
IST RESPONDENT
EXT.P-2 TRUE COPY OF MINUTES OF THE EXECUTIVE
COMMITTEE OF THE IST RESPONDENT DATED
24.10.1981 WITH ENGLISH TRANSLATION
EXT.P-3 TRUE COPY OF MINUTES OF THE 23RD
ANNUAL GENERAL BODY MEETING OF THE IST
RESPONDENT HELD ON 14.6.2007 WITH
ENGLISH TRANSLATION
EXT.P-4 TRUE COPY OF LETTER DATED 22.12.2008
SEND BY THE IST RESPONDENT TO THE 2ND
RESPONDENT WITH ENGLISH TRANSLATION
EXT.P-5 TRUE COPY OF LETTER DATED 6.3.2009
SEND BY THE IST RESPONDENT TO THE 2ND
RESPONDENT WITH ENGLISH TRANSLATION
EXT.P-6 TRUE COPY OF ORDER OF THE IST
RESPONDENT DATED 21.5.2008 WITH
ENGLISH TRANSLATION
EXT.P-7 TRUE COPY OF ORDER DATED 27.5.2009 OF
THE 2ND RESPONDENT WITH ENGLISH
TRANSLATION
EXT.P-8 TRUE COPY OF LETTER DATED 30.5.2009
SEND BY THE IST RESPONDENT TO THE 2ND
RESPONDENT WITH ENGLISH TRANSLATION
EXT.P-9 TRUE COPY OF NOTICE DATED 25.2.2011
ISSUED BY THE IST RESPONDENT WITH
ENGLISH TRANSLATION
EXT.P-10 TRUE COPY OF REPRESENTATION DATED
15.3.2011 SUBMITTED BY THE PETITIONER
BEFORE THE IST RESPONDENT
EXT.P-11 TRUE COPY OF LETTER DATED 6.5.2011
ISSUED BY THE IST RESPONDENT WITH
ENGLISH TRANSLATION.
EXT.P-12 TRUE COPY OF REPRESENTATION DATED
20.5.2011 SUBMITTED BY THE PETITIONER
EXT.P-13 TRUE COPY OF LETTER DATED 1.6.2011
ISSUED BY THE IST RESPONDENT WITH
ENGLISH TRANSLATION
EXT.P-14 TRUE COPY OF APPLICATION DATED
15.6.2011 SUBMITTED BY THE PETITIONER
UNDER THE RIGHT TO INFORMATION ACT
BEFORE THE INFORMATION OFFICER OF THE
IST RESPONDENT WITH ENGLISH
TRANSLATION
EXT.P-15 TRUE COPY OF REPLY DATED 18.6.2001
FROM THE INFORMATION OFFICER TO THE
PETITIONER WITH ENGLISH TRANSLATION.
