E.J.George vs 1. Peruvanthanam Service ...
2023 Latest Caselaw 10816 Ker

            IN THE HIGH COURT OF KERALA AT ERNAKULAM
                             PRESENT
        THE HONOURABLE MR. JUSTICE RAJA VIJAYARAGHAVAN V
   THURSDAY, THE 19TH DAY OF OCTOBER 2023 / 27TH ASWINA, 1945
                      WP(C) NO. 928 OF 2023

PETITIONER :-

           E.J.GEORGE, AGED 59 YEARS
           S/O. JOSEPH, EDACKATTU HOUSE,
           AMALAGIRI, PERUVANTHANAM
           IDUKKI DISTRICT-, PIN - 685532

           BY ADV P.V.BABY


RESPONDENTS :-

     1     PERUVANTHANAM SERVICE CO-OPERATIVE BANK LTD.NO.K.186,
           PERUVANTHANAM P.O, IDUKKI DISTRICT - 685532
           REPRESENTED BY ITS SECRETARY

     2     LIFE INSURANCE CORPORATION OF INDIA
           KOTTAYAM, P&GS UNIT, LIC OF INDIA,
           JEEVAN JYOTHI, II FLOOR, STAR JUNCTION,
           KOTTAYAM - 686 001.
           REPRESENTED BY ITS MANAGER.

           BY ADVS.
           Pranoy K. Kottaram Kottaram
           ABRAHAM P.MEACHINKARA
           SIVARAMAN P.L(K/1457/2020)


           SRI. S EASWARAN, SC FOR LIC



     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
19.10.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.P.(C.) No.928 of 2023

                                                   2




                                            JUDGMENT

The petitioner states that while functioning as Bank Manager of the

Peruvanthanam Service Co-operative Bank Ltd. No.K.186, he attained

superannuation on 31.12.2021. According to the petitioner, the 1st respondent

had a Group Gratuity Insurance Scheme, with the 2nd respondent. In terms of

the Scheme, at the time of the retirement of the petitioner, a sum of

Rs.14,29,769/- was paid by the 2nd respondent towards the gratuity due to the

petitioner. However, only a sum of Rs.10 lakhs was paid to the petitioner and

that too on 13.10.2022. The petitioner asserts that he is entitled to the full

amount in view of the law laid down by a Full Bench of this Court in

Chandrasekharan Nair G. and Others v. Kerala State Co-operative

Agricultural and Rural Development Bank Ltd. and Others1. It is on these

assertions and pleadings that this Writ Petition is filed seeking the following

reliefs:

"i). Issue a writ of mandamus or appropriate writ or order or direction declaring that the petitioner is entitled to receive Rs.4,29,769/- along with interest @ 9% p.a from 31/12/2021 till payment and to pay the amount to the petitioner by the respondents; and.

[2017 (4) KLT 276] W.P.(C.) No.928 of 2023

ii) Direct that the respondents are legally bound to pay interest for Rs. 10 lakhs from 31/12/2021 till 13/10/2022 on which date Rs.10 lakhs was paid to the petitioner; and

iii) Declare that the petitioner is entitled to get Rs.20 lakhs toward gratuity in the light of the provisions contained in the payment of gratuity Act."

2. In the counter affidavit filed by the 2nd respondent it is stated that

the LIC has settled the full amount being Rs.14,29,769/- towards gratuity and

had discharged the liability in full.

3. The 1st respondent has not chosen to file a counter affidavit.

4. I have heard the learned counsel appearing for the petitioner and

the learned Standing Counsel appearing for the respondents.

5. I have considered the submissions advanced. A Full Bench of this

Court in Chandrasekharan Nair G. and Others (supra) had occasion to hold

that Section 4(5) of the Central Act, which enables an employee to opt for better

terms of gratuity will prevail over the Second Proviso to 59(iii) of the Kerala

Co-operative Societies Rules,1969. It was also held that the employee is entitled

to a higher amount if he has opted in terms of Section 4(5) of the Central Act,

even if a lesser amount is due under Section 4(2) thereof. In view of the law laid W.P.(C.) No.928 of 2023

down by the Full Bench, there cannot be any justification on the part of the 1st

respondent in withholding any amount.

In that view of the matter, this writ petition will stand allowed. There will

be a direction to the 1st respondent to pay the balance amount of Rs.4,29,769/-

within a period of one month from today together with interest at the rate of

9% per annum from 31.12.2021 till the date of payment. The right of the

petitioner to claim interest for the delayed payment of Rs.10 lakhs is left open.

Sd/-

RAJA VIJAYARAGHAVAN V, JUDGE

NS W.P.(C.) No.928 of 2023

APPENDIX OF WP(C) 928/2023

PETITIONER EXHIBITS :-

Exhibit P1 A TRUE PHOTOCOPY OF THE REPRESENTATION DATED 20/7/2022 SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT

RESPONDENT EXHIBITS

Exhibit R1 (a) A copy of the decision taken by the Board of Management of the 1st Respondent in the disciplinary proceedings against the Petitioner dated 17.08.2019

Exhibit R1(b) A true copy of the decision taken by the Board of Management of the 1st Respondent dated 11.10.2022

Exhibit R2(A) True copy of the Claim Form sent by the Employer Bank in respect of the petitioner

Exhibit R2(B) True copy of the claim payment letter dt 14.07.2022 addressed to the Employer Bank sent by 2nd respondent