Kerala High Court
Usha M vs The Kerala State Financial Enterprises ... on 5 April, 2024
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE BASANT BALAJI
FRIDAY, THE 5TH DAY OF APRIL 2024 / 16TH CHAITHRA, 1946
W.P.(C) NO.8566 OF 2024
PETITIONER:
USHA M., AGED 58 YEARS, W/O.SREEKUMAR R. K.,
SREELAKAM, MEKKONE, CHANDANATHOPE P.O.,
KOLLAM, PIN - 691 014.
BY ADVS.
S.M.PREM
G INDUCHUDAN
RESPONDENTS:
THE KERALA STATE FINANCIAL ENTERPRISES LIMITED,
REPRESENTED BY ITS MANAGING DIRECTOR, BHADRATHA,
MUSEUM ROAD, THRISSUR, PIN - 680 020.
BY ADVS.
GOPIKRISHNAN NAMBIAR M, SC
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
05.04.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
2
WPC. 8566/2024
JUDGMENT
(Dated: 5th April, 2024)
The petitioner has joined the service of the Kerala State Financial Enterprises
Ltd., (KSFE) on 04.06.1998 as Junior Assistant. He retired on attaining the age
of superannuation on 31.05.2023 as Deputy Manager. Accordingly, the
petitioner applied for encashment of earned leave accrued to her credit, but
the respondents have not yet paid. There is no justification for retaining the
amounts due to the petitioner by the respondent. Ext.P3 letter dated
29.04.2023 does not empower the respondent to withhold or retain any
amount due to the petitioner, without quantifying liability with notice and
opportunity in accordance with law. Ext.P3 letter refers to liability under the
alleged unsettled audit query and bogus surety when the petitioner was
working at Kilikollur Branch. The petitioner had worked only as Deputy
Manager at Kilikollur Branch from 27.10.2020 to 31.05.2023 till retirement.
2. The grievance of the petitioner is to encash the Earned Leave surrender
amounting to Rs.7,29,584/- accrued to her credit. For this, the petitioner filed
an application dated 01.01.2024 under the Right to Information Act, 2005
(Ext.P1). Ext.P2 is the reply letter dated 25.01.2024.
3. The petitioner approached this Court for issuing a writ of mandamus or
such other writ, direction or order compelling the respondent to pay to the
petitioner the withheld amount of Rs.7,29,584/- towards Earned Leave
surrender salary with interest from 01.06.2023 i.e., when it became due on her
retirement from service till the date of payment.
4. This issue is already covered by the judgment of a Division Bench of this
Court in W.A.No.1151 of 2022 and connected cases, whereby the employer
challenged the judgment of a learned Single Judge of this Court directing
disbursement of terminal benefits and the Division Bench dismissed the
appeals, holding that there are no grounds to interfere with the judgment of
the learned Single Judge. The petitioner herein is also entitled to the same
order in view of the judgment in W.A. No.1151 of 2022 and connected cases.
5. Heard the counsel for the petitioner as well as the respondents.
6. W.A. No.1151 of 2022 was filed against the Judgment in W.P.(C)
No.7203/2021 and connected cases. The learned Single Judge had directed
payment of terminal benefits.
The operative portion of the judgment in W.P.(C)No.7203/2021 reads as
follows:
"6. As observed in D.S.Nakara v.Union of India [(1983) 1 SCC
305), the antiquated notion of pensionary or retiral benefits
being a bounty or a gratuitous payment, depending upon the
sweet will or grace of the employer, and not a right
enforceable through court, has to be under the carpet. It may
also be apposite to note that as per the judgment in W.P(C).
No. 33750 of 2017, filed by another set of disgruntled
pensioners, this court had directed the respondents to pay
the entire benefits within three months. A conspectus of the
above precedents leads to the indubitable conclusion that the
Company is bound to disburse the terminal and other
benefits due to the petitioners forthwith.
In the result, the writ petitions are allowed and the following
directions are issued;
i. The Company shall disburse the DCRG and other benefits
due to the petitioners within three months of receiving a
copy of this judgment.
ii. The unpaid gratuity will carry interest at the rate of 6%,
computed from the first day of the next month of
retirement of the petitioners.
iii. In case of failure to pay the amounts within the three
month period, the Company will be liable to pay 9%
interest on the entire balance amount, reckoned from the
respective dates of retirement of the petitioners".
Taking into account the facts and circumstances of the case and the
above judgments of this Court, there will be a direction to the respondents
to pay to the petitioner the withheld amount of Rs.7,29,584/- towards
earned leave surrender salary, within three months from the date of
receipt of a copy of the judgment. In the case of failure to pay the
amounts within the stipulated time, the amounts will carry interest at the
rate of 6% per annum from the actual due date till payment.
In the result, the writ petition is allowed.
Sd/-
BASANT BALAJI,
JUDGE
ss
APPENDIX OF WP(C) 8566/2024
PETITIONER EXHIBITS:
Exhibit P1 TRUE COPY OF THE PETITIONER'S APPLICATION
DATED 01-01-2024 MADE UNDER THE RIGHT TO
INFORMATION ACT, 2005
Exhibit P2 TRUE COPY OF LETTER BEARING REF.
NO.4155/RIA/23-24(399)112 DATED 25-01-2024
ISSUED BY THE DEPUTY GENERAL MANAGER (P&HR)
& STATE PUBLIC INFORMATION OFFICER OF THE
RESPONDENT
Exhibit P3 TRUE COPY OF LETTER NO. 48602 DATED 29-04-
2023 ISSUED BY THE DEPUTY GENERAL MANAGER
(P&HR) OF THE RESPONDENT
