Citation : 2024 Latest Caselaw 15995 Ker
Judgement Date : 7 June, 2024
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
FRIDAY, THE 7TH DAY OF JUNE 2024 / 17TH JYAISHTA, 1946
WP(C) NO. 14663 OF 2016
PETITIONER:
THE DIRECTOR,
FLUID CONTROL RESEARCH INSTITUTE,
KANJIKODE WEST, PALAKKAD - 678 623.
BY ADV
SRI. K. K. PREMALAL
RESPONDENTS:
1 BHAKTHA VALSALAN A.,
KANNALATHUVEEDU, KARINGALIPALLAM,
CHITTUR - 678 101, PALAKKAD.
2 THE CONTROLLING AUTHORITY UNDER THE
PAYMENT OF GRATUITY ACT 1972 AND ASSISTANT
LABOUR COMMISSIONER CENTRAL,
COCHIN - 682 018.
3 THE APPELLATE AUTHORITY UNDER PAYMENT
OF GRATUITY ACT 1972 AND
DEPUTY CHIEF LABOUR COMMISSIONER (CENTRAL)
COCHIN.
BY ADV.
SRI. K. G. RAJEESH - R1
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
07.06.2024, ALONG WITH WP(C).24450/2016, 26293/2014 AND CONNECTED
CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO. 14663 of 2016 & connected matters
2
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
FRIDAY, THE 7TH DAY OF JUNE 2024 / 17TH JYAISHTA, 1946
WP(C) NO. 24450 OF 2016
PETITIONER:
THE DIRECTOR, FLUID CONTROL RESEARCH INSTITUTE
KANJIKODE WEST,PALAKKAD-678 623.
BY ADV SRI.K.K.PREMALAL
RESPONDENTS:
1 K.GANGADHARAN
PAZHANIARPALAYAM.P.O,AMBADI,KOZHINJAMPARA,
CHITTUR, PALAKKAD DISTRICT,
PIN-678 555.
2 THE CONTROLLING AUTHORITY UNDER THE PAYMENT OF
GRATUITY ACT 1972 AND ASSISTANT COMMISSIOSNER
CENTRAL.
COCHIN,PIN-682 011.
3 THE APPELLATE AUTHORITY UNDER PAYMENT OF GRATUITY
ACT 1972 AND DEPUTY CHIEF LABOUR COMMISSIONER
(CENTRAL),
COCHIN,PIN-682 011.
BY ADVS.
SRI.K.G.RAJEESH
ASSISTANT SOLICITOR GENERAL
T.C.KRISHNA, ASG OF INDIA
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 07.06.2024, ALONG WITH WP(C).14663/2016 AND
CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
WP(C) NO. 14663 of 2016 & connected matters
3
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
FRIDAY, THE 7TH DAY OF JUNE 2024 / 17TH JYAISHTA, 1946
WP(C) NO. 26293 OF 2014
PETITIONERS:
THE DIRECTOR
FLUID CONTROL RESEARCH INSTITUTE, KANJIKODE WEST,
PALAKKAD - 678 623.
RESPONDENTS:
1 C.KRISHNAKUTTY
S/O. VELAYUDHAN, THENICHAMPURA, KARIYANKODE P.O.,
KOTTAYI, PALAKKAD - 678 572.
2 THE CONTROLLING AUTHORITY UNDER THE PAYMENT OF
GRATUTITY ACT 1972 AND ASSISTANT LABOUR
COMMISSIONER CENTRAL,
COCHIN - 682 018.
3 THE APPELLATE AUTHORITY UNDER PAYMENT OF GRATUITY
ACT 1972 AND REGIONAL LABOUR COMMISSIONER
(CENTRAL),
COCHIN - 682 018.
BY ADVS.
SRI.K.G.RAJEESH
ASSISTANT SOLICITOR GENERAL
T.C. KRISHNA, ASG OF INDIA
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 07.06.2024, ALONG WITH WP(C).14663/2016 AND
CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
WP(C) NO. 14663 of 2016 & connected matters
4
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
FRIDAY, THE 7TH DAY OF JUNE 2024 / 17TH JYAISHTA, 1946
WP(C) NO. 26303 OF 2014
PETITIONER:
THE DIRECTOR, FLUID CONTROL RESEARCH INSTITUTE
KANJIKODE WEST, PALAKKAD - 678 623.
BY ADV SRI.K.K.PREMALAL
RESPONDENTS:
1 K.MANI
S/O V.KUMARAN,
THULASIMANI HOUSE, HILL VIEW NAGAR, KANJIKODE
WEST PALAKKAD - 678 623.
2 THE CONTROLLING AUTHORITY
UNDER THE PAYMENT OF GRATUITY ACT 1972 AND
ASSISTANT LABOUR COMMISSIONER CENTRTAL,
COCHIN, PIN - 682 018.
3 THE APPELLATE AUTHORITY
UNDER THE PAYMENT OF GRATUITY ACT 1972 AND
ASSISTANT LABOUR COMMISSIONER (CENTRTAL),
COCHIN, PIN - 682 018.
BY ADVS.
SRI.K.G.RAJEESH
ASSISTANT SOLICITOR GENERAL
T.C. KRISHNA, ASG OF INDIA
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 07.06.2024, ALONG WITH WP(C).14663/2016 AND
CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
WP(C) NO. 14663 of 2016 & connected matters
5
DINESH KUMAR SINGH, J.
--------------------------
W.P.(C) Nos. 14463 of 2016, 26293 of 2014, 26303 of 2014 &
24450 of 2016
-------------------------
Dated this the 7th day of June, 2024
JUDGMENT
1. The present batch of writ petitions have been filed by the
petitioner, the Director, Fluid Control Research Institute, a Society
registered under the Societies Registration Act, 1860 against the
orders passed by the controlling authority and the appellate
authority whereby it has been held that the Payment of Gratuity Act,
1972 (hereinafter referred to as the 'Gratuity Act' for short) is
applicable to the petitioner's establishment.
2. The petitioner is a research institute working under the aids of
the Ministry of Heavy Industries. The petitioner's institute is also
registered under the provisions of the Contract Labour
(Regularisation and Abolition) Act, 1970. It is also not in dispute that
there are more than 20 employees working in the petitioner's
institute.
3. The learned Counsel for the petitioner submits that the
petitioner carries out only research work and it does not indulge in
any commercial activity and it is not a shop and, therefore, the
provisions of the Gratuity Act would not be applicable to the WP(C) NO. 14663 of 2016 & connected matters
petitioner's institute. The learned Counsel for the petitioner further
submits that, this vital aspect has been not taken into consideration
by the two authorities below and the orders impugned are therefore
liable to be set aside.
4. On the other hand, the learned Counsel for the respondents
workmen has submitted that the provisions of the Gratuity Act are
applicable to all shops and establishments. An organization/concern
may be a shop or an establishment. He further submits that the
commercial motive is irrelevant for applicability of the provisions of
the Gratuity Act. If a concern is an establishment under the
provisions of any other law and, there are more than 10 employees
working in the said establishment, the provisions of the Gratuity Act
would be applicable.
5. I have considered the submissions. Section 1(3)(b) of the
Gratuity Act provides as under;
"Section: 1 Short title, extent, application and commencement.
(3) It shall apply to -
(b) every shop or establishment within the meaning of any law for the time being in force in relation to shops and establishments in a State, in which ten or more persons are employed, or were employed, on any day of the preceding twelve months;"
WP(C) NO. 14663 of 2016 & connected matters
Therefore, every shop or establishment within the meaning of any
law for the time being in force in relation to shops and
establishments in the State where more than 10 persons are
employed would come within the ambit of the Gratuity Act.
6. The petitioner is a registered Society under the provisions of
the Societies Registration Act, 1860 and, therefore, it is an
establishment under the Societies Registration Act, 1860. Further,
the petitioner is also registered under the provisions of the Contract
Labour (Regularisation and Abolition) Act, 1970 and, therefore, it is
an establishment under the said Act as well. It is not in dispute that,
in the petitioner's institute there are more than 10 persons
employed. Therefore, I am of the considered view that the
petitioner's institute is an establishment under the law where there
are more than 10 persons are employed and, therefore, the
provisions of Gratuity Act is applicable to the petitioner's institute. I
do not find that the two authorities have taken the view which is
contrary to the law and requires an interference by this Court in
exercise of its jurisdiction under Article 227 of the Constitution of
India. These writ petitions are therefore dismissed.
Sd/-
DINESH KUMAR SINGH JUDGE Svn WP(C) NO. 14663 of 2016 & connected matters
APPENDIX OF WP(C) 24450/2016
PETITIONER'S EXHIBITS
EXHIBIT P1 THE TRUE COPY OF THE MASTER POLICY NO.G.G(CA)405528.
EXHIBIT P2 THE TRUE COPY OF THE RULES OF GROUP GRATUITY (CASH ACCUMULATION SCHEME).
EXHIBIT P3 THE TRUE COPY OF THE BANK PAYMENT VOUCHER DATED 19.08.2014.
EXHIBIT P4 THE TRUE COPY OF ORDER DATED 24.11.2015 BY THE SECOND RESPONDENT.
EXHIBIT P5 THE TRUE COPY OF THE ORDER DATED 30.05.2016 OF THE THIRD RESPONDENT. WP(C) NO. 14663 of 2016 & connected matters
APPENDIX OF WP(C) 26293/2014
PETITIONER'S EXHIBITS
EXHIBIT P1 THE TRUE COPY OF THE MASTER POLICY NO.
G.G(CA) 405528.
EXHIBIT P2 THE TRUE COPY OF THE RULES OF GROUP GRATUITY (CASH ACCUMULATION SCHEME).
EXHIBIT P3 THE TRUE COPY OF THE APPOINTMENT ORDER DT. 31.3.2000.
EXHIBIT P4 THE TRUE COPY OF THE INTIMATION OF THE INTERVIEW DT. 03.8.1999.
EXHIBIT P5 THE TRUE COPY OF THE BANK PAYMENT VOUCHER DT. 31.12.12 DULY SIGNED BY THE FIRST RESPONDENT.
EXHIBIT P6 THE TRUE COPY OF THE APPLICATION FOR DIRECTION IN FORM - N BY THE FIRST RESPONDENT BEFORE THE SECOND RESPONDENT.
EXHIBIT P7 THE TRUE COPY OF THE WRITTEN STATEMENT FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT.
EXHIBIT P8 THE TRUE COPY OF THE ADDITIONAL STATEMENT DT. 07.3.13 FILED BY THE FIRST RESPONDENT BEFORE THE SECOND RESPONDENT.
EXHIBIT P9 THE TRUE COPY OF THE ADDITIONAL WRITTEN STATEMENT FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT.
EXHIBIT P10 THE TRUE COPY OF THE ORDER DT. 24.2.14 BY THE SECOND RESPONDENT.
EXHIBIT P11 THE TRUE COPY OF THE APPEAL MEMORANDUM SUBMITTED BY THE PETITIONER BEFORE THE THIRD RESPONDENT.
EXHIBIT P12 THE TRUE COPY OF THE ORDER DT. 05.8.14 OF THE THIRD RESPONDENT.
WP(C) NO. 14663 of 2016 & connected matters
EXHIBIT P13 THE TRUE COPY OF THE PROCEEDINGS OF THE REGIONAL PROVIDENT FUND COMMISSIONER KOZHIKODE DT. 22.5.08.
WP(C) NO. 14663 of 2016 & connected matters
APPENDIX OF WP(C) 26303/2014
PETITIONER'S EXHIBITS EXHIBIT P1 THE TRUE COPY OF THE MASTER POLICY NO.G.G.(CA)405528.
EXHIBIT P2 THE TRUE COPY OF THE RULES OF GROUP GRATUITY (CASH ACCUMULATION SCHEME).
EXHIBIT P3 THE TRUE COPY OF THE APPOINTMENT ORDER DATED 31-03-2000.
EXHIBIT P4 THE TRUE COPY OF THE INTIMATION OF THE INTERVIEW DATED 03-08-1999.
EXHIBIT P5 THE TRUE COPY OF THE BANK PAYMENT VOUCHER DATED 31-12-2012 DULY SIGNED BY THE FIRST RESPONDENT.
EXHIBIT P6 THE TRUE COPY OF THE APPLICATION FOR DIRECTION IN FORM-N BY THE FIRST RESPONDENT BEFORE THE SECOND RESPONDENT.
EXHIBIT P7 THE TRUE COPY OF THE WRITTEN STATEMENT FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT.
EXHIBIT P8 THE TRUE COPY OF THE ADDITIONAL STATEMENT DATED 7-3-2013 FILED BY THE FIRST RESPONDENT BEFORE THE SECOND RESPONDENT.
EXHIBIT P9 THE TRUE COPY OF THE ADDTIONAL WRITTEN STATEMENT FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT.
EXHIBIT P10 THE TRUE COPY OF THE ORDER DATED 24-2- 2014 BY THE SECOND RESPONDENT.
EXHIBIT P11 THE TRUE COPY OF THE APPEAL MEMORANDUM SUBMITTED BY THE PETITIONER BEFORE THE THIRD RESPONDENT.
EXHIBIT P12 THE TRUE COPY OF THE ORDER DATED 5-8- 2014 OF THE THIRD RESPONDENT.
WP(C) NO. 14663 of 2016 & connected matters
EXHIBIT P13 THE TRUE COPY OF THE PROCEEDINGS OF THE REGIONAL PROVIDENT FUND COMMISSIONER KOZHIKODE DATED 22-05-2008.
WP(C) NO. 14663 of 2016 & connected matters
APPENDIX OF WP(C) 14663/2016
PETITIONER'S EXHIBITS
EXHIBIT P1: THE TRUE COPY OF THE MASTER POLICY NO.G.G(CA)405528.
EXHIBIT P2: THE TRUE COPY OF THE RULES OF GROUP GRATUITY (CASH ACCUMULATION SCHEME).
EXHIBIT P3: THE TRUE COPY OF THE BANK PAYMENT VOUCHER DATED 24.2.2014.
EXHIBIT P4: THE TRUE COPY OF ORDER DATED 26.2.2015 BY THE SECOND RESPONDENT.
EXHIBIT P5: THE TRUE COPY OF THE ORDER DATED 22.2.2016 OF THE THIRD RESPONDENT.
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