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Umesh Chanda Rawal vs The Employees Provident Fund ...
2023 Latest Caselaw 20784 MP

Citation : 2023 Latest Caselaw 20784 MP
Judgement Date : 8 December, 2023

Madhya Pradesh High Court

Umesh Chanda Rawal vs The Employees Provident Fund ... on 8 December, 2023

Author: Maninder S. Bhatti

Bench: Maninder S. Bhatti

                                                       1
                           IN    THE     HIGH COURT OF MADHYA PRADESH
                                              AT JABALPUR
                                                   BEFORE
                                   HON'BLE SHRI JUSTICE MANINDER S. BHATTI
                                          ON THE 8 th OF DECEMBER, 2023
                                          WRIT PETITION No. 14430 of 2021

                          BETWEEN:-
                          1.    UMESH CHANDA RAWAL S/O LATE SHRI
                                GANESHI LAL JI RAWAL, AGED ABOUT 64 YEARS,
                                OCCUPATION: RETIRED VILLAGE EXTENSION
                                ORGANIZER R/O SANJAY MEHTA, KAMLA NEHRU
                                NAGAR BHOPAL MP PIN CODE NO.462003
                                (MADHYA PRADESH)

                          2.    BHERU LAL JATAV S/O SHRI BHAGIRATH JI
                                JATAV, AGED ABOUT 65 YEARS, OCCUPATION:
                                RET. VILLAGE EXTENSION ORGANIZER C/O
                                SANJAY MEHTA KAMLA NEHRU NAGAR
                                (MADHYA PRADESH)

                          3.    ASHOK KUMAR SAXENA S/O SHRI GANPAT
                                SAHAYA, AGED ABOUT 64 YEARS, OCCUPATION:
                                RET. VILLAGE EXTENSION ORGANIZER SHRI
                                VINAYAK RAO VELANKAR DAYA NAGAR YADAV
                                COLONY IN FRONT OF GUPTA SWEETS (MADHYA
                                PRADESH)

                          4.    SHANTI LAL DUBEY S/O SHRI KISHAN DUBEY,
                                AGED ABOUT 66 YEARS, OCCUPATION: RET.
                                SOCEITY EXTENSION ASSISTANT SHRI VINAYAK
                                RAO VELANKAR DAYA NAGAR YADAV COLONY
                                IN FRONT OF GUPTA SWEETS (MADHYA
                                PRADESH)

                                                                             .....PETITIONER
                          (BY SHRI A.K. SINGH - ADVOCATE)

                          AND
                          1.    THE      EMPLOYEES   PROVIDENT     FUND
                                ORGANIZATION THROUGH CHIEF PROVIDENT
                                FUND COMMISSIONER BHAVISHYA NIDHGI
                                BHAWAN 14 BHIKAJI CAMA PLACE, NEW DELHI
                                PIN 110029 (DELHI)

                          2.    REGIONAL PROVIDENT FUND COMMISSIONER
Signature Not Verified
Signed by: PRADYUMNA
BARVE
Signing time: 12/9/2023
5:20:47 PM
                                                       2
                                SUB   REGIONAL    OFFICER 7 BHARATPURI
                                ADMINISTRATIVE ZONE DEVAS ROAD (MADHYA
                                PRADESH)

                          3.    STATE COOPERATIVE DAIRY FEDERATION
                                LI M I TED THR. CHIEF EXECUTIVE OFFICER
                                UJJAIN SAHAKARI DUGDHA SANGH MYDT.
                                MAKSI ROAD (MADHYA PRADESH)

                                                                                        .....RESPONDENTS
                          (SHRI J.K. PILLAI - ADVOCATE FOR RESPONDENT NOS. 1 AND 2)
                          (SHRI SHUVENDRA PANDEY - ADVOCATE ON BEHALF OF SHRI BHAVIL
                          PANDEY - ADVOCATE FOR RESPONDENT NO.3)

                                 This petition coming on for admission this day, the Court passed the
                          following:
                                                               ORDER

With the consent of learned counsel for the parties, this writ petition is heard finally.

2. In this writ petition under Article 226 of the Constitution of India, the petitioner has not challenged any specific order but are aggrieved by non-grant of higher pension on the basis of contribution made towards actual salary under the Employees Pension Scheme,1995.

3. Learned counsel for the parties submit that the issue involved in this petition is already settled by the Apex Court in Employees Provident Fund Organisation & Another Sunil Kumar B & Others passed in S.L.P. (C).Nos.8658-8659/2019, by which the Apex Court had disposed of the S.L.Ps. by upholding the 2014 amendment carried out in the Pension Rules of 1995 and certain directions have been issued in Paragraph No.44 of the judgment with regard to entitlement of higher pension. The directions as contained in the order of the Apex Court are reproduced below:-

"(i) The provisions contained in the notification no. G.S.R. 609(E) dated 22nd August 2014 are legal and valid. So far as present

members of the fund are concerned, we have read down certain provisions of the scheme as applicable in their cases and we shall give our findings and directions on these provisions in the subsequent subparagraphs.

(ii) Amendment to the pension scheme brought about by the notification no. G.S.R. 609(E) dated 22nd August 2014 shall apply to the employees of the exempted establishments in the same manner as the employees of the regular establishments. Transfer of funds from the exempted establishments shall be in the manner as we have already directed.

(iii) The employees who had exercised option under the proviso to paragraph 11(3) of the 1995 scheme and continued to be in service as on 1st September 2014, will be guided by the amended provisions of paragraph 11(4) of the pension scheme.

(iv) The members of the scheme, who did not exercise option, as contemplated in the proviso to paragraph 11(3) of the pension scheme (as it was before the 2014 Amendment) would be entitled to exercise option under paragraph 11(4) of the post amendment

scheme. Their right to exercise option before 1st September 2014 stands crystallized in the judgment of this Court in the case of R.C. Gupta (supra). The scheme as it stood before 1st September 2014 did not provide for any cut off date and thus those members shall be entitled to exercise option in terms of paragraph11(4) of the scheme,

as it stands at present. Their exercise of option shall be in the nature of joint options covering pre-amended paragraph 11(3) as also the amended paragraph 11(4) of the pension scheme. There was uncertainty as regards validity of the post amendment scheme, which was quashed by the aforesaid judgments of the three High Courts.

Thus, all the employees who did not exercise option but were entitled to do so but could not due to the interpretation on cutoff date by the authorities, ought to be given a further chance to exercise their option. Time to exercise option under paragraph 11(4) of the scheme, under these circumstances, shall stand extended by a further period of four months. We are giving this direction in exercise of our jurisdiction under Article 142 of the Constitution of India. Rest of the requirements as per the amended provision shall be complied with.

(v) The employees who had retired prior to 1st September 2014 without exercising any option under paragraph 11(3) of the pre- amendment scheme have already exited from the membership thereof. They would not be entitled to the benefit of this judgment.

(vi) The employees who have retired before 1st September 2014 upon exercising option under paragraph 11(3) of the 1995 scheme shall be covered by the provisions of the paragraph 11(3) of the pension scheme as it stood prior to the amendment of 2014.

(vii) The requirement of the members to contribute at the rate of 1.16 per cent of their salary to the extent such salary exceeds Rs.15000/ per month as an additional contribution under the amended scheme is held to be ultra vires the provisions of the 1952 Act. But for the reasons already explained above, we suspend

operation of this part of our order for a period of six months. We do so to enable the authorities to make adjustments in the scheme so that the additional contribution can be generated from some other legitimate source within the scope of the Act which could include enhancing the rate of contribution of the employers. We are not speculating on what steps the authorities will take as it would be for the legislature or the framers of the scheme to make necessary amendment. For the aforesaid period of six months or till such time a n y amendment is made, whichever is earlier, the employees contribution shall be as stop gap measure. The said sum shall be adjustable on the basis of alteration to the scheme that may be made.

(viii) We do not find any flaw in altering the basis for computation of pensionable salary.

(ix) We agree with the view taken by the Division Bench in the case of R.C. Gupta (supra) so far as interpretation of the proviso to paragraph 11(3) (pre-amendment) pension scheme is concerned. The fund authorities shall implement the directives contained in the said judgment within a period of eight weeks, subject to our directions contained earlier in this paragraph.

(x) The Contempt Petition (C) Nos.19171918 of 2018 and Contempt Petition (C) Nos. 619620 of 2019 in Civil Appeal Nos. 1001310014 of 2016 are disposed of in the above terms".

4. In view of the aforesaid guidelines, this writ petition can also be disposed of with the direction to the Competent Authority to decide the claim of the petitioner in accordance with the decision of the Apex Court in

Employees Provident Fund Organisation & Another Sunil Kumar B & Others (supra).

5. Let the entire exercise be completed as expeditiously as possible within a period of two months from the date of receipt of certified copy of the order being passed today.

6. In above terms, this writ petition is disposed of.

(MANINDER S. BHATTI) JUDGE PB

 
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