Citation : 2025 Latest Caselaw 6799 MP
Judgement Date : 18 June, 2025
NEUTRAL CITATION NO. 2025:MPHC-GWL:12176
1 WP-13241-2022
IN THE HIGH COURT OF MADHYA PRADESH
AT GWALIOR
BEFORE
HON'BLE SHRI JUSTICE ASHISH SHROTI
ON THE 18th OF JUNE, 2025
WRIT PETITION No. 13241 of 2022
RAJENDRA SINGH KUSHWAH
Versus
THE STATE OF MADHYA PRADESH AND OTHERS
Appearance:
Shri K.K. Sharma - learned counsel for the petitioner.
Shri N.K. Gupta- learned Government Advocate for the
respondents/State.
ORDER
1. The petitioner has filed this petition under Article 226 of the Constitution of India whereby the amount of Rs.3,40,047/- has been directed to be recovered from the petitioner on account of wrong fixation of salary.
2. The petitioner retired from the post of Head Constable w.e.f. 31/12/2021. After his retirement, the impugned order was issued on 02/02/2022 thereby directing recovery of amount Rs.3,40,047/- which is alleged to have been
paid in excess to the petitioner on account of erroneous fixation of his salary. The respondents have filed a calculation chart as Annexure R/2 which reflects that the excess amount paid to the petitioner relates to the year 2016 onwards. Annexure R/4 shows that the respondents have also charged interest on the excess amount paid to the petitioner.
3. The learned counsel for the petitioner challenging the action of the respondents submitted that recovery effected from the petitioner's retiral dues is
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2 WP-13241-2022 unsustainable in law firstly on the ground that no opportunity of hearing was given to the petitioner. Secondly, he submitted that after retirement of the petitioner, recovery cannot be made from his retiral dues in view of the Full Bench judgment of this Court in the case of State of Madhya Pradesh & others Vs. Jagdish Prasad Dubey reported in (2024)2 M.P.L.J. 198 . He also relied upon the judgment of the Apex Court in the case of State of Punjab Vs. Rafiq Masih (White Washer) reported in (2015)4 SCC 334 . He, therefore, submits that the impugned order of recovery is unsustainable in law and is liable to be set-aside.
4. On the other hand, learned Government Advocate for the respondents/State supports the impugned order and submits that the petitioner was erroneously paid excess amount of salary which has been directed to be recovered from the petitioner. He submits that the petitioner has submitted indemnity bond
filed as Annexure R/3 and therefore, the petitioner is bound by undertaking given by him. In view of the aforesaid, he submits that the action of the respondents in recovering excess amount from the petitioner's retiral dues is legal and valid and no interference is warranted in the instant case.
5. Considered the arguments and perused the record.
6. The Full Bench in the case of Jagdish Prasad Dubey (supra) has dealt with the similar controversy and held as under:-
"35. (a) Question No. 1 is answered by holding that recovery can be effected from the pensionary benefits or from the salary based on the undertaking or the indemnity bond given by the employee before the grant of benefit of pay refixation. The question of hardship of a Government servant has to be taken note of in pursuance to the judgment passed by the Larger Bench of the Hon'ble
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3 WP-13241-2022 Supreme Court in the case of Syed Abdul Qadir (supra). The time period as fixed in the case of Rafiq Masih (supra) reported in (2015) 4 SCC 334 requires to be followed. Converselyan undertaking given at the stage of payment of retiral dues with reference to the refixation of pay or increments done decades ago cannot be enforced.
(b) Question No. 2 is answered by holding that recovery can be made towards the excess payment made in terms of Rules 65 and 66 of the Rules of 1976 provided that the entire procedures as contemplated in Chapter VIII of the Rules of 1976 are followed by the employer. However, no recovery can be made in pursuance to Rule 65 of the Rules of 1976 towards revision of pay which has been extended to a Government servant much earlier. In such cases, recovery can be made in terms of the answer to Question No. 1.
(c) Question No.3 is answered by holding that the undertaking given by the employee at the time of grant of financial benefits on account of refixation of pay is a forced undertaking and is therefore not enforceable in the light of the judgment of the Hon'ble Supreme Court in the case of Central Inland Water Transport Corporation Limited (supra) unless the undertaking is given voluntarily."
7. In view of the aforesaid, the indemnity bond filed as Annexure R/3
cannot be relied upon by respondents inasmuch as the same was taken at the time of retirement of the petitioner and does not relate to the period to which the
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alleged wrong fixation of the petitioner's salary was done. Thus, in view of the law laid down by the Full Bench, recovery effected by the respondents after retirement of the petitioner is unsustainable in the law. Further, the Apex Court in the case of Rafiq Masih (supra) has issued following directions:-
"18. It is not possible to postulate all situations of hardship, which would govern employees on the issue of recovery, where payments have mistakenly been made by the employer, in excess of their entitlement. Be that as it may, based on the decisions referred to herein above, we may, as a ready reference, summarise the following few situations, wherein recoveries by the employers, would be impermissible in law:
(i) Recovery from employees belonging to Class-III and Class-IV service (or Group 'C' and Group 'D' service).
(ii) Recovery from retired employees, or employees who are due to retire within one year, of the order of recovery.
(iii) Recovery from employees, when the excess payment has been made for a period in excess of five years, before the order of recovery is issued.
(iv) Recovery in cases where an employee has wrongfully been required to discharge duties of a higher post, and has been paid accordingly, even though he should have rightfully been required to work against an inferior post.
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(v) In any other case, where the Court arrives at the conclusion, that recovery if made from the employee, would be iniquitous or harsh or arbitrary to such an extent, as would far outweigh the equitable balance of the employer's right to recover."
8. In view of the aforesaid legal position, the impugned order dated 02/02/2022 passed by the respondents directing recovery of excess amount is thus unsustainable in law and accordingly, is set-aside. The respondents no.3 is directed to refund the aforesaid amount to the petitioner with interest at the rate of 6% per annum from the date of retirement of the petitioner i.e. 31/12/2021 till the actual date of payment. Let the same be done within a period of 90 days from the date of furnishing certified copy of this order.
9. With the aforesaid, this writ petition is disposed off.
(ASHISH SHROTI) JUDGE
rahul
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