Citation : 2026 Latest Caselaw 3117 MP
Judgement Date : 31 March, 2026
1 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
IN THE HIGH COURT OF MADHYA
PRADESH
AT IND ORE
BEFORE
HON'BLE SHRI JUSTICE JAI KUMAR PILLAI
ON THE 31st OF MARCH, 2026
WRIT PETITION No. 9453 of 2026
KESHAV KANT PATEL
Versus
THE STATE OF MADHYA PRADESH AND OTHERS
Appearance:
Shri Akash Sharma - Advocate for the petitioner.
Shri Sudeep Bhargav -Dy.A.G for the respondents/State.
Shri Prasanna R. Bhatnagar- Advocate for the respondents
No.2 & 3.
ORDER
Shri Bhatnagar appears on behalf of respondents No.2 & 3, who has been served the copy of the petition along with annexures in compliance of the order dated 25.03.2026. He submits that he has forwarded the copy of the petition to the concerned department but no instruction has been received by him from the department so far.
2 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
2. Counsel for the petitioner submits that this petition may be disposed of in the light of the order dated 16.01.2026 passed in W.A.No.2950/2024 (Pradeep Kumar Saxena vs. State of M.P).
3. Considering the fact that the issue in question has already been settled by the learned Single Judge as also in the above W.A.No.2950/2024 (Pradeep Kumar Saxena vs. State of M.P) dated 16.01.2026, this petition is also disposed of in the same lines. The order dated 16.01.2026 passed in WA No.2950/2024 is reproduced below:
The issues involved in these writ appeals are common; thus, they are being decided by this common order. For the sake of convenience, the facts of Writ Appeal No. 2950/2024 are being taken to decide the controversy involved therein.
2. This writ appeal is filed against the order dated 24.09.2024, whereby the Writ Court has held that the employees who died/retired on or after 10.04.2023 are entitled for enhanced gratuity amount and leave encashment. However, the benefit has been denied to those employees who died/retired before 10.04.2023. Hence, the petitioners are not entitled as they retired before 10.04.2023.
The facts of the case, in short, are as follows:
3. The appellants/petitioners were appointed to the post of Seed Certification Inspector (category 2) in the establishment of M.P. Seed Certification Agency. Thereafter, they were promoted to the post of Deputy Seed Certification Officer in the year 2010. All the service rules applicable to the State Government were made applicable to the petitioners. The petitioners attained the age of superannuation and retired on 31.03.2022.
4. The State Government vide circular dated 26.10.2017 amended the M.P. Civil Services (Pension) Rules, 1976 (in short "the Rules"), whereby the limit of gratuity amount has been enhanced from Rs.10,00,000/- to Rs.20,00,000/-. The aforesaid enhancement was made effective from 01.01.2016 to all the government employees, the date on which the pay-scale was revised after the implementation of the 7th Pay Commission.
3 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
5. According to the petitioners, despite the enhancement of the limit of gratuity amount with effect from 01.01.2016, he was paid only gratuity of Rs.10,00,000/-, whereas his claim comes to Rs.
20,12,357/-. It is also submitted that the petitioner has been granted the benefit of the 7th Pay Commission, which was made effective from 01.01.2016. The petitioner raised a grievance by submitting a representation to the respondents, but no benefits were granted to him. Thereafter, the petitioner came to know that those who retired after their retirement have been granted the benefit of gratuity upto Rs.20,00,000/-. Hence, the petitioner approached the Writ Court by filing a writ petition.
6. The respondent's agency has filed the reply denying the claim on the ground that the M.P. Seed Certification Agency is an autonomous body established under Section 8 of the Seeds Act, 1966 and registered under M.P. Society Registrikaran Adhiniyam, 1973. It is further submitted that the rules framed by the State Government are not ipso facto applicable to the agency. The Board of Directors is competent to decide in respect of the service conditions of the employees. The Service Recruitment Rules are framed, which are called the Service Recruitment Rules, 1990. As per Rule 5 of the Rules of 1990, the classification, scale of pay, etc., are liable to be decided by the Board of Directors. The Board of Directors, in its 87th meeting dated 10.04.2023, decided to make the circular 26.10.2017 applicable to the employees who retired/died on 10.04.2023 or thereafter.
7. The learned Writ Court, while placing reliance on Rule 4 of the Rules 1990, has dismissed the writ petition by holding that the seeds agency is competent to prescribe the cut-off date for the grant of benefit in respect of service conditions to its employees and pensioners. For ready reference, Rule 5 is reproduced below:
"5 वगीकरण वेतनमान अदद:-
(Classification, Scale of pay etc.) सेवा का वगीकरण ईसका वेतनमान तथा सेवा में सम्ममम्ित पदो की संख्या संिग्न ऄनुसूची-एक में दर्ााये ऄनुसार , होगी, परं तु संस्था का संचािक मण्डि आस संबंध में र्ासन द्वारा समय समय पर ददये गये म्नदेर्ो के ऄधीन रहते हुये सेवा में र्ाम्मि पदो की संख्या में अवश्यकतानुसार स्थायी ऄथवा ऄस्थायी रूप से पदो की संख्या या वेतनमानों में पररवतान या संर्ोधन कर सके गा।"
4 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
8. The language of Rule 5 is very clear and specifically provides that the Board of Directors, under the direction of the State Government, may amend or alter the salary and other emoluments only in respect of the number of posts and pay scale. The payment of gratuity is a beneficiary provision to a retired employee; hence, no interference with the order passed by the writ court and the writ appeal is liable to be dismissed.
-:Appriceation & Conclusions:-
9. The State Government vide circular dated 26.10.2017 has amended the pension rules, enhancing the gratuity amount from Rs.10,00,000/- to Rs.20,00,000/-. Therefore, the Board has not assigned any reasons for taking the decision to fix the cut-off date from 10.04.2023. Likewise, the benefit of leave encashment from 240 days to 300 days has also been made applicable from 10.04.2023.
10. The respondent has filed the minutes of 87th meeting, in which the names and designation of all the Board of Director are written, and almost all the Board of Directors are either Class-I Officers of the State Government or University and Corporation. The proposal No.671 was taken in respect of approval of Budget for financial year 2023-24. In the said Budget, 10% amount was enhanced for payment of allowances, gratuity, contributory provident fund, etc. While considering the enhancement of limit of gratuity amount upto 20 lakhs, the cut-off date was fixed on 10.04.2023, but no reason has been assigned. The proposal Nos.672 and 673 are reproduced below:
प्रस्ताव प्रस्ताव मण्डि का म्नणाय
क्रमांक
672 ददनांक 01-01-2016 को ऄथवा मध्यप्रदेर् र्ासन म्वत्त म्वभाग
पश्चात् सेवाम्नवृत्त/ददवंगत बििभ भवन मंत्रािय भोपाि के
र्ासकीष सेवकों के पेंर्न/पररवार झाप कमांक एफः/ 9-
पेंर्न का पुनरीक्षण बावत्। 12/17/म्गमन/बार मौपाि ददनांक
20% ऄक्टू बर 2017 के द्वारा
मध्यप्रदेर् र्ासन म्वता म्वभाग मध्यप्रदेर् म्सम्वि सेवा पेंर्न म्नयम
बल्िभ भवन मंत्रािय भीपाि के 1978 के ऄंतगात देय मृत्यु-सह-
ज्ञाप कमांक एफः/ 9- सेवाम्नवृम्त्त ईपादान की ऄम्धकतम
13/17/म्नयम/चार भोपाि ददनांक सीमा रूपये २० िाख ददनांक
20 ऄक्टू बर 2017 के द्वारा 10.04.2023 ऄथया आसके बाद
5 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
मध्यप्रदेर् म्सम्वि सेवा पेंर्न सेवाम्नवृत्त होने बािै / त्यागपत्र देने म्नयम 1976 वी ऄंतगात देय मृत्यु- वािे या सेवारत रहते हुए कमाचारी सह-सेवाम्नवृम्त्त ईपादान की की मृत्यु ईपरांत भुगतान दकया ऄम्धकतम सीमा रापये 20 िाख जायेगा।
की गइ है।
मण्डि ऄवगत हुअ ईक्त अदेर् को संस्था में िागू करने पर देर् ईपादान के भुगतान के म्िये संस्था ऄपने म्वत्तीय अप स्त्रीतों से अने वािे ऄम्तररक्त म्वत्तीय भार वहन करने के म्िये सक्षम है।
ऄतः राज्य र्ासन की ईका अदेर्ानुसार संस्था यो ऄम्धकाररयों/कमाचाररयों को ईपरोक्तानुसार पुनरीम्क्षत ईपादान की ऄम्धकतम राम्र् रू. 20 िाख की दर से भुगतान दकया जाना प्रस्ताम्वत है।
673 र्ासकीय सेवकों के ऄर्जजत मध्यप्रदेर् र्ासन म्वत्त म्वभाग वल्िभ
ऄवकार् की संचयन सीमा 240 भवन मंत्रािय भोपाि के ज्ञाप कमांक
ददवस के स्थान पर 300 ददवस एकः/2018/म्नयम/चर भोपाि ददनांक
करने बाबत्। 6 ऄगत्त्व 2018 के संस्था के
ऄम्धकाररयों / कमाचाररयों के ऄर्जजत
मध्यप्रदेर् र्ासन म्वत्त म्वभाग ऄवकार् की संचयन सीमा 240 ददवस
वल्िभ भवन मंत्रािय भोपाि के के स्थान पर 300 ददवस अदेर् जारी
ज्ञाप क्रमांक एफः/ 2018/ म्नयम / ददनांक से दकये जाने का मण्डि द्वारा
चार भोपाि ददनांक 6 ऄगस्त ऄनुमोदन ददया गया।
2018 के द्वारा राज्य र्ासन के
कमाचाररयों के ऄर्जजत ऄवकार् की
संचयन सीमा 240 ददवस के स्थान
पर 300 ददवस की गइ है।
ऄतः राज्य र्ासन के ईक्त
अदेर्ानुसार संस्था के ऄम्धकाररयों
/ कमाचाररयों को ईपरोक्तानुसार
ऄर्जजत ऄवकार् के संचयन की
पुनरीम्क्षत सीमा 300 ददवस दकया
6 NEUTRAL CITATION NO. 2026:MPHC-IND:8493
जाना प्रस्ताम्वत है।
11. Therefore, it is clear that there has been no financial constraint or loss and deficit budget behind fixing a cut-off date 10.04.2023, not at par with the State Government employees. Therefore, once the State Government has granted benefits from 01.01.2016 to its employees, there is no reason to discriminate against the employees of Seeds Corporation. Hence, the Writ Appeals are allowed, and the order passed by the Writ Court is set aside. The petitioners are held entitled to the benefit of the circular dated 26.10.2017, the respondents are directed to make it applicable w.e.f. 01.01.2016. Accordingly, the difference of gratuity and leave encashment is to be paid to the petitioners within 60 days from the date of production of a copy of this order.
4. Thus, in view of the above, this petition is disposed off in the light of the order passed in W.A.No.2950/2024 (Pradeep Kumar Saxena vs. State of M.P) dated 16.01.2026 and it is directed that the directions contained therein shall apply mutatis mutandis to the facts of the present case also.
5. Thus, the writ petition stands allowed.
(JAI KUMAR PILLAI) JUDGE hk/
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