Citation : 2021 Latest Caselaw 11388 Mad
Judgement Date : 3 June, 2021
W.A.(MD)No.1062 of 2021
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED: 03.06.2021
CORAM:
THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM
AND
THE HONOURABLE MRS.JUSTICE S.ANANTHI
W.A.(MD)No.1062 of 2021
and
C.M.P.(MD)No.4747 of 2021
1.The Registrar of Co-operative Societies (Housing),
Office of the Registrar of Co-operative Societies,
Chennai.
2.The Regional Deputy Registrar (Housing),
Khajamalai, Trichy – 20. : Appellants
Vs.
1.S.Murugavadivelan
2.The President,
TRY (HSG) 18, Manapparai Taluk Co-operative Housing Society Ltd.,
PVSA Complex,
Mariyamman Kovil Street,
Manapparai Taluk,
Trichy District. : Respondents
PRAYER: Writ Appeal filed under Clause 15 of the Letters Patent,
praying to set aside the order dated 05.03.2019, in W.P.(MD)No.16390 of
2015.
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W.A.(MD)No.1062 of 2021
For Appellants : Mr.A.K.Manickam
Standing Counsel for Government
For Respondent No.1 : Mr.S.Vinayak
For Respondent No.2 : No appearance
JUDGMENT
*************** [Judgment of the Court was delivered by T.S.SIVAGNANAM, J.]
With the consent on either side, this Writ Appeal is taken up for
final disposal.
2.This appeal by the Registrar of Co-operative Societies, is
directed against the order dated 05.03.2019, in W.P.(MD)No.16390 of
2015.
3.The first respondent, who was working as a Secretary of the
second respondent Society, retired from service on attaining the age of
superannuation on 31.05.2012. However, his retirement benefits namely,
Provident Fund, Gratuity, Earned Leave and arrears of Leave Salary and
other approved benefits were not paid. Therefore, a writ petition was
filed in the year 2015, praying for a direction upon the appellants as well
as the second respondent Society to settle the retirement benefits
together with interest at 12% p.a. Learned Single Bench, taking note of
the undisputed facts that the first respondent / writ petitioner was
allowed to retire from service, directed the benefits to be paid together
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W.A.(MD)No.1062 of 2021
with interest at the rate of 8% p.a. from the date of retirement till the
date of claim.
4.The appellants are before this Court by contending that the
second respondent Society has been wound up and a liquidator has been
appointed pursuant to the orders of the second appellant on 18.12.2019
and in the liquidation proceedings, preference will be given to the
depositors. Further, it is submitted by the appellants that the outstanding
of the second respondent society as on 30.09.2019 is Rs.37,96,000/-
excluding interest and the Society is in arrears of Rs.41,20,000/- to the
Tamil Nadu Co-operative Housing Federation. Further, it is submitted
that balance loan amount to be recovered from the borrowers is
Rs.3,24,000/-. Even if the same is recovered, it will not be sufficient to
defray even the arrears of salary of the serving employees.
5.It may be true that the second respondent Society has been
wound up. In fact, in the grounds of appeal filed by the appellants, they
would blame the first respondent for the present situation to which the
Society has been pushed. However, the appellants do not dispute the fact
that the first respondent has been allowed to retire on attaining the age
of superannuation. Therefore, at this juncture, by citing that the affairs
of the Society was not properly managed cannot be a reason to deny the
retirement benefits payable to the first respondent.
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W.A.(MD)No.1062 of 2021
6.In the light of the above, we find no good reason to interfere
with the order and direction issued by the learned Single Bench.
However, considering the fact that the second respondent Society has
already been wound up and liquidation proceedings are being
undertaken, we modify the percentage of interest granted to the first
respondent and the retirement benefits by reducing it to 6% instead of
8%. Except for the above modification, the order and direction issued is
confirmed.
7.The Writ Appeal stands dismissed, accordingly. However, there
shall be no order as to costs. Consequently, the connected miscellaneous
petition is closed.
[T.S.S., J.] & [S.A.I., J.]
03.06.2021
Index : Yes / No
Internet : Yes / No
MR/RR
Note: In view of the present lock down owing to COVID-19 pandemic, a web copy of the order may be utilized for official purposes, but, ensuring that the copy of the order that is presented is the correct copy, shall be the responsibility of the advocate/litigant concerned.
https://www.mhc.tn.gov.in/judis/
W.A.(MD)No.1062 of 2021
T.S.SIVAGNANAM, J.
AND S.ANANTHI, J.
MR/RR
JUDGMENT MADE IN W.A.(MD)No.1062 of 2021
03.06.2021
https://www.mhc.tn.gov.in/judis/
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