Madras High Court
S.V.Perumal vs The Chairman And Managing ... on 15 June, 2021
W.P(MD)No.8143 of 2021
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED: 15.06.2021
CORAM:
THE HONOURABLE MS.JUSTICE V.M.VELUMANI
W.P(MD)No.8143 of 2021
S.V.Perumal ... Petitioner
vs.
1.The Chairman and Managing Director,
SIDCO, Thiru.V.Ka.Industrial Estate,
Guindy, Chennai – 600 032.
2.The Branch Manager,
SIDCO, Virudhunagar. ... Respondents
PRAYER: Writ Petition filed under Article 226 of the Constitution of India for
issuance of a Writ of Certiorarified Mandamus, to call for the records relating
to the order issued by the first respondent in Rc.No.5288/B-1/2019 and
quash the same and consequently directing the respondents to extend the
benefit of encashment of unearned leave on private affairs for the period of
90 days to the petitioner and to pay monetary benefits to the petitioner with
interest at the rate of 18% per annum payable from the date of retirement
of the petitioner to till the date of payment of the said monetary benefits
based on the scheme of unearned leave on private affairs in accordance
with G.O.Ms.No.488, Finance (Pension) Department, dated 12.08.1996 and
Government letter No.37568/BPE/2006, dated 28.01.2008 within the time
stipulated by this Court.
1/8
https://www.mhc.tn.gov.in/judis/
W.P(MD)No.8143 of 2021
For Petitioner : Mr.K.Muthumalai
For Respondents : Mr.T.Sakthikumaran
ORDER
The petitioner filed this Writ Petition to quash the order passed by the
first respondent in Rc.No.5288/B-1/2019 and for a direction to the
respondents to extend the benefit of encashment of unearned leave on
private affairs for the period of 90 days to the petitioner and to pay
monetary benefits to the petitioner with interest in accordance with
G.O.Ms.No.488, Finance (Pension) Department, dated 12.08.1996 and
Government letter No.37568/BPE/2006, dated 28.01.2008.
2.According to the petitioner, after rendering 30 years of service in the
respondents-SIDCO Corporation, he opted for voluntary retirement and
allowed to retire from service on 31.03.2003. At the time of his retirement,
he was paid with Gratuity, Encashment of Earned Leave and Exgratia
payment. The petitioner was not paid Encashment of unearned Leave on
private affairs.
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W.P(MD)No.8143 of 2021
3.Further, according to the petitioner, by G.O.Ms.No.488, Finance
(Pension) Department, dated 12.08.1996, the Government employees, at
the time of retirement, were given the benefit of Encashment of 50% of the
leave on private affairs. Paragraph No.2(a) & (b) of the said Government
Order, reads as follows:-
“2.The Government have decided to accept the long
pending demand of various associations of employees to
surrender half pay leave on private affairs at the time of
retirement and also to grant full leave salary on
encashment of the entire earned leave at credit of retiring
employees. Accordingly, Government pass the following
orders:-
a.At the time of retirement, 50% of the leave on
private affairs standing to the credit of the employees upto
a maximum of 90 days, be entitled for full leave salary.
The head of office shall draw the leave salary on
encashment of leave on private affairs, as in the case of
encashment of earned leave; and
b.Full leave salary including dearness allowance and
other allowances normally admissible while going on leave
during service be allowed for the entire period of earned
leave encashment of the time of retirement.”
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W.P(MD)No.8143 of 2021
4.The said benefits granted to the Government employees were
extended to the employees of all statutory boards and the State public
sector undertakings, vide letter, dated 28.01.2008, by issuing certain
instructions by the Secretary to the Government, Finance (BPE)
Department.
5.According to the petitioner, the instructions given in the letter, dated
28.01.2008, will take effect from the date of issuance of orders. In view of
the instructions in the Government letter, dated 28.01.2008, it is applicable
retrospectively from the date of issuance of G.O.Ms.No.488, Finance
(Pension) Department, dated 12.08.1996. The petitioner is eligible to get
the encashment of unearned leave on private affairs and the right to get the
encashment of unearned leave on private affairs is an accrued right. Hence,
the petitioner gave a representation, dated 06.08.2019, to the first
respondent and reminder, dated 25.09.2019. The first respondent, by the
impugned order, dated 15.11.2019, stated that the request of the petitioner
for encashment of unearned leave on private affairs cannot be considered.
Challenging the same, the petitioner has come out with the present Writ
Petition.
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W.P(MD)No.8143 of 2021
6.The learned counsel appearing for the petitioner submitted that the
petitioner is eligible to get the encashment of unearned leave on private
affairs and the first respondent, ought to have paid the said amount to the
petitioner and relied on the Judgment of this Court in W.A.No.1352 of 2015,
and etc., batch cases, dated 29.06.2016 [The Government of Tamil Nadu,
Rep. by its Secretary to Government, Environment and Forest Department,
Chennai and others Vs. P.Gurusami].
7.Heard the learned counsel appearing for the petitioner and the
learned counsel appearing for the respondents.
8.From the materials available on record, it is seen that earlier to
G.O.Ms.No.488, Finance (Pension) Department, dated 12.08.1996, the
Government servant was entitled to encashment of the entire earned leave
subject to maximum of 240 days standing to the credit of the employees.
There is no provision for encashment of earned leave on private affairs.
Only by G.O.Ms.No.488, Finance (Pension) Department, dated 12.08.1996,
the Government servants were given the benefits of encashment of 50% of
the leave on private affairs standing to their credit upto a maximum of 90
days. The said benefit was given only to the Government employees.
https://www.mhc.tn.gov.in/judis/
W.P(MD)No.8143 of 2021
Subsequently, by letter, dated 28.01.2008, the said benefit was extended to
the employees of all State public sector undertakings/Boards. In paragraph
No.4 of the said letter, it is made clear that “these instructions will take
effect from date of issue of orders”. Therefore, the extension of benefits
given to the employees of all statutory boards and public sector
undertakings will be prospective in nature and it has no retrospective effect.
The interpretation given by the petitioner is that the benefits extended by
the letter, dated 28.01.2008, has retrospective effect from the date of
issuance of G.O is contrary to paragraph No.4 of the said letter, dated
28.01.2008. The Judgment relied on by the learned counsel for the
petitioner in W.A.No.1352 of 2015 and etc., batch cases, dated 29.06.2016
is not applicable to the facts of the present case. The present issue was not
an issue before the Division Bench of this Court in W.A.No.1352 of 2015 and
etc., batch cases and the Division Bench of this Court did not give any
finding that the letter, dated 28.01.2008, has retrospective effect. When the
petitioner retired on 31.03.2003, on voluntary retirement, the scheme of
encashment of earned leave on private affairs was not in force and
therefore, the petitioner is not entitled to the said benefit. Considering the
above materials, this Court is of the view that there is no error in the
impugned order passed by the first respondent.
https://www.mhc.tn.gov.in/judis/
W.P(MD)No.8143 of 2021
9.For the above reasons, the Writ Petition is dismissed. No costs.
15.06.2021
Index : Yes / No
Internet : Yes / No
ps
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.
To
1.The Chairman and Managing Director,
SIDCO, Thiru.V.Ka.Industrial Estate,
Guindy,
Chennai – 600 032.
2.The Branch Manager,
SIDCO, Virudhunagar.
https://www.mhc.tn.gov.in/judis/
W.P(MD)No.8143 of 2021
V.M.VELUMANI,J.
ps
W.P(MD)No.8143 of 2021
15.06.2021
https://www.mhc.tn.gov.in/judis/
