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Tamil Nadu Civil Supplies ... vs S.Manimozhi
2021 Latest Caselaw 19488 Mad

Citation : 2021 Latest Caselaw 19488 Mad
Judgement Date : 23 September, 2021

Madras High Court
Tamil Nadu Civil Supplies ... vs S.Manimozhi on 23 September, 2021
                                                                           Writ Appeal No.2462 of 2021

                                IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                               DATED : 23.09.2021

                                                       CORAM :

                            THE HONOURABLE MR. JUSTICE S.VAIDYANATHAN
                                              AND
                             THE HONOURABLE MR. JUSTICE A.A.NAKKIRAN

                                             Writ Appeal No.2462 of 2021

                     Tamil Nadu Civil Supplies Corporation
                     rep. by its Managing Director,
                     10, Thambuswamy Road,
                     Chennai 10.                                                      ...
                     Appellant

                                                         vs.

                     S.Manimozhi                                                   ... Respondent

                           Writ Appeal filed under Clause 15 of Letters Patent against the order
                     dated 17.10.2019 passed by this Court in W.P.No.29668 of 2019.

                           For Appellant           :      Mr.S.Silambanan,
                                                          Additional Advocate General
                                                          assisted by
                                                          Mr.A.Govindaraj,
                                                          Standing Counsel

                           For Respondent          :      Mr.S.Venkataraman

                                                       *****


                     Page No.1 of 7


http://www.judis.nic.in
                                                                              Writ Appeal No.2462 of 2021




                                                   JUDGMENT

(Judgment of the Court delivered by S.VAIDYANATHAN,J.) The present Appeal has been preferred against the order dated

17.10.2019 passed by the learned Single Judge in W.P.No.29668 of 2019.

2. According to the Appellant, the Respondent/Writ Petitioner, who

was holding the post of Deputy Manager (Movement) in the

Appellant/Corporation at Chennai North Region, was issued a Charge Memo

dated 24.02.2015, alleging excess payment of transport charges, loading and

unloading charges and toll charges in the internal movement of commodities

and she was allowed to retire on 28.02.2015, without prejudice to recovery, if

any. Pursuant thereto, enquiry was held and Enquiry Report was submitted.

In the departmental enquiry, the Authority has passed an order imposing

punishment of stoppage of increment with cumulative effect for two years,

with a further direction to recover the amount of increment from the terminal

benefits.

3. It is the contention of the learned counsel for the Writ Petitioner

before the learned Single Judge that, Gratuity and other terminal benefits

http://www.judis.nic.in Writ Appeal No.2462 of 2021

cannot be withheld and it is a property within the meaning of Article 300-A of

the Constitution of India and that, terminal benefits have to be paid. He has

further stated that, apart from denial of terminal benefits like Gratuity and

encashment of Earned Leave to the Writ Petitioner, she was imposed recovery

of Rs.12,09,589/-.

4. It is submitted by the learned Additional Advocate General

appearing for the Appellant that, the learned Single Judge has allowed the

Writ Petition on the ground that, Pension, Gratuity and encashment of Earned

Leave is a 'property' which cannot be deprived. He went on to state that, all

the terminal benefits due to the Writ Petitioner except encashment of Earned

Leave have been paid and after filing of the Contempt Petition, amount

towards encashment of Earned Leave has also been settled to the Writ

Petitioner. It is his contention that, as there is a financial loss caused to the

Appellant/Corporation, they are entitled to recover the amount, for which, a

Civil Suit has been filed.

5. Learned Additional Advocate General drew the attention of this

Court to the Undertaking dated 11.02.2015 given by the Respondent/Writ

Petitioner to the Appellant/Corporation and the same is extracted hereunder:





http://www.judis.nic.in
                                                                                       Writ Appeal No.2462 of 2021

                                             “ehd;      28/02/2015y;     taJ        Kjph;tpd;
                                      fhuzkhf gzp Xa;g[ bgw cs;nsd;/                     tUk;
                                      fhy';fspy;         vdJ       bgahpy;       gzg;gpoj;j
                                      epYit          VnjDk;      ,Ue;jhYk;       mjida[k;.
                                      jzpf;if              bra;ag;glhj              fhyj;jpy;
                                      gzg;gpoj;jk;       epYit     ,Ue;jhYk;.          mjid
                                      vdf;F         mspf;fg;gl   ntz;oa        <l;oa   tpLg;g[
                                      xg;g[tpg;g[      bjhifapy;         gpoj;jk;      bra;J
                                      bfhs;s          ,f;fojk;         K:yk;     KGrk;kjk;
                                      bjhptpj;Jf; bfhs;fpnwd;/”


6. Benefits bestowed by Law on an employee in recognition of his

committed continuous loyal and devoted duty, by payment of Pension,

Gratuity, Leave Salary, etc. are in the nature of property. This right to

property cannot be taken away without following due process of law, as right

to property has been recognized under Article 300-A of the Constitution of

India.

7. It is an accepted position that, Gratuity and Pension are not

bounties. The concern expressed by the Apex Court that, retirement dues

must be paid in time, is reflected in the case of Dr.Uma Agarwal vs. State of

U.P., (1999) 3 SCC 438. For better appreciation, relevant portion of the said

decision is extracted hereunder:

http://www.judis.nic.in Writ Appeal No.2462 of 2021

“... grant of pension is not a bounty but a right of the Government Servant. The Government is obliged to follow the Rules mentioned in the earlier part of this order in letter and in spirit. Delay in settlement of retiral benefits is frustrating and must be avoided at all costs. Such delays are occurring even in regard to family pensions for which too there is a prescribed procedure. This is indeed unfortunate. In cases where a retired Government Servant claims interest for delayed payment, the Court can certainly keep in mind the time-schedule prescribed in the Rules/Instructions apart from other relevant factors applicable to each case.”

8. The Apex Court in the case of Steel Authority of India Ltd. vs.

Raghbendra Singh, (2020 SCC Online SC 1063), has held that, Gratuity

need not be released, if any amount is payable by the employee to the

employer. In the present case on hand, Gratuity has been released and hence,

the question of retaining it does not arise.

9. As there is a Civil Suit initiated by the Appellant herein which is

pending as O.S.No.5782 of 2019 before the City Civil Court, Chennai, this

Court directs the City Civil Court, Chennai to take up the Suit and

proceed with the hearing of the case on a day-to-day basis without

adjourning the same beyond 15 working days at any point of time.

Except the above direction, no further orders are required in this Writ Appeal,

http://www.judis.nic.in Writ Appeal No.2462 of 2021

as the amount due to the Writ Petitioner has already been disbursed to her. It

is made clear that, the order in the Writ Appeal cannot be put against the

Appellant.

The Writ Petition stands disposed of accordingly. No costs.

Consequently, connected C.M.P.No.15840 of 2021 is closed.

                                                                        [S.V.N.,J.]       [A.A.N.,J.]
                                                                                 23.09.2021
                     Index              :     Yes/No
                     Speaking Order     :     Yes/No

                     (vm/aeb)







http://www.judis.nic.in
                                         Writ Appeal No.2462 of 2021




                                      S.VAIDYANATHAN,J.
                                                AND
                                         A.A.NAKKIRAN,J.

                                                             (aeb)




                                              Judgment in
                                      W.A.No.2462 of 2021




                                                     23.09.2021







http://www.judis.nic.in

 
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