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P.Ranganathan … vs The Treasury Officer
2022 Latest Caselaw 152 Mad

Citation : 2022 Latest Caselaw 152 Mad
Judgement Date : 4 January, 2022

Madras High Court
P.Ranganathan … vs The Treasury Officer on 4 January, 2022
                                                                                            W.P. No.18392 of 2020


                                  IN THE HIGH COURT OF JUD9ICATURE AT MADRAS

                                                      DATED: 04.01.2022

                                                              CORAM

                                  THE HONOURABLE MR. JUSTICE V.PARTHIBAN

                                                 W.P. No.18392 of 2020
                                               and WMP No.22783 of 2020

                P.Ranganathan                                                              … Petitioner

                                                                 Vs

                The Treasury Officer,
                District Treasury,
                Collectorate,
                Namakkal.
                                                                                           … Respondent


                PRAYER : Petition filed under Article 226 of the Constitution of India praying
                for the issuance of Writ of Certiorarified Mandamus to call for the records of the
                respondent the communication by the Treasury Officer in his proceeding vide
                Na.Ka.No.412/2020/A1                dated     26.05.2020   and     quash   the   same      and
                consequently, direct the respondent to disburse the General Provident Fund,
                Special Provident Fund, Encashment of Earned Leave, Unearned Leave on
                private affairs, terminal benefits and subsistence allowance/provisional pension
                of the petitioner within a specified time frame.

                                   For Petitioner           : Ms.K.Sathish Kumar
                                   For Respondent       : Mr.L.S.M.Hasan Fizal
                                                             Additional Government Pleader

https://www.mhc.tn.gov.in/judis
                1/6
                                                                                    W.P. No.18392 of 2020




                                                    ORDER

The case of the petitioner is that he was appointed as Junior Assistant on

25.03.1998 and while he was subsequently promoted and working as

Accountant at District Treasury, Namakkal, he was placed under suspension on

04.05.2007 on the ground that he was arrested for the offence under Section 7

and 13(2) read with 13(1)(d) of the Prevention of Corruption Act, 1988 and a

case was registered in Crime No.2/Ac/2007/SL/SC dated 03.05.2007. Further,

the petitioner was not permitted to retire from service upon reaching the age of

superannuation on 30.06.2010.

2. Since the terminal benefits have not been paid to the petitioner, the

petitioner has approached this Court in W.P.No.16898 of 2010 seeking

provisional pension. This Court, by order dated 02.11.2011 directed the

respondent to pay the provisional pension without prejudice to the criminal

proceedings. However, the respondent while paying 50% of the subsistence

allowance refused to pay the retirement benefits vide order dated 13.12.2010.

Challenging the said order, the petitioner has yet again approached this Court in

W.P.No.26806 of 2014.

3. During the pendency of the aforesaid Writ Petition, the petitioner was

convicted and awarded a sentence of 2 years simple imprisonment with fine of

https://www.mhc.tn.gov.in/judis

W.P. No.18392 of 2020

Rs.1000/-. Thereafter, this Court, vide order dated 19.11.2019 disposed

W.P.No.26806 of 2014 directing the respondents to consider the representation

of the petitioner by affording an opportunity on merits.

4. Challenging the order of conviction, the petitioner has filed an appeal

in Crl.A.No.710 of 2017 on the file of the this Court seeking suspension of

sentence. This Court vide order dated 09.11.2017 suspended the sentence

awarded to the petitioner. Thereafter the petitioner was issued with a show

cause notice dated 09.01.2018, for which the petitioner has submitted his

explanation.

5. The grievance of the petitioner is that the respondent without

considering the explanation submitted and conducting any departmental

proceedings, terminated the petitioner vide order dated 30.01.2018.

Furthermore, it is also his grievance that his request for payment of terminal

benefits was also rejected by the respondent vide order dated 26.05.2020.

Challenging the same, the present Writ Petition has been filed.

6. Both the learned counsel for the petitioner as well as learned

Additional Government Pleader submit that the issue involved in this Writ

Petition with regard to disbursement of terminal benefits to the employee

involved in criminal proceedings is squarely covered by a decision of this Court

dated 05.02.2021 in W.P.No.471 of 2021, wherein a learned single Judge of https://www.mhc.tn.gov.in/judis

W.P. No.18392 of 2020

this Court following the decisions of the Division Bench of this Court in the

cases of The State of Tamil Nadu and another V. The Engineer-in-Chief

(Buildings) (W.A.No.1285 of 2019 dated 10.04.2019 and The Secretary to

Government and others V. K.Palaniyandi (W.A.(MD) No.105 of 2019 dated

31.07.2019) held that in the absence of any enabling provision in the Statute,

the Government has no authority to withhold the accrued benefits of the

Government servant. The relevant portion of the order of the learned single

Judge reads as follows:

10. From a reading of the above judgments, it is clear that even in a worst case scenario of dismissal, the benefits of Encashment of Earned Leave Salary, GPF and SPF, which were deducted from the salary of the employee, cannot be withheld. The Hon'ble Division Bench has categorically discussed the clarification mentioned by the learned Special Government Pleader and it is only in the nature of executive instruction. In the absence of any enabling provision in the statute, the Government has no authority to withhold the accrued benefits of the Government servant. Therefore, the order passed by the first respondent that all the benefits can be given only at the time of retirement or completion departmental proceedings or judicial proceedings is not sustainable.

11. Further, Rule 69(1)(b) of the Tamil Nadu Pension Rules, 1978, specified that no Gratuity shall be paid to the Government servant until the conclusion of the departmental or judicial proceedings. But the above rule does not specify withholding of the other benefits, like Encashment of Earned Leave, GPF and SPF. In such circumstances, the impugned order, withholding the above benefits is not valid in the eye of law. Therefore, the petitioner is entitled to the benefit of Encashment of Leave Salary, SPF, GPF, Unearned Leave on Private Affairs. In so far as non-payment of Gratuity alone, the order is upheld in view of Rule 69 (1)(b) of the Tamil Nadu Pension Rules, 1978. The respondents are directed to disburse all the benefits viz., Encashment of Leave Salary, SPF, GPF, Unearned Leave on Private Affairs, within a period of six weeks from the date of receipt of a copy of this order, with interest at the rate of 6% per annum. This Writ Petition is partly allowed. No costs.

https://www.mhc.tn.gov.in/judis

W.P. No.18392 of 2020

7. Following the aforesaid decision of this Court, the respondent is

directed to pass appropriate orders with regard to disbursement of the

admissible benefits, viz., Special Provident Fund, General Provident Fund,

Encashment of earned leave and Encashment of unearned leave on private

affairs, to the petitioner within a period of four (4) weeks from the date of

receipt of a copy of this order.

8. The Writ Petition is disposed of. No costs. Connected Miscellaneous

Petition is closed.

04.01.2022 sl Index:Yes/no speaking/non-speaking order

To

The Treasury Officer, District Treasury, Collectorate, Namakkal.

https://www.mhc.tn.gov.in/judis

W.P. No.18392 of 2020

V.PARTHIBAN,J.

Sl

W.P. No.18392 of 2020 and WMP No.22783 of 2020

04.01.2022

https://www.mhc.tn.gov.in/judis

 
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