Citation : 2026 Latest Caselaw 2467 Ori
Judgement Date : 16 March, 2026
IN THE HIGH COURT OF ORISSA AT CUTTACK
W.P.(C) No.3530 of 2021
Nidra Khamari .... Petitioner
Mr. N. Rath, Adv.
-versus-
State of Odisha and
Others
.... Opp. Parties
Mr. P.K. Panda, ASC
CORAM:
JUSTICE BIRAJA PRASANNA SATAPATHY
Order ORDER
No 16.03.2026
06. 1. This matter is taken up through Hybrid
Arrangement (Virtual/Physical) Mode.
2. Heard learned counsel for the Parties.
3. The present Writ Petition has been filed inter alia
with the following prayer:-
"It is therefore most humbly prayed that
this Hon'ble Court may graciously be pleased to
admit this writ application, issue "Rule NISI in the
nature of writ of mandamus quashing the order.
dtd. 25.11.2020 as at Annexure-19 and further
directing the opp. Party No.1 to take 2 final
decision on the letter dtd. 181.2000 of opp. party
No.2 as at Annexure-2 for condonation of break in
service and . accordingly extend the pension and
other pensionary benefits in favour of the
petitioner within a period _ stipulated by this
Hon'ble Court
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II. To quash the decision of opp. party no.3
dtd. 9.3.2015 as at ~ Annexure-14 for recovery of
amount of Rs.5,02,524/. from the petitioner
showing it as excess payment.
And to further direct the opp. Parties to
release the pension and other pensionary benefits
of the petitioner."
4. Learned counsel for the petitioner contended that
while continuing as a Staff Nurse in the establishment of
Opp. Party No.3, Opp. Party No.1 on the face of the
request made by Opp. Party No.2 vide his letter dated
18.01.2000
under Annexure-2, never took a decision with regard to regularization of the leave period so availed by the petitioner at different point of time.
4.1. Not only that prior to taking a decision on the request made under Annexure-2 and considering the application submitted by the petitioner on 08.02.2010 to take Voluntary Retirement from Service, the same was allowed by the Opp. Party No.3 vide order dated 30.06.2010 under Annexure-3.
4.2. It is contended that after accepting the application for Voluntary Retirement vide order dated 30.06.2010, petitioner was sanctioned with the Provisional Pension w.e.f. 01.07.2010 vide order dated 17.08.2010 of Opp. Party No.3 under Annexure-5. However, when final pension papers were submitted by the self-same Opp. Party No.3 to the office of Opp. Party No.4 vide letter dated 18.09.2013 under Annexure-9, objection was raised by the office of Opp. Party No.4 vide letter dated 06.01.2014
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under Annexure-9 and another objection vide letter dated 25.06.2014 under Annexure-10.
4.3. Basing on such objection raised by the office of Opp. Party No.4, Opp. Party No.3 vide letter dated 27.10.2014 under Annexure-11, revised the provisional pension of the petitioner to Rs.5940/- + T.I. on the face of the provisional pension sanctioned earlier vide order at Annexure-5 at Rs.8910/- +T.I.. It is contended that subsequently when office of Opp. Party No.4 raised another objection with issuance of letter dated 28.01.2015 under Annexure-13, Opp. Party No.3 vide communication dated 09.03.2015 under Annexure-14, held the petitioner liable to refund a sum of Rs.5,02,524/- i.e. excess payment drawn by her towards Provisional Pension, Provisional DCRG and Commuted value of pension etc.
4.4. It is contended that petitioner though made a representation before Opp. Party No.1 seeking regularization of the break period of service in terms of the communication issued under Annexure-2 and no decision was taken, she moved the Tribunal by filing O.A. No.566 of 2018. The Tribunal vide order dated 04.04.2018 under Annexure-17, when directed Opp. Party No.1 to take a decision on the petitioner's claim and the same was not acted upon, petitioner again approached this Court by filing W.P.(C) No.3725 of 2020.
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4.5. This Court vide order dated 05.02.2020 under Annexure-18, when directed Opp. Party No.1 to comply the order passed by the Tribunal in its order dated 04.04.2018 under Annexure-17, the impugned order has been passed by Opp. Party No.1 vide order dated 25.11.2020 under Annexure-19. While complying the direction of the Tribunal with passing of the impugned order, petitioner has been directed to re-fund the excess amount paid to her so reflected in the communication dated 09.03.2015 under Annexure-14.
4.6. Learned counsel for the petitioner contended that since petitioner is a retired employee and after allowing her Voluntary Retirement vide order dated 30.06.2010, petitioner was sanctioned with the benefit of provisional pension by sanctioning her at Rs.8910/- + T.I. and so also Commuted value of pension and Provisional DCRG, petitioner is not eligible to pay the excess amount paid to her in view of the decision of the Hon'ble Apex Court in the case of State of Punjab & Others Vs. Rafiq Masih, AIR 2015 SC 696 so followed in the case of Thomas Daniel Vs. State of Kerala & Others, 2022 Live Law (SC) 438.
Hon'ble Apex Court in Para 18 of the judgment in the case of Rafiq Masih and in Para-18 of the judgment in the case of Thomas Daniel has held as follows.
xxx xxx xxx
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"18. It is not possible to postulate all situations of hardship which would govern employees on the issue of recovery, where payments have mistakenly been made by the employer, in excess of their entitlement. But that as it may, based on the decisions referred to hereinabove, we may, as a ready reference, summarise the following few situations, wherein recoveries by the employers, would be impermissible in law:
(i) Recovery from the employees belonging to Class III and Class IV service (or Group C and Group D service).
(ii) Recovery from the retired employees, or the employees who are due to retire within one year, of the order of recovery.
(iii) recovery from the employees, when the excess payment has been made for a period in excess of five years, before the order of recovery is issued.
(iv) Recovery in cases where an employee has wrongfully been required to discharge duties of a higher post, and has been paid accordingly, even though he should have rightfully been required to work against an inferior post.
(v) In any other case, where the court arrives at the conclusion, that recovery if made from the employee, would be iniquitous or harsh or arbitrary to such an extent, as would far outweigh the equitable balance of the employer's right to recover.
"18. It is not possible to postulate all situations of hardship which would govern employees on the issue of recovery, where payments have mistakenly been made by the employer, in excess of their entitlement. Be that as it may, based on the decisions referred to hereinabove, we may, as a ready reference, summarise the following few situations, wherein recoveries by the employers, would be impermissible in law:
(i) Recovery from the employees belonging to Class III and Class IV service (or Group C and Group D service).
(ii) Recovery from the retired employees, or the employees who are due to retire within one year of the order of recovery.
(iii) Recovery from the employees, when the excess payment has been made for a period in excess of five years, before the order of recovery is issued.
(iv) Recovery in cases where an employee has wrongfully been required to discharge duties of a higher post, and has been paid accordingly, even though he should have rightfully been required to work against an inferior post.
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(v) In any other case, where the Court arrives at the conclusion, that recovery if made from the employee, would be iniquitous or harsh or arbitrary to such an extent, as would far outweigh the equitable balance of the employer's right to recover."
4.7. It is accordingly contended that not only the communication issued on 09.03.2015 under Annexure-14 is illegal but also the impugned order dated 25.11.2020, so passed by Opp. Party No.1 under Annexure-19.
5. Learned Addl. Standing Counsel on the other hand made his submission basing on the stand taken in the counter affidavit so filed by Opp. Party No.1 to 3. It is contended that while continuing as a Staff Nurse, a proceeding was initiated against the petitioner for her remaining on unauthorized long leave vide Memorandum dated 26.11.1990. While finalizing the said proceeding, vide order dated 07.10.1992 under Annexure-A/3, though the Disciplinary Authority who happens to be Opp. Party No.2, held certain period of leave to be treated as leave due and admissible but an order was passed to remove the petitioner from her services w.e.f. 07.01.1985, as per the provisions contained under Rule-72(2) of the Odisha Service Code.
5.1. However, on the face of such order, no action was taken in removing the petitioner from her services because of long continuance on leave which exceeds more than 5 years in terms of Rule-72(2) of the Odisha Service Code. It is however contended that on the face of such order passed by the Opp. Party No.2 under Annexure-A/3, a
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further recommendation was made by the self-same Opp. Party No.2 on 18.1.2000 under Annexure-2, with a request to Opp. Party No.1 to regularize the leave period of the petitioner.
5.2. Not only that prior to acceptance of the said request with passing of any order by Opp. Party No.1, application submitted by the petitioner to take Voluntary Retirement from her service on 08.02.2010 was allowed by Opp. Party No.3 vide his order dated 30.06.2010 under Annxure-3. After allowing the petitioner to take Voluntary Retirement, Opp. Party No.3 sanctioned Provisional Pension at Rs.8910/- + T.I. vide order dated 17.08.2010 under Annexure-5.
5.3. However, basing on the objection raised by the office of Accountant General-Opp. Party No.4, provisional pension of the petitioner was reduced to Rs.5940/- + T.I. w.e.f. 01.07.2010 vide order dated 27.10.2014 under Annexure-11. It is contended that at no point of time, petitioner assailed such rejection of the grade pay to Rs.5940/- T.I. to Rs.8910/- + T.I..
5.4. Since reduction of the provisional pension so made vide order dated 27.10.2014 under Annexure-11, was never challenged by the petitioner, vide the impugned communication dated 09.03.2015 under Annexure-14, petitioner was directed to refund the excess payment
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drawn towards Provisional Pension, Provisional DCRG and Commuted value of pension etc.
5.5. Instead of challenging such refund indicated in the impugned communication dated 09.03.2015 under Annexure-14, petitioner moved Opp. Party No.1 by making a representation under Annexure-15 and 16 with a prayer to regularize the break period of service and to sanction the final pension. As no action was taken on such representation made by the petitioner under Annexure-15 and 16, petitioner moved the Tribunal by filing O.A. No.566 of 2018. The Tribunal vide order dated 04.04.2018 under Annexure-17, directed Opp. Party No.1 to take a decision on the petitioner's claim so made in her representation under Annexure-15 and 16.
5.6. As no action was taken on the order passed by the tribunal, petitioner approached this Court by filing W.P.(C) No.3725 of 2020. This Court vide order dated 05.02.2020 under Annexure-18, when directed Opp. Party No.1 to comply the order passed by the Tribunal, in compliance of the same, the order under Annexure-19 was passed on 25.11.2020, so impugned.
5.7. Learned Addl. Standing Counsel contended that since reduction of the provisional pension so made vide order dated 17.10.2014 under Annexure-11, was never assailed by the petitioner at any point of time even though he approached the Tribunal in O.A. No.566 of 2018 and
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also this Court in W.P.(C) No.3725 of 2020, the excess payment made to the petitioner towards her provisional pension, provisional gratuity as well as commuted value of pension, in terms of the original order issued initially on 17.08.2010 under Annexure-5, petitioner was held liable to refund the excess payment drawn by her.
5.8. Since the modified order allowing the provisional pension in favour of the petitioner at Rs.5940/- + T.I. was never assailed by the petitioner, petitioner is liable to refund the excess amount drawn by her towards such provisional pension and on other heads and no illegality or irregularity can be found, either with the impugned demand indicated in the communication dated 09.03.2015 under Annexure-14 or in the impugned order issued on 25.11.2020 under Annexure-19.
5.9. It is accordingly contended that no illegality or irregularity can be found with the impugned order.
6. Having heard learned counsel for the parties and considering the submission made, this Court finds that petitioner while in service, though a proceeding was initiated against her vide Memorandum dated 26.11.1990 and while disposing the same vide order dated 07.10.1992 under Annexure-A/3, the Disciplinary Authority held the petitioner to be removed from Govt. service w.e.f. 07.01.1985 as per Rule-72(2) of the Odisha Service Code, but the same was never acted upon. On the face of such
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order passed by the Opp. Party No.2, the self-same authority vide his letter dated 18.01.2000 under Annexure-2, requested the Govt. to regularize the leave period of the petitioner.
6.1. Not only that prior to passing of any order by the Govt. on such request made under Annexure-2, application submitted by the petitioner to take Voluntary Retirement from her service on 08.02.2010, was accepted by the Opp. Party No.3 vide order dated 30.06.2010 under Annexure-3.
6.2. Petitioner on being allowed to take Voluntary Retirement w.e.f. 30.06.2010, she was sanctioned with the provisional pension vide order dated 17.08.2010 under Annexure-5 and in the said order, petitioner was held entitled to get provisional pension at Rs.8910/- + T.I.
6.3. Basing on such sanction of provisional pension, petitioner was also released with the Commuted value of pension and provisional gratuity. However, it is found that vide order dated 27.10.2014 under Annexure-11, Opp. Party No.3 reduced the entitlement of the petitioner towards provisional pension from Rs.8910/- + T.I. to Rs.5940/- + T.I. Such reduction of the Provisional Family Pension was never assailed by the petitioner at any point of time.
6.4. Since reduction of the provisional pension so made by Opp. Party No.3 vide order dated 27.10.2014 under
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Annexure-11, was never assailed by the petitioner, it is the view of this Court that petitioner is liable to refund the excess amount drawn by her towards provisional pension, provisional gratuity as well as commuted value of pension so reflected in the impugned communication dated 09.03.2015 under Annexure-14 and confirmation of the same vide order dated 25.11.2020 under Annexure-19. This Court accordingly is not inclined to interfere with either of the aforesaid two orders.
6.5. However, since request made by Opp. Party No.2 with regard to regularization of the leave period of the petitioner has not yet been disposed of in accordance with law as contended and petitioner has been allowed voluntary retirement, which was never withdrawn, this Court while disposing the Writ Petition, directs Opp. Party No.1 to take a decision on the request made under Annexure-2 as expeditiously as possible preferably within a period of 2 (two) months from the date of receipt of this order.
6.6. On such regularization of the leave period, provisional pension of the petitioner be re-assessed and after such re-assessment, petitioner's liability for refund of any amount be calculated. It is also observed that after such regularisation of the leave period, Opp. Party No.3 shall submit the final pension paper of the petitioner to Opp. Party No.4 without any delay and Opp. Party No.4
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will do the needful with regard to sanction of final pension and other retiral benefits as due and admissible.
7. The Writ Petition stands disposed of.
(Biraja Prasanna Satapathy) Judge
Basudev
Location: High Court of Orissa, Cuttack
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