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Rajendra Prasad Yadav vs The Chairman-Cum-Managing Director
2026 Latest Caselaw 292 Patna

Citation : 2026 Latest Caselaw 292 Patna
Judgement Date : 4 February, 2026

[Cites 2, Cited by 0]

Patna High Court

Rajendra Prasad Yadav vs The Chairman-Cum-Managing Director on 4 February, 2026

          IN THE HIGH COURT OF JUDICATURE AT PATNA
                     Civil Writ Jurisdiction Case No.598 of 2023
     ======================================================
     Rajendra Prasad Yadav Son of Jatto Yadav Resident of Village and P.O. and
     P.S.-Dharhara, District-Munger, Bihar.

                                                           ... ... Petitioner/s
                                    Versus
1.   The Chairman-Cum-Managing Director, Bihar State Power Holding
     (Generation) Company Limited Vidyut Bhawan, Bailey Road, Patna.
2.   The Sr Manager (Finance and Accounts) B.T.P.S. (B.S.P.H.C.) Cell Ltd.
     Vidyut Bhawan, Bailey Road, Patna.
3.   The Executive Engineer (B.T.P.S.) Cell Barauni, Begusarai.
4.   The Chief General Manager (N.T.P.C.) barauni, Begusarai.
5.   The Electrical Superintending Engineer, Barauni Tharmal Power Station
     Cell, Barauni, Begusarai, Bihar State Power Generation Co. Ltd. Vidyut.

                                               ... ... Respondent/s
     ======================================================
     Appearance :
     For the Petitioner/s                 : Mr. Ranjeet Tiwary, Advocate
                                            Mr. Chandra Bhushan Upadhyay, Adv
     For the Respondent/s                 : Mr. Vinay Kirti Singh, Sr. Adv
     For the Respondents BSP(H)CL & Ors   : Mr. Vivek Prasad, (SC)
                                          : Mr. Pratiyush Kumar, (AC to SC)
     ======================================================
     CORAM: HONOURABLE MR. JUSTICE RITESH KUMAR
     ORAL JUDGMENT
     Date : 04-02-2026
                  Heard learned counsel for the parties.

                       2. The present writ petition has been filed for the

      following relief(s):-

                             "(i) To quash the letter bearing Letter No.
                             104 dated 29.12.2020 issued by the
                             Respondent     No.     5    the    Electric
                             Superintending Engineer, Barauni Tharmal
                             Power Station Cell, Bihar State Power
                             Generation Co. Ltd., Patna whereby and
                             whereunder the recovery of Rs. 41,747/- has
                             been due from the pension of the petitioner
                             in consonance with the office order No. 39
                             dated 28.02.2020 and Office order No. 21
                             dated 17.01.2020 issued by order Secretary
 Patna High Court CWJC No.598 of 2023 dt.04-02-2026
                                           2/9




                                 Bihar State Power Generation Co. Ltd.
                                 Patna.
                                 (ii) For respondent be directed to pay
                                 aforesaid recovered amount Rs. 41,747 to
                                 the petitioner with 12 percent compound
                                 interest since date of recovery to till date of
                                 payment.
                                 (iii) for any other relief(s) for which the
                                 petitioner may be found entitled to in the
                                 peculiar facts and circumstances of the
                                 case."

                         3. At the outset, the learned counsel for the

         petitioner submit that the petitioner was appointed as an

         Assistant operator/Technician Grade-III, Group "C" post on

         16.05.1984

and gave his joining at Barauni Thermal Power

Station, Begusarai.

4. The petitioner superannuated from services of

the respondent-Power Company w.e.f. 31.10.2018, while

working as operator at the same station i.e. B.T.P.S. Cell

Barauni, Begusarai. It is further case of the petitioner that vide

letter No. 104 dated 29.12.2020 issued under the signature of

Electrical Superintending Engineer, B.T.P.S. Cell, Barrack No.

04, Punaichak, Patna it has been informed that on account of

change in date of ACP a fresh calculation has been made and it

has been found that RS. 41,747/- is recoverable from the

petitioner on account of wrong fixation of pay. It has further

been submitted that the petitioner was granted the benefit of Patna High Court CWJC No.598 of 2023 dt.04-02-2026

ACP by letter dated 31.03.2014 issued under the signature of the

Senior Manager (Personnel), Bihar State Power Generation

Company Limited, Barauni and the said order was issued on the

recommendation of the Screening committee, which was duly

constituted in consonance with the provision contained in

Resolution No. 76 dated 07.05.2012 issued by the respondent-

Power Company, but even then recovery of Rs. 41,747/- has

been made from the pension amount of the petitioner. The

petitioner filed a representation before the Chairman-Cum-

Managing Director, Bihar State Power Holding Company

Limited, Patna on 31.08.2022 but no action has been taken on

the same.

5. A counter affidavit has been filed on behalf of

respondent Nos. 02 to 05 whereby it has been contended that

vide letter dated 31.03.2014 issued by the Assistant Personnel

Officer, Barauni Thermal Power Station, Begusarai benefits of

3rd MACP was granted to the petitioner w.e.f. 16.05.2012 and

later on it was found that the same has been wrongly granted to

the petitioner w.e.f. 16.05.2012 instead of 16.05.2014, since the

petitioner was found eligible for grant of the said benefits w.e.f.

16.05.2014, therefore by the impugned office order contained in

Memo No. 104 dated 29.12.2020 has been issued. Patna High Court CWJC No.598 of 2023 dt.04-02-2026

6. It is further contended on behalf of the

respondent-Power Company that in view of clause 3 of the

resolution No. 76 dated 07.05.2012 the benefits of 1st , 2nd & 3rd

MACP was to be granted to employees/officers of the erstwhile

Board after completion of 10, 20 & 30 years of service

respectively from the date of appointment, except the Engineer

of General/GTO cadre of the Board and since the petitioner was

appointed on 16.05.1984, therefore he became eligible for grant

of benefits of 3rd MACP on 16.05.2014 i.e. after completion of

30 years of regular service and therefore the power Company

has rightly granted the benefits of 3rd MACP to the petitioner

with effect from 16.05.2014 instead of 16.05.2012.

7. It has further been contended on behalf of the

respondent-Power Company that based on the said fixation RS.

41,747/- was found recoverable from the petitioner on account

of wrong fixation, since excess payment was made to the

petitioner, therefore, the said amount has rightly been recovered

from the pension amount of the petitioner.

8. Having heard the rival submissions and after

going through the materials available on record, I find that it is

not the case of respondent-Power Company that the petitioner

has been granted the benefits of 3rd ACP w.e.f. 16.05.2012 Patna High Court CWJC No.598 of 2023 dt.04-02-2026

instead of 16.05.2014, on his request or fault or the petitioner

misrepresented in getting the same fixed from 16.05.2012

instead of 16.05.2014. The Hon'ble Supreme Court in the case

of State of Punjab and Ors Vs. Rafiq Masih (white Washer)

and Ors reported in (2015) 4 SCC 334 , it has been held as

follows:

13. In State of Punjab v. Rafiq Masih (White Washer)4 wherein this court examined the validity of an order passed by the State to recover the monetary gains wrongly extended to the beneficiary employees in excess of their entitlements without any fault or misrepresentation at the behest of the recipient. This Court considered situations of hardship caused to an employee, if recovery is directed to reimburse the employer and disallowed the same, exempting the beneficiary employees from such recovery. It was held thus:

"8. As between two parties, if a determination is rendered in favour of the party, which is the weaker of the two, without any serious detriment to the other (which is truly a welfare State), the issue resolved would be in consonance with the concept of justice, which is assured to the citizens of India, even in the Preamble of the Constitution of Patna High Court CWJC No.598 of 2023 dt.04-02-2026

India. The right to recover being pursued by the employer, will have to be compared, with the effect of the recovery on the employee concerned. If the effect of the recovery from the employee concerned would be, more unfair, more wrongful, more improper, and more unwarranted, than the corresponding right of the employer to recover the amount, then it would be iniquitous and arbitrary, to effect the recovery. In such a situation, the employee's right would outbalance, and therefore eclipse, the right of the employer 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).

Patna High Court CWJC No.598 of 2023 dt.04-02-2026

(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."

9. Similar view has been taken by the Hon'ble

Supreme Court of India in the case of Thomas Daniel Vs. State

of Kerala reported in 2022 SCC online SC 536 whereby the

Hon'ble Supreme Court relying upon the different

pronouncements of Hon'ble Supreme Court of India including

the case of State of Punjab & Ors Vs. Rafiq Masih (White

Washer) and Ors came to the conclusion which is as follows:-

Patna High Court CWJC No.598 of 2023 dt.04-02-2026

"14. it is not contended before us that on account of

the misrepresentation or fraud played by the appellant, the

excess amounts have been paid. The appellant has retired on

31.03.1999. In fact, the case of the respondent is that excess

payment was made due to a mistake in interpreting Kerala

Service Rules which was subsequently pointed out by the

Accountant General.

15. Having regard to the above, we are of the view

that an attempt to recover the said increments after passage of

ten years of his retirement is unjustified."

10. Further a Co-ordinate Bench of this Court vide

its judgment dated 26.03.2025 passed in C.W.J.C. No.

8623/2024 by relying on different pronouncements of Hon'ble

Supreme Court of India and Co-ordinate Benches of this Court

has held in paragraphs no. 8 to 10, which is as follows:-

"8.The Hon'ble Supreme Court in no uncertain term held that no recovery can be made from the retired employees, or employees who are due to retire within one year, of the order or recovery and when the excess payment has been made for a period in excess of five years, before the orderof recovery is issued.

9.In the case of Thomas Daniel (supra) the Hon'ble Supreme Court also held that in a case where an employee has been accorded extra increment and the same has been paid for a period of more than ten years or more, the State cannot recover the excess amount paid to the employee.

Patna High Court CWJC No.598 of 2023 dt.04-02-2026

10.In view of the discussions made hereinabove, this Court finds substance in the writ petition. Accordingly, the impugned order to the extent, whereby the recovery is directed and consequentially the same has been recovered, stands quashed and cancelled."

11. In view of the settled legal proposition the order

contained in letter No. 104 dated 29.12.2020 deserves to be set

aside and is accordingly set aside.

12. The respondent authorities are directed to make

payment of the amount recovered from the pension of the

petitioner within a period of four weeks from the date of receipt/

production of the copy of the order and if the same will not be

paid to the petitioner within the period of four weeks, then the

petitioner will be entitled for interest @ 7% on the said amount

from the date of filing of the present writ petition till its actual

payment and the same will be recovered from the pocket of the

erring officials/employees.

13. The present writ petition is allowed in

aforementioned terms.

(Ritesh Kumar, J)

krishnakant/-

AFR/NAFR                NAFR
CAV DATE                NA
Uploading Date          09.02.2026
Transmission Date       NA
 

 
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