High Court Kerala High Court

V.G.Sreedharan Nair vs Appellette Authority on 28 August, 2009

Kerala High Court
V.G.Sreedharan Nair vs Appellette Authority on 28 August, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 24857 of 2009(B)


1. V.G.SREEDHARAN NAIR,
                      ...  Petitioner

                        Vs



1. APPELLETTE AUTHORITY, UNDER PAYMENT OF
                       ...       Respondent

2. CONTROLLING AUTHORITY, UNDER THE

3. KERALA STATE ELECTRICITY BOARD,

                For Petitioner  :SRI.P.M.PAREETH

                For Respondent  : No Appearance

The Hon'ble MR. Justice V.GIRI

 Dated :28/08/2009

 O R D E R
                           V.GIRI, J
                         -------------------
                     W.P.(C).24857/2009
                         --------------------
           Dated this the 28th day of August, 2009

                         JUDGMENT

Petitioner was an employee of KSEB. He approached

the controlling authority under the Payment of Gratuity Act

for gratuity in terms of the provisions of Payment of Gratuity

Act. He is aggrieved by the inordinate delay in release of the

balance amount of gratuity kept in deposit with the Appellate

Authority, the 1st respondent, even after dismissal of the

appeal filed by the Board in gratuity case relating to the

petitioner. The Board has not challenged the orders passed

by the authority concerned.

2. A Division Bench of this Court KSEB v.

Mohankumar(2008 (3) KLT 73) held that the employees

of the Electricity Board are entitled to gratuity under the

provisions of Payment of Gratuity Act. It seems that the

Board has preferred an appeal before the Supreme Court.

Notice has been issued on the Special Leave Petition and an

order on such petition has been passed, points out the

learned counsel for the Electricity Board. He also refers to

W.P.(C).24857/09
2

the judgment of the Division Bench of this Court in

W.A.439/2009 directing that the additional gratuity amount

found due to the writ petitioner in the said case shall be

released to him on him executing a bond along with two

serving employees of the Board to refund the amount, if the

decision of the apex Court is in favour of the Board. Amount

was directed to be released to the writ petitioner within four

months from the date of receipt of a copy of the judgment

namely 6.4.2009. The Special Leave Petition pending before

the Supreme Court is not yet disposed of. Learned counsel

for the Board submits that similar direction may be issued in

relation to the petitioner in the instant case.

3. Learned counsel for the petitioner submits that the

petitioner is a retired employee of the Board and serving

employees of the Board are not willing to stand as surety.

He is willing to execute the bond that if the Supreme Court

ultimately takes a decision holding that the employees of the

Board are not entitled to gratuity under the Payment of

Gratuity Act, they shall refund the amount paid to them.

W.P.(C).24857/09
3

4. I find force in the submission made by the learned

counsel for the petitioner that the serving employees of the

Board may not be likely to stand as a surety for a retired

employee and I also take note of the fact that in the instant

case, the petitioner only claims the benefit of orders passed

by the competent authority under the Payment of Gratuity

Act. Such orders have become final as on date. Petitioner, a

retired employee, cannot be asked to wait for the benefit,

because according to the Board, the question of law has been

agitated before the Supreme Court. If the Board was

aggrieved by the order passed by the authority under the

Act, Board should have independently challenged the said

order, before this Court. That has not been done.

5. Petitioner is entitled to interest as awarded by the

controlling authority under the Act. But in circumstances

where the issue regarding the eligibility is pending before

the Supreme Court, payment of interest shall be deferred

for a specific period.

6. In the result, writ petition is disposed of directing the

W.P.(C).24857/09
4

appellate authority under the Payment of Gratuity Act to

disburse to the petitioner the amount deposited by the

Electricity Board with such authority as gratuity payable to

the petitioner, on production of a copy of this judgment.

Board shall pay the interest as directed by the competent

authority under the Payment of Gratuity Act provided the

order passed by the authority has become final. Board shall

be permitted to six months’ time from today to pay the

interest and if within the said period, the issue as regards

the eligibility of retired employees of the Board to receive

gratuity under the Act is yet to be decided by the Supreme

Court, then the Board shall pay interest as directed by the

competent authority on condition that the petitioner

executes a bond agreeing to refund the interest portion, if

ultimately the issue is decided in favour of the Board, by

the Honourable Supreme Court. Such bond shall be

executed on a 50 rupees stamp paper.

V.GIRI,
Judge

mrcs