W.P.(S) No.371 of 2004
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In the matter of an application under Article 226 of the Constitution of India
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Ashok Kumar Malhotra ... ... Petitioner
Versus
M/s Coal India Ltd.& ors. ... ... Respondents
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For the Petitioner : M/s M.K. Laik, Sr. Advocate & Smita Mitra, Adv.
For the Respondents : Mr. Amit Kumar Sinha, Advocate
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PRESENT
HON'BLE MR. JUSTICE R.R. PRASAD
By Court: Heard learned counsel appearing for the petitioner and learned
counsel appearing for the respondents.
This application has been filed on the representative capacity,
wherein prayer has been made to direct the authorities to make payment of
Rs.3,50,000/- as Gratuity to the employees of the BCCL, who got retired
before 24.09.1997.
Learned counsel submits that an Office Memorandum was
issued by the Ministry of Personnel, Public Grievances & Pension, Govt. of
India, New Delhi on 14th July, 1995, whereby maximum limit of retirement
Gratuity/death Gratuity was raised from Rs.1,00,000/- to Rs. 2,50,000/- w.e.f.
1st April, 1995. Subsequently, that limit under Office Memorandum dated
31.08.1998 (Annexure-5) was extended to Rs.3,50,000/- w.e.f. 24.09.1997, but
there has been no justification in putting the cut off date, as 24.09.1997, rather
it should have been on 01.04.1995 as the government with effect from that day
had enhanced the maximum limit of Gratuity from Rs.1,00,000/- to 2,50,000/-
but by putting effective date as 24.09.1997, it has created a separate class
without there being any reasonableness and hence, the authority be directed
to make payment of the Gratuity to the maximum limit of Rs.3,50,000/- even to
the persons, who got retired before 24.09.1997.
I do not find any merit in the submission advanced on behalf of
the petitioner.
It is true that by an Office Memorandum issued by the Ministry of
Personnel, Public Grievances & Pension, Govt. of India, New Delhi, a
maximum limit of retirement Gratuity/death Gratuity was enhanced from
Rs.1,00,000/- to 2,50,000/- w.e.f. 01.04.1995. Subsequently, vide Office
Memorandum dated 31.08.1998 (Annexure-5), the said limit was further
enhanced from Rs.2,50,000/- to Rs.3,50,000/- w.e.f. 24.09.1997. That Office
Memorandum was issued only when there was an amendment in sub Clause 3
of Section 4 of the Payment of Gratuity Act whereby maximum limit of the
Gratuity was enhanced to Rs.3,50,000/- which was published in the Official
Gazette on 24.09.1997. The said amendment was brought by virtue of the Act
11 of 1998 w.e.f. 24.09.1997 and as such it can not be given effect to prior to
24.09.1997 and, therefore, if the BCCL has taken decision that the maximum
limit of Gratuity to the extent of Rs.3,50,000/- would be payable w.e.f.
24.09.1997, it is absolutely in consonance with the provision of the Act.
Thus, I do not find any merit in this writ application. Accordingly it
is dismissed.
(R.R. Prasad, J.)
Jharkhand High Court, Ranchi
Dated 7th July, 2011,
Ravi/ N.A.F.R.