{"id":123507,"date":"2009-11-11T00:00:00","date_gmt":"2009-11-10T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/central-coalfields-ltd-vs-regional-labour-commissioner-on-11-november-2009"},"modified":"2017-09-06T19:27:37","modified_gmt":"2017-09-06T13:57:37","slug":"central-coalfields-ltd-vs-regional-labour-commissioner-on-11-november-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/central-coalfields-ltd-vs-regional-labour-commissioner-on-11-november-2009","title":{"rendered":"Central Coalfields Ltd. vs Regional Labour Commissioner on 11 November, 2009"},"content":{"rendered":"
Jharkhand High Court<\/div>\n
Central Coalfields Ltd. vs Regional Labour Commissioner on 11 November, 2009<\/div>\n
        IN THE HIGH COURT OF JHARKHAND AT RANCHI\n                           W.P. (L) No. 1156 of 2003\n                                           With\n                            W.P. (C) No. 592 of 2003\n      Central Coalfields Limited............. Petitioner.(In both the cases)\n                                        Versus\n      1. The Assistant Labour Commissioner (Central) & Ors... Respondent (In WPL No. 1156\/03)\n      2. The Regional Labour Commissioner (Central)\n      & Ors ......                                           Respondents (In WPC No.592\/03)\n                                         ......\n      Coram:    The Hon'ble Mr. Justice Amareshwar Sahay\n                                    ......\n      For the Petitioners     : Mr. Ananda Sen, Advocate (In both cases)\n      For the State           : Mr. J.C. to A.G.\n      For Private Respondents : Mr. B.V.Kumar, Advocate (In both cases)\n                                    ......\n\n10\/11.11.2009<\/pre>\n
       In view of the fact that the facts and question of law<\/p>\n
      involved in both the above two writ petitions are same and similar and,<\/p>\n
      as such, both the writ petitions have been taken up together and are<\/p>\n
      being disposed of by this common order.\n<\/p>\n
                    The facts, which are common in both the writ petitions, are<\/p>\n
      that one Shankar Ram was employed with the Central Coalfields<\/p>\n
      Limited as Senior Dresser and was posted in Central Hospital. While he<\/p>\n
      was in service he was charge sheeted on account of commission of<\/p>\n
      certain misconduct in course of his employment. It was alleged against<\/p>\n
      him that after scrutiny of the service records and educational<\/p>\n
      certificates submitted by him it was found that he hand submitted fake<\/p>\n
      educational certificates and thereby he got his date of birth entered in<\/p>\n
      the service book as 04\/09\/1942 though as per the initial medical<\/p>\n
      examination his date of birth should have been 23\/10\/1934. It was<\/p>\n
      further alleged that by making use of fake education certificate he got<\/p>\n
      promotional benefit also. A domestic enquiry was held and when the<\/p>\n
      charges against him was established, the said Shankar Ram was<\/p>\n
      dismissed from service of the petitioner’s company w.e.f. 28\/10\/1996.<\/p>\n
      The said employee Shankar Ram subsequently died.<\/p>\n
                    The respondent nos. 2 to 5 namely, Radha Krishn Prasad,
\n                              -2-<\/span><\/p>\n
Rajendra Prasad, Jugal Kishore Prasad and Asha Devi in W.P.L. No.<\/p>\n
1156\/2003 are the sons and daughter of late Shankar Ram. The<\/p>\n
respondent no. 3 namely Smt. Sohini Devi in WPC No. 592\/2003 is the<\/p>\n
widow of late Shankar Ram. The heirs of late Shankar Ram, i.e. the<\/p>\n
respondent nos. 2 to 5 in WPL No. 1156\/2003 and respondent no. 3 in<\/p>\n
WPC No. 592\/2003, made application before the Assistant Labour<\/p>\n
Commissioner (Central) making grievance that the amount of gratuity<\/p>\n
of late Shankar Ram was not paid and withheld by the Central<\/p>\n
Coalfields Limited which, they are entitled to receive. Accordingly,<\/p>\n
prayer was made to direct the Central Coalfields Limited to pay their<\/p>\n
legitimate dues towards gratuity.\n<\/p>\n
            After hearing the parties, by orders dated 17\/11\/2002, as<\/p>\n
contained in Annexure-11 in WPL No. 1156\/2003, the Assistant<\/p>\n
Labour Commissioner, allowed the application filed by the private<\/p>\n
respondents, i.e. the heirs of late Sahnkar Ram and held that the<\/p>\n
respondent nos. 2 & 3 namely Radha Krishn Prasad and Rajendra<\/p>\n
Prasad were entitled to get Rs. 7261\/- each, whereas respondent nos. 4<\/p>\n
and 5 namely Jugal Kishore Prasad and Asha Devi were entitled to get<\/p>\n
Rs. 7260\/- each under the provisions of Payment of Gratuity Act. By<\/p>\n
order dated 30\/04\/2002 as contained in Annexure-11 in WPC No.<\/p>\n
592\/2003, the Assistant Labour Commissioner, Central, Hazaribagh<\/p>\n
held that Respondent no. 3, i.e. the widow Smt. Sohini Devi was<\/p>\n
entitled to get RS. 7261\/- towards gratuity.\n<\/p>\n
            These    two   orders   dated   17\/11\/2002   (in   WPL   No.<\/p>\n
1156\/2003) and 30\/04\/2002 (in WPC No. 592\/2003), contained in<\/p>\n
Annexure-11 in both the writ petitions, have been challenged in these<\/p>\n
two writ petitions by the central coalfields limited.<\/p>\n
            Mr. Ananda Sen, learned counsel for the petitioner in both
\n                                -3-<\/span><\/p>\n
the writ petitions submitted that since the employee Shankar Ram was<\/p>\n
dismissed from service on account of misconduct involving moral<\/p>\n
turpitude and, therefore, the employer Central Coalfields Limited, i.e.<\/p>\n
the petitioner had every right to withhold and forfeit the amount of<\/p>\n
gratuity payable to the ex-employee Shankar Ram. He further<\/p>\n
submitted that the amount of gratuity is payable to an employee either<\/p>\n
on his termination of his employment by way of superannuation or his<\/p>\n
retirement or resignation or on his death or disablement due to<\/p>\n
accident or disease as prescribed under Section 4 sub section (1) of the<\/p>\n
Payment of Gratuity Act, 1972. He further submitted that under<\/p>\n
Section 4 (6) (b) (ii), the gratuity payable to an employee is liable to be<\/p>\n
withheld and partially forfeited if the services of the said employee have<\/p>\n
been terminated for any act which constitute an offence involving moral<\/p>\n
turpitude provided that such offence is committed by him in course of<\/p>\n
his employment.\n<\/p>\n
              There is no dispute of the fact that Late Shankar Ram was<\/p>\n
dismissed from service on account of misconduct, i.e. an act which<\/p>\n
constitutes offence involving moral turpitude.<\/p>\n
              Mr. Sen further submitted that the Assistant Labour<\/p>\n
Commissioner by the impugned orders in both the writ petitions has<\/p>\n
committed error in holding that the heirs of the deceased ex-employee<\/p>\n
Shankar Ram are entitled to get the amount of gratuity. He has relied<\/p>\n
on the decision of the Supreme Court in the case of “Y.P.Sarabhai-<\/p>\n
versus-Union Bank of India & Another, reported in (2006) 5 SCC 377”<\/p>\n
and a judgment of this Court in the case of “Indian Aluminium Co.<\/p>\n
Ltd.-versus- Regional Labour Commissioner (Central), Dhanbad, passed<\/p>\n
in CWJC No. 824\/2000 (R) on 30th January 2003 and reported in 2003<\/p>\n
(97) F.L.R. 587.”\n<\/p>\n
                                -4-<\/span><\/p>\n
            On the other hand, Mr. B.V.Kumar, learned counsel<\/p>\n
appearing for the private respondents in both the case has submitted<\/p>\n
that Section 4 (6) of the Payment of Gratuity Act provides that the<\/p>\n
gratuity of an employee, whose services have been terminated for any<\/p>\n
act, willful omission or negligence causing any damage or loss to or<\/p>\n
destruction of, property belonging to the employer, shall be forfeited to<\/p>\n
the extent of the damage or loss caused and, therefore, for assessing<\/p>\n
the damages or loss caused to the employer and, therefore, there<\/p>\n
should have been an enquiry to determine the loss and damages but<\/p>\n
that has not been done in the present case and the amount of gratuity<\/p>\n
has wholly been forfeited illegally and, therefore the Assistant Labour<\/p>\n
Commissioner has rightly passed the impugned order contained in<\/p>\n
Annexure-11 in both the writ petitions.\n<\/p>\n
            After going through the judgment of the Single Bench of<\/p>\n
this Court in the case of Indian Aluminium Co. Ltd.-versus- Regional<\/p>\n
Labour Commissioner (Central), Dhanbad& Ors (supra), it appears that<\/p>\n
the same plea was taken in that case also on behalf of the employee<\/p>\n
that as per section 4 sub-section (6) of the Payment of Gratuity Act,<\/p>\n
there is specific order of forfeiture of the amount of gratuity, but that<\/p>\n
plea was rejected by this Court and it was held that the nature of<\/p>\n
misconduct successfully proved, to be extremely serious, no separate<\/p>\n
order of forfeiture of gratuity has been required to be passed. In the<\/p>\n
case of “Y.P.Sarabhai-versus-Union Bank of India & Another, reported<\/p>\n
in (2006) 5 SCC 377” (supra) the Supreme Court in paragraph 11 of the<\/p>\n
judgment has held that a person dismissed from service is entitled to<\/p>\n
get only the provident fund but no gratuity. However, Supreme Court<\/p>\n
considering the facts of that case directed the employer to pay a lump<\/p>\n
sum amount.\n<\/p>\n
                                        -5-<\/span><\/p>\n
                   In the present case, in view of the judgment of the Supreme<\/p>\n
       Court as well as of this Court noticed above, in my view, no amount of<\/p>\n
       gratuity is payable to the petitioners since the employee was dismissed<\/p>\n
       from service for the charge of misconduct involving moral turpitude.<\/p>\n
       However considering the fact that the employee served the Company for<\/p>\n
       more than 40 years and he is now no more and his widow, sons and<\/p>\n
       daughters are the claimants and, therefore, in my view, the ends of<\/p>\n
       justice would be met if a direction is made to the employer to pay a<\/p>\n
       lump sum amount to the respondent nos. 2 to 5 in W.P. (L) No.<\/p>\n
       1156\/2003 and respondent no. 3 in W.P. (C) No. 592\/2003.<\/p>\n
                   Accordingly, the employer-petitioner is directed to pay an<\/p>\n
       amount of Rs. 10,000\/- each to the respondent nos. 2 to 5 in W.P.(L)<\/p>\n
       No. 1156\/2003 and Rs. 10,000\/- to respondent no. 3 in W.P.C. No.<\/p>\n
       592\/2003 within a period of four weeks from today.<\/p>\n
                   With the aforesaid observations and directions, these two<\/p>\n
       writ petitions stand disposed of.\n<\/p>\n<\/p>\n
                                                       (Amareshwar Sahay, J)<\/p>\n
Sharma-Mukund\/-<\/p>\n","protected":false},"excerpt":{"rendered":"
Jharkhand High Court Central Coalfields Ltd. vs Regional Labour Commissioner on 11 November, 2009 IN THE HIGH COURT OF JHARKHAND AT RANCHI W.P. (L) No. 1156 of 2003 With W.P. (C) No. 592 of 2003 Central Coalfields Limited…………. Petitioner.(In both the cases) Versus 1. The Assistant Labour Commissioner (Central) & Ors… Respondent (In WPL No. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,18],"tags":[],"class_list":["post-123507","post","type-post","status-publish","format-standard","hentry","category-high-court","category-jharkhand-high-court"],"yoast_head":"\nCentral Coalfields Ltd. vs Regional Labour Commissioner on 11 November, 2009 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/central-coalfields-ltd-vs-regional-labour-commissioner-on-11-november-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Central Coalfields Ltd. vs Regional Labour Commissioner on 11 November, 2009 - 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