{"id":215451,"date":"2011-01-28T00:00:00","date_gmt":"2011-01-27T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/ms-the-management-of-vs-s-girija-on-28-january-2011"},"modified":"2014-04-04T10:33:08","modified_gmt":"2014-04-04T05:03:08","slug":"ms-the-management-of-vs-s-girija-on-28-january-2011","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/ms-the-management-of-vs-s-girija-on-28-january-2011","title":{"rendered":"M\/S.The Management Of vs S.Girija on 28 January, 2011"},"content":{"rendered":"<div class=\"docsource_main\">Madras High Court<\/div>\n<div class=\"doc_title\">M\/S.The Management Of vs S.Girija on 28 January, 2011<\/div>\n<pre>       \n\n  \n\n  \n\n \n \n BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT\n\t\t\t\nDATED: 28\/01\/2011\n\t\t\t\t\t\t\nCORAM\nTHE HONOURABLE MR.JUSTICE K.CHANDRU\n\t\t\t\t\nW.P.(MD)No.4387 of 2010\nand\nM.P.(MD)No.1 of 2010\n\nM\/s.The Management of\nMadurai East Sarvodaya Sangh,\n269, Kamarajar Salai,\nMadurai -9 through its\nSecretary S.Kumarasean \t\t ... Petitioner\n\nVs\n\n1.S.Girija\n\n2.Controlling Authority under the\n  Payment of Subsistence Allowance Act,\n The Assistant Commissioner of Labour,\n  Office of the Deputy Commissioner of Labour,\n  142\/1 Sundaram Theatre Road,\n  K.K.Nagar, Madurai -20.\n\n3.Appellate Authority under the\n  Payment of Subsistence Allowance Act,\n  Deputy Commissioner of Labour,\n  142\/1, Sundaram Theatre Road,\n  K.K.Nagar, Madurai -20. \t...Respondents\n\nPRAYER\n\nPetition filed under Article 226 of the Constitution of India praying\nfor the issuance of a Writ of certiorari, calling for the records from the file\nof the 3rd respondent herein in case No.PSAA 6 of 2008 and to quash the order\ndated 30.11.2009 passed therein.\n\n!For Petitioner  ... Mr.P.Chandra Bose\n^For Respondents ... Mr.S.C.Herold Singh,G.A.\n\t\t\t   For R2 and R3\n\n:ORDER\n<\/pre>\n<p>\tThe petitioner is the Management of Madurai East Sarvodaya Sangam. They<br \/>\nhave filed the present writ petition seeking to challenge the order passed by<br \/>\nthe third respondent Appellate Authority under the payment of Subsistence<br \/>\nAllowance Act, 1981 in P.S.A.A.6\/2008 dated 30.11.2009 confirming the orders<br \/>\npassed by the second respondent controlling authority dated 11.06.2008 made in<br \/>\nP.S.A.No.3\/2007.\n<\/p>\n<p>\t2. The first respondent was employed as an Assistant in the petitioner<br \/>\nSangam. She was placed under suspension with effect from 08.04.2004. Therefore,<br \/>\nshe claimed subsistence allowance for the period from 08.04.2004 to 03.09.2005.<br \/>\nFor the first period, she claimed subsistence allowance at the rate of 50%, for<br \/>\nthe second period i.e.90 days to 180 days, she claimed at the rate of 75% and<br \/>\nthereafter, for the further period at the rate of 100% in terms of Section 3 of<br \/>\nthe Tamil Nadu Payment of Subsistence Allowance Act, 1981 (for short PS Act)<\/p>\n<p>\t3. The second respondent, being the controlling Authority entertained her<br \/>\nclaim as P.S.A.No.3\/2007 and issued notice to the petitioner. The petitioner<br \/>\nfiled a counter statement dated Nil (May 2007). The stand of the petitioner was<br \/>\nthat the first respondent was dismissed from service with effect from 08.04.2004<br \/>\nfor various acts of misconducts and therefore until and unless the said<br \/>\ndismissal order is set aside by a competent court, she cannot claim any<br \/>\nsubsistence allowance. Without prejudice to the said stand, it was submitted<br \/>\nthat subsistence allowance was paid as per the provisions of the P.S.Act. The<br \/>\nsaid payment will also attract the provisions of Employees Provident Fund. The<br \/>\npetitioner has deducted amounts towards subscription in the Provident Fund and<br \/>\nhad paid the contribution to the PF department. The deductions made in the<br \/>\nsubsistence allowance is legal and valid and no amount is due and payable to the<br \/>\nfirst respondent. They had also filed a calculation sheet in relating to the<br \/>\npayment of subsistence allowance paid to the petitioner, deductions made so far<br \/>\nand the balance payment of subsistence allowance to be paid and further<br \/>\ndeductions to be made in the balance amount.  The amount worked out to<br \/>\nRs.62,911\/- for the period from 08.04.2004 to 03.09.2005. She was already paid<br \/>\nRs.29,171\/-. After making deductions towards Welfare  Fund loan, Bank Loan,<br \/>\nFamily welfare fund loan, Security as well as PF and also the loss towards stock<br \/>\nshortage, the balance amount worked out to Rs.10,100\/-. Even from that<br \/>\nRs.10,100\/-, PF amount, welfare fund loan amount and bank loan and further<br \/>\namounts are to be deducted, finally the balance to be paid was Rs.7,608\/-.\n<\/p>\n<p>\t4. Before the authority, the first respondent examined herself as P.W.1.<br \/>\nOn the side of the petitioner, one R.Nagarajan was examined as R.W.1. On the<br \/>\nside of the first respondent, she marked her suspension order as Ex.P1 and on<br \/>\nthe side of the Management, 3 documents were filed and marked as Exs.R1 to R3.\n<\/p>\n<p>\t5. The authority found that no deductions are permissible in the<br \/>\nsubsistence allowance and after giving credit to the earlier amount of<br \/>\nRs.29171.50, they will have to pay the balance of Rs.34,308\/-. Challenging the<br \/>\nsame, they filed an appeal under Rule 5A of the Tamilnadu Payment of Subsistence<br \/>\nAllowance Rules. As a condition precedent, they have deposited the entire amount<br \/>\nbefore the third respondent.  The said appeal was taken on file as<br \/>\nP.S.A.A.No.6\/2008 and notice was given to the first respondent.\n<\/p>\n<p>\t6. The first respondent filed a counter statement dated 7.7.2009. The<br \/>\nthird respondent by a final order dated 30.11.2009 rejected the case of the<br \/>\npetitioner and it held that no deduction is permissible from the subsistence<br \/>\nallowance.  The authority also held that the Act requires payment of 100% of the<br \/>\nwages beyond 180 days of suspension and if the entire amount is paid as wages,<br \/>\nthen certainly PF amount can be deducted for that portion. Under Rule 3(ii) of<br \/>\nthe PS Rules, no deduction is permissible from the subsistence allowance payable<br \/>\nto an employee.\n<\/p>\n<p>\t7.Mr.P.Chandra Bose, learned counsel for the petitioner relied upon the<br \/>\njudgment of the Supreme Court in <a href=\"\/doc\/978541\/\">Regional Director, Employees&#8217; State Insurance<br \/>\nCorporation v. M\/s.Popular Automobiles<\/a> reported in AIR 1997 SC 3956. The Supreme<br \/>\nCourt in that judgment has held that during the suspension period, the<br \/>\nemployee\/employer relationship exists. He is prevented from only discharging his<br \/>\nwork and therefore, subsistence allowance is very much part of the term &#8216;Wages&#8217;<br \/>\nas defined under Section 2(22) of the ESI Act and employer is bound to make<br \/>\ncontribution under Section 39 of the PF Act.\n<\/p>\n<p>\t8. In the present case, Rule 3(ii) clearly prevents any deduction.<br \/>\nTherefore, the third respondent has maintained the balance while following the<br \/>\njudgment of the Supreme Court in the case of Popular Automobiles (cited supra)<br \/>\nand he also gave full meaning to Rule 3(ii). Therefore, his finding that beyond<br \/>\n180 days when an employer is bound to pay full wages, then Rule 3(ii) will not<br \/>\nhave any operation and PF Contribution can be deducted from the so called<br \/>\nsubsistence allowance. It is necessary to refer to Rule 3(ii):-<br \/>\n&#8220;The subsistence allowance payable under this Act shall be paid in full subject<br \/>\nto restrictions under the Act and it shall not be liable for any deduction&#8221;.\n<\/p>\n<p>\t9. This court is not inclined to accept the contentions raised by the<br \/>\npetitioner.  Even if the petitioner&#8217;s contention is accepted that it could only<br \/>\nrelated to PF account and not for other payments to be made by him, in the<br \/>\nabsence of any enabling provision and the amount to be deducted towards PF is a<br \/>\nvery negligible amount, and considering the fact that the first respondent was<br \/>\nunder suspension for more than a year, this Court is not inclined to interfere<br \/>\nwith the order passed by the authorities.\n<\/p>\n<p>\t10. Hence, this writ petition stands dismissed.   In view of the dismissal<br \/>\nof the writ petition, there is no impediment for the first respondent to<br \/>\nwithdraw the amount lying in deposit with the second respondent. No costs.<br \/>\nConsequently, connected miscellaneous petition is closed.\n<\/p>\n<p>svki\t\t\t\t\t\t\t\t<\/p>\n<p>To\n<\/p>\n<p>1.Controlling Authority under the<br \/>\n  Payment of Subsistence Allowance Act,<br \/>\n The Assistant Commissioner of Labour,<br \/>\n  Office of the Deputy Commissioner of Labour,<br \/>\n  142\/1 Sundaram Theatre Road,<br \/>\n  K.K.Nagar, Madurai -20.\n<\/p>\n<p>2.Appellate Authority under the<br \/>\n  Payment of Subsistence Allowance Act,<br \/>\n  Deputy Commissioner of Labour,<br \/>\n  142\/1, Sundaram Theatre Road,<br \/>\n  K.K.Nagar, Madurai -20.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Madras High Court M\/S.The Management Of vs S.Girija on 28 January, 2011 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED: 28\/01\/2011 CORAM THE HONOURABLE MR.JUSTICE K.CHANDRU W.P.(MD)No.4387 of 2010 and M.P.(MD)No.1 of 2010 M\/s.The Management of Madurai East Sarvodaya Sangh, 269, Kamarajar Salai, Madurai -9 through its Secretary S.Kumarasean &#8230; Petitioner Vs 1.S.Girija 2.Controlling [&hellip;]<\/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":[8,13],"tags":[],"class_list":["post-215451","post","type-post","status-publish","format-standard","hentry","category-high-court","category-madras-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>M\/S.The Management Of vs S.Girija on 28 January, 2011 - Free Judgements of Supreme Court &amp; 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\/ms-the-management-of-vs-s-girija-on-28-january-2011\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"M\/S.The Management Of vs S.Girija on 28 January, 2011 - Free Judgements of Supreme Court &amp; 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