{"id":230783,"date":"2008-10-22T00:00:00","date_gmt":"2008-10-21T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/the-g-m-east-central-railway-vs-the-central-administrative-tri-on-22-october-2008"},"modified":"2017-11-01T23:30:09","modified_gmt":"2017-11-01T18:00:09","slug":"the-g-m-east-central-railway-vs-the-central-administrative-tri-on-22-october-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/the-g-m-east-central-railway-vs-the-central-administrative-tri-on-22-october-2008","title":{"rendered":"The G.M.,East Central Railway vs The Central Administrative Tri on 22 October, 2008"},"content":{"rendered":"<div class=\"docsource_main\">Patna High Court<\/div>\n<div class=\"doc_title\">The G.M.,East Central Railway vs The Central Administrative Tri on 22 October, 2008<\/div>\n<pre>        IN THE HIGH COURT OF JUDICATURE AT PATNA\n\n                         C.W.J.C No.6609 OF 2006\n                                  ------\n<\/pre>\n<p>     1. The General Manager, East Central Railway, Hajipur.\n<\/p>\n<p>     2. The Divisional Railway Manager, Sonepur.\n<\/p>\n<p>     3. The Divisional Accounts Manager, Sonepur.\n<\/p>\n<p>     4. The Financial Adviser-cum-Chief Accounts Officer, East Central<br \/>\n        Railway, Hajipur.\n<\/p>\n<p>     5. The District Personal Manager, Sonepur.\n<\/p>\n<p>                                     &#8230;&#8230;&#8230; Petitioners<br \/>\n                      Versus\n<\/p>\n<p>     1. The Central Administrative Tribunal, Patna Bench, through<br \/>\n        Registrar.\n<\/p>\n<p>     2. Subhadra Jha, Son of Nageshwar Jha, resident of Mohalla-<br \/>\n        Aamgola Maligab, P.S. Kazi Mohammadpur, District-<br \/>\n        Muzaffarpur.\n<\/p>\n<p>                                             &#8230;. Respondents.\n<\/p>\n<p>For the petitioners        : Mr.Mahes Prasad, Advocate<\/p>\n<p>For the respondent no.2 : Mr.Surya Kant Mishra, Advocate\n<\/p>\n<p>                                &#8212;&#8212;\n<\/p>\n<p>                             PRESENT<\/p>\n<p>                     Hon&#8217;ble the Chief Justice<br \/>\n                                  &amp;<br \/>\n               Hon&#8217;ble Mr. Justice Kishore K. Mandal\n<\/p>\n<p>                                &#8212;&#8212;\n<\/p>\n<p>Dated, the 22nd October, 2008.\n<\/p>\n<p>           The Railway authorities have filed this writ petition<\/p>\n<p>aggrieved by the order dated 12th August, 2005 passed by the Central<\/p>\n<p>Administrative Tribunal, Patna Bench, Patna to the extent it declared<\/p>\n<p>that order of recovery of Rs.29613\/- towards penal rent from retiral<\/p>\n<p>benefits was bad in law.\n<\/p>\n<p>2.      The controversy arises from the facts which may be noticed<\/p>\n<p>first. Subhadra Jha ( respondent no.2) retired from the post of<br \/>\n<span class=\"hidden_text\">                                     -2-<\/span><\/p>\n<p>Commercial Superintendent, North Eastern Railway, Sonepur<\/p>\n<p>Division on 31st January, 1995. Even after his retirement, he continued<\/p>\n<p>to occupy the official quarter which was given to him during the<\/p>\n<p>service. While settling his retiral dues, the amount of Rs. 29613\/- was<\/p>\n<p>deducted on account of damages for unauthorised occupation of the<\/p>\n<p>Railway quarter after his retirement. We need not refer to the facts<\/p>\n<p>with regard to the stoppage of increment, non-payment of pension at<\/p>\n<p>the pay last drawn by him and the salary for unutilized leave etc. as<\/p>\n<p>these aspects which were in issue before the Tribunal, are not for<\/p>\n<p>consideration before us in the writ petition. The Tribunal relied upon<\/p>\n<p>the decision of the Supreme Court in the case of               Gorakhpur<\/p>\n<p>University and others Vs. Dr. Shitla Prasad Nagendra and others,<\/p>\n<p>(2001) 6 Supreme Court Cases 591, and held that penal rent could not<\/p>\n<p>be recovered from the retiral dues and that recovery of Rs.29,613\/-\n<\/p>\n<p>towards penal rent was bad in law. As noticed above, it is only this<\/p>\n<p>part of the order that is challenged in the present writ petition.\n<\/p>\n<p>   3.    Rule 15 of the Railway Services (Pension) Rules, 1993 makes<\/p>\n<p>a provision for recovery and adjustment of Government or railway<\/p>\n<p>dues from pensionary benefits which read thus:\n<\/p>\n<blockquote><p>        &#8220;15.    Recovery and adjustment of Government or railway<br \/>\n               dues from pensionary benefits.<\/p>\n<blockquote><p>        (1)     It shall be the duty of the Head office to ascertain and<br \/>\n         assess Government or railway dues payable by a railway<br \/>\n         servant due for retirement.<\/p><\/blockquote>\n<p>        (2)      The railway or Government dues as ascertained and<br \/>\n         assessed, which remain outstanding till the date of retirement<br \/>\n         or death of a railway servant, shall be adjusted against the<br \/>\n         amount of the retirement gratuity or death gratuity or terminal<br \/>\n         gratuity and recovery of the dues against the retiring railway<br \/>\n         servant shall be regulated in accordance with the provisions<br \/>\n<span class=\"hidden_text\">                                -3-<\/span><\/p>\n<p> of sub-rule (4).\n<\/p>\n<p>(3)      For the purposes of this rule, the expression &#8220;railway<br \/>\n or Government dues&#8221; includes-\n<\/p>\n<p> (a) dues     pertaining   to     railway    or    Government<br \/>\n     accommodation including arrears of licence fee, if any;\n<\/p>\n<p> (b) dues other than those pertaining to railway or<br \/>\n     Government accommodation, namely balance of house-<br \/>\n     building or conveyance or any other advance,<br \/>\n     overpayment of pay and allowances, leave salary or other<br \/>\n     dues such as post office or Life insurance premia losses<br \/>\n     (including short collection in freight charges shortage in<br \/>\n     stores (caused to the Government or the railway as a<br \/>\n     result if negligence or fraud on the part of the railway<br \/>\n     servant while he was in service.\n<\/p>\n<p>4. (i)     A claim against the railway servant may be on account<br \/>\n          of all or any of the following:-\n<\/p>\n<p>          (a) loses (including short collection in freight charges,<br \/>\n              short-age in stores caused to the Government or<br \/>\n              the railway as a result of negligence or fraud in the<br \/>\n              part of the railway servant while he was in serve;\n<\/p>\n<p>          (b) other Government dues such as over-payment on<br \/>\n              account of pay and allowances or other dues such<br \/>\n              as house rent, post office or life Insurance premia,<br \/>\n              or outstanding advance,\n<\/p>\n<p>          (c) non-Government dues.\n<\/p>\n<p>  (ii) Recovery of losses specified in sub-clause (a) of<br \/>\n       clause (i) of this sub-rule shall be made subject to the<br \/>\n       conditions laid down in rule 8 being satisfied from<br \/>\n       recurring pensions and also commuted value thereof,<br \/>\n       which are governed by the Pensions Act, 1871 (23 of<br \/>\n       1871). A recovery on account of item (a) of sub-para\n<\/p>\n<p>       (i) which cannot be made in terms of rule 8, and any<br \/>\n       recovery on account of sub-clauses items (b) and (c)<br \/>\n       of clause (i) that cannot be made from these even with<br \/>\n       the consent of the railway servant, the same shall be<br \/>\n       recovered from retirement, death, terminal or service<br \/>\n       gratuity which are not subject to the Pensions Act,<br \/>\n       1871 (23 of 1871). It is permissible to make recovery<br \/>\n       of Government dues from the retirement, death,<br \/>\n       terminal or service gratuity even without obtaining his<br \/>\n       consent, or without obtaining the consent of the<br \/>\n       members of his family in case of a deceased railway<br \/>\n       servant.\n<\/p>\n<p>  (iii)     Sanction to pensionary benefits shall not be delayed<br \/>\n           pending recovery of any outstanding Government<br \/>\n<span class=\"hidden_text\">                           -4-<\/span><\/p>\n<p>     dues. If at the time of sanction, any dues remain<br \/>\n     unassessed or unrealized the following courses should<br \/>\n     be adopted:-\n<\/p>\n<p>        (a) In respect of the dues as mentioned in sub-\n<\/p>\n<blockquote><p>            clause (a) of clause (i) of this sub-rule. A<br \/>\n            suitable cash deposit may be taken from the<br \/>\n            railway servant or only such portion of the<br \/>\n            gratuity as may be considered sufficient, may<br \/>\n            be held over till the outstanding dues are<br \/>\n            assessed and adjusted.\n<\/p><\/blockquote>\n<p>        (b)      In respect of the dues as mentioned in sub-\n<\/p>\n<blockquote><p>              clause (b) of clause (i) of this sub-rule (1) The<br \/>\n              retiring railway servant may be asked to<br \/>\n              furnish a surety of a suitable permanent<br \/>\n              railway servant. If the surety furnished by him<br \/>\n              is found acceptable, the payment of his<br \/>\n              pension or gratuity or his last claim for pay,<br \/>\n              etc. should not be withheld and the surety shall<br \/>\n              sign a bound in Form 2.\n<\/p><\/blockquote>\n<p>    (2) If the retiring railway servant is unable or not<br \/>\n        willing to furnish a surety, then action shall be<br \/>\n        taken as specified in sub-clause (a) of sub-clause\n<\/p>\n<p>        (iii).\n<\/p>\n<p>    (3) The authority sanctioning pension in each case<br \/>\n        shall be competent to accept the surety bound in<br \/>\n        Form 2 on behalf of the President.\n<\/p>\n<p>       (c) In respect of the dues as mentioned in sub-\n<\/p>\n<blockquote><p>           clause (c) of clause (i) the quasi-Government<br \/>\n           and non-Government dues, such as amounts<br \/>\n           payable by a railway servant to Consumer<br \/>\n           Cooperative Societies, consumer Credit<br \/>\n           Societies or the dues payable to an autonomous<br \/>\n           organization by a railway servant while on<br \/>\n           deputation may be recovered from the<br \/>\n           retirement gratuity which has become payable<br \/>\n           to the retiring railway servant provided he<br \/>\n           gives his consent for doing so in writing to the<br \/>\n           administration.\n<\/p><\/blockquote>\n<p>(iv) In all cases referred to in sub-clauses (a) and (b) of<br \/>\n     clause (i) of this sub-rule, the amounts which the<br \/>\n     retiring railway servants are required to deposit or<br \/>\n     those which are withheld from the gratuity payable to<br \/>\n     them shall not be disproportionately large and that<br \/>\n     such amounts are not withheld or the sureties<br \/>\n     furnished are not bound over for unduly long periods.\n<\/p>\n<p><span class=\"hidden_text\">                                  -5-<\/span><\/p>\n<p>             To achieve this the following principles should be<br \/>\n             observed by all the concerned authorities:-\n<\/p>\n<p>               (a) The cash deposit to be taken or the amount of<br \/>\n                   gratuity to be withheld should not exceed the<br \/>\n                   estimated amount of the outstanding dues plus<br \/>\n                   twenty-five per centum thereof.\n<\/p>\n<p>               (b) Dues mentioned in clause (i) of this sub-rule<br \/>\n                   should be assessed and adjusted within a period<br \/>\n                   of three months from the date of retirement of<br \/>\n                   the railway servant concerned.\n<\/p>\n<p>               (c) Steps should be taken to see that there is no loss<br \/>\n                   to Government on account of negligence on the<br \/>\n                   part of the officials concerned while intimating<br \/>\n                   and processing of a demand. The officials<br \/>\n                   concerned shall be liable to disciplinary action in<br \/>\n                   not assessing the Government dues in time and<br \/>\n                   the question whether the recovery of the<br \/>\n                   irrecoverable amount shall be waived or the<br \/>\n                   recovery made from the officials held<br \/>\n                   responsible for not assessing the Government<br \/>\n                   dues in time should be considered on merits.\n<\/p>\n<p>               (d) As soon as proceedings of the nature referred to<br \/>\n                   in rule 8 are instituted, the authority which<br \/>\n                   instituted the proceedings should without delay<br \/>\n                   intimate the fact to the Accounts Officer.&#8221;\n<\/p>\n<p>   4. Rule 16 the Railway Services (Pension) Rules, 1993 provides<\/p>\n<p>for adjustment and recovery of dues pertaining to Government or<\/p>\n<p>railway accommodation. It reads thus:\n<\/p>\n<blockquote><p>     &#8220;16. Adjustment and recovery of dues pertaining to<br \/>\n         Government or railway accommodation<\/p>\n<p>     (1) The Directorate of Estates on receipt of intimation from<br \/>\n    the Head of Office under sub-rule(1) or rule 98 regarding the<br \/>\n    issue of No Demand Certificate shall scrutinize its records<br \/>\n    and inform the Head of Office eight months before the date of<br \/>\n    retirement of the allottee, if any licence fee was recoverable<br \/>\n    from him in respect of the period prior to eight months of his<br \/>\n    retirement. If no intimation in regard to recovery of<br \/>\n    outstanding licence fee is received by the Head of Office by<br \/>\n    the stipulated date, it shall be presumed that no licence fee<br \/>\n    was recoverable from the allottee in respect of the period<br \/>\n    preceding eight months of his retirement.<\/p><\/blockquote>\n<p>     (2) The Head of Office shall ensure that licence fee for the<br \/>\n    next eight months, this is up to the date of retirement of the<br \/>\n<span class=\"hidden_text\">                                 -6-<\/span><\/p>\n<p>  allottee is recovered every month from the pay and<br \/>\n  allowances of the allottee.\n<\/p>\n<p>    (3) Where the Directorate of Estates intimates the amount of<br \/>\n  licence fee recoverable in respect of the period mentioned in<br \/>\n  sub-rule (1), the Head of Office shall ensure that outstanding<br \/>\n  licnece fee is recovered in instalments from the current pay<br \/>\n  and allowances of the allottee and where the entire amount is<br \/>\n  not recovered from the pay and allowances, the balance shall<br \/>\n  be recovered out of the gratuity before its payment is<br \/>\n  authorized.\n<\/p>\n<p>    (4) The Directorate of Estate shall also inform the Head of<br \/>\n  Office the amount of licence fee for the retention of<br \/>\n  Government accommodation for the permissible period of<br \/>\n  four months beyond the date of retirement of the allottee. The<br \/>\n  Head of Office shall adjust the amount of that licence fee<br \/>\n  from the amount of the gratuity together with the unrecovered<br \/>\n  licence fee, if any, mentioned in sub-rule (3).<br \/>\n    (5) If on any particular case, it is not possible for the<br \/>\n  Directorate of Estates to determine the outstanding licence<br \/>\n  fee, that Directorate shall inform the Head of Office that ten<br \/>\n  per cent of the gratuity or one thousand rupees, whichever is<br \/>\n  less, may be withheld pending receipt of further information.<br \/>\n    (6) The recovery of licence fee for the occupation of the<br \/>\n  Government accommodation beyond the permissible period<br \/>\n  of four months after the date of retirement if allottee shall be<br \/>\n  the responsibility of the Directorate of Estates. Any amount<br \/>\n  becoming due on account of licence fee for retention of<br \/>\n  Government accommodation beyond four months after<br \/>\n  retirement and remaining unpaid licence fee may be<br \/>\n  recovered by the Directorate of Estates through the concerned<br \/>\n  Accounts Officer from the dearness relief without the consent<br \/>\n  of the pensioner. In such cases no dearness relief should<br \/>\n  disbursed until full recovery of such dues have been made.\n<\/p>\n<p>NOTE : For the purpose of this rule, the licence fee shall also<br \/>\n        include any other charges payable by the allottee for<br \/>\n        any damage or loss caused by him to the<br \/>\n        accommodation or its fittings.\n<\/p>\n<p>  [8. (a) In case where a railway accommodation is not vacated<br \/>\n          after superannuation of the railway servant or after<br \/>\n          cessation of his services such as on voluntary<br \/>\n          retirement,    compulsory     retirement,    medical<br \/>\n          invalidation, or death, then the full amount of<br \/>\n          retirement gratuity, death gratuity or special<br \/>\n          contribution to provident fund, as the case may be,<br \/>\n          shall be withheld.\n<\/p>\n<p>     (b) the amount withheld under clause (a) shall remain<br \/>\n         with the railway administration in the form of cash.\n<\/p>\n<p><span class=\"hidden_text\">                                  -7-<\/span><\/p>\n<p>       (c) In case the railway accommodation is not vacated even<br \/>\n            after the permissible period of retention after the<br \/>\n            superannuation, retirement, cessation of service or<br \/>\n            death, as the case may be, the railway administration<br \/>\n            shall have the right to withhold recover, or adjust<br \/>\n            from the Death-cum-retirement Gratuity, the normal<br \/>\n            rent, special licence fee or damage rent, as may be due<br \/>\n            from the ex-railway employee and return only the<br \/>\n            balance, if any, on vacation of the railway<br \/>\n            accommodation.\n<\/p>\n<p>       (d) Any amount remaining unpaid the adjustment made<br \/>\n           under clause (c), may also be recovered without the<br \/>\n           consent of the pensioner by the concerned Accounts<br \/>\n           Officer from the dearness relief of the pensioner until<br \/>\n           full recovery of such dues has been made.\n<\/p>\n<p>       (e) Dispute, if any, regarding of damages or rent from the<br \/>\n           ex-railway employee shall be subject to adjudication<br \/>\n           by the concerned Estate Officer appointed under the<br \/>\n           Public Premises (Eviction of Unauthorised occupants)<br \/>\n           Act, 1971 (40 of 1971).]<\/p>\n<p>    (9) In case where a railway accommodation is not vacated by<br \/>\n   a railway servant after superannuation or after cessation of his<br \/>\n   services such as voluntary retirement or death, the full amount<br \/>\n   of the retirement gratuity, death gratuity or special<br \/>\n   contribution of provident fund, as the case may be, shall be<br \/>\n   withheld. The amount so withheld shall remain with the<br \/>\n   administration in the form of cash which shall be released<br \/>\n   immediately on the vacation of such railway accommodation.&#8221;\n<\/p>\n<p>   5. Incidentally, we may notice here that the controversy is not<\/p>\n<p>with regard to non-payment of rent of the official accommodation<\/p>\n<p>during the service, nor the recovery of rent is for the unauthorised<\/p>\n<p>occupation at the rate being paid by the employee during the service.\n<\/p>\n<p>The controversy is with regard to damages (penal rent) for<\/p>\n<p>unauthorised occupation of the Railway quarter by the respondent<\/p>\n<p>no.2 after his retirement. Neither Rule 15, nor Rule 16 of the Rules<\/p>\n<p>provide for determination of penal rent. Obviously, until that exercise<br \/>\n<span class=\"hidden_text\">                                   -8-<\/span><\/p>\n<p>is done, the question of adjustment or recovery of that amount from<\/p>\n<p>retiral benefits cannot arise.\n<\/p>\n<p>   6. The Public Premises (Eviction of Unauthorised Occupants) Act,<\/p>\n<p>1971 ( For short, \u201eAct of 1971\u201f) defines &#8220;public premises&#8221; thus:\n<\/p>\n<blockquote><p>      &#8220;2(e) &#8220;public premises&#8221; means-\n<\/p><\/blockquote>\n<blockquote><p>         (1) any premises belonging to, or taken on lease or<br \/>\n                requisitioned by, or on behalf of the Central<br \/>\n                Government, and includes any such premises which<br \/>\n                have been placed by that Government, whether<br \/>\n                before or after the commencement of the Public<br \/>\n                Premises        (Eviction      of       Unauthorised<br \/>\n                Occupants)Amendment Act, 1980(61 of 1980),<br \/>\n                under the control of the Secretariat of either House<br \/>\n                of    Parliament      for    providing     residential<br \/>\n                accommodation to any member of the staff of that<br \/>\n                Secretariat;\n<\/p><\/blockquote>\n<blockquote><p>         (2) any premises belonging to, or taken on lease by, or on<br \/>\n             behalf of,-\n<\/p><\/blockquote>\n<blockquote><p>             (i) any company as defined in section 3 of the<br \/>\n                 Companies Act, 1956 (1 of 1956), in which not<br \/>\n                 less than fifty-one per cent of the paid up share<br \/>\n                 capital is held by the Central Government or any<br \/>\n                 company which is a subsidiary (within the<br \/>\n                 meaning of that Act) of the first-mentioned<br \/>\n                 company;\n<\/p><\/blockquote>\n<blockquote><p>             (ii) any corporation (not being a company as defined<br \/>\n                 in section 3 of the Companies Act, 1956 (1 of<br \/>\n                 1956) or a local authority) established by or under<br \/>\n                 a Central Act and owned or controlled by the<br \/>\n                 Central Government;\n<\/p><\/blockquote>\n<blockquote><p>           (iii) any University established or incorporated by any<br \/>\n                 Central Act.\n<\/p><\/blockquote>\n<blockquote><p>           (iv) any Institute incorporated by the Institutes of<br \/>\n                 Technology Act, 1961 (59 of 1961);\n<\/p><\/blockquote>\n<blockquote><p>           (v) any Board of Trustees constituted under the Major<br \/>\n                 Port Trusts Act, 1963 (38 of 1963);\n<\/p><\/blockquote>\n<blockquote><p>           (vi) The Bhakra Management Board constituted under<br \/>\n                 section 79 of the Punjab Reorganisation Act,<br \/>\n                 1966(31 of 1966), and that Board as and when re-<br \/>\n                 named as the Bhakra-Beas Management Board<br \/>\n                 under sub-section (6) of section 80 of that Act;\n<\/p><\/blockquote>\n<blockquote><p>           (vii)any State Government or the Government of any<br \/>\n                 Union Territory situated in the National Capital<br \/>\n                 Territory of Delhi or in any other Union Territory;\n<\/p><\/blockquote>\n<blockquote><p>           (viii) any Cantonment Board constituted under the<br \/>\n                   Cantonments Act, 1924 (2 of 1924); and<br \/>\n<span class=\"hidden_text\">                                      -9-<\/span><\/p>\n<p>         (3) in relation to the National Capital Territory of Delhi-\n<\/p><\/blockquote>\n<blockquote><p>             (i) any premises belonging to the Municipal<br \/>\n                  Corporation of Delhi, or any Municipal<br \/>\n                  Committee or notified area committee;\n<\/p><\/blockquote>\n<blockquote><p>             (ii) any premises belonging to the Delhi Development<br \/>\n                  Authority, whether such premises are in the<br \/>\n                  possession of, or leased out by, the said<br \/>\n                  Authority; and<\/p>\n<\/blockquote>\n<blockquote><p>             (iii) any premises belonging to, or taken on lease or<br \/>\n                  requisitioned by, or on behalf of any State<br \/>\n                  Government or the Government of any Union<br \/>\n                  Territory;&#8221;\n<\/p><\/blockquote>\n<\/blockquote>\n<blockquote><p>     7. That the railway quarter is covered by definition of &#8220;public<\/p>\n<p> premises&#8221; under the Act of 1971 is not in dispute.\n<\/p><\/blockquote>\n<blockquote><p>     8. The Act of 1971 defines &#8220;unauthorised occupation&#8221; thus:\n<\/p><\/blockquote>\n<blockquote><p>         &#8220;2(g) &#8220;unauthorised occupation&#8221;, in relation to any public<br \/>\n        premises, means the occupation by any person of the<br \/>\n        public premises without authority for such occupation, and<br \/>\n        includes the continuance in occupation by any person of<br \/>\n        the public premises after the authority (whether by way of<br \/>\n        grant or any other mode of transfer) under which he was<br \/>\n        allowed to occupy the premises has expired or has been<br \/>\n        determined for any reason whatsoever.&#8221;<\/p><\/blockquote>\n<p>     9. That after his superannuation, the respondent no.2 remained<\/p>\n<p> in unauthorised occupation of railway quarter at Muzaffarpur also<\/p>\n<p> does not appear to be in dispute.\n<\/p>\n<p>     10. Section 7 of the Act of 1971 empowers the estate officer to<\/p>\n<p>determine damages in respect of public premises. Sub-Section 2 of<\/p>\n<p>Section 7 which is relevant for us reads thus:\n<\/p>\n<blockquote><p>        &#8220;(2) Where any person is, or has at any time been, in<br \/>\n      unauthorized occupation of any public premises, the estate<br \/>\n      officer may, having regard to such principles of assessment of<br \/>\n      damages as may be prescribed, assess the damages on<br \/>\n      account of the use and occupation of such premises and may,<br \/>\n      by order, require that person to pay the damages within such<br \/>\n      time and in such instalments as may be specified in the<br \/>\n      order.&#8221;\n<\/p><\/blockquote>\n<p>                                   &#8211; 10 &#8211;<\/p>\n<p>      11. For want of any provision in Railway Services (Pension)<\/p>\n<p>Rules, for determination of damages\/penal rent in respect of a railway<\/p>\n<p>accommodation in unauthorised occupation of the railway employee,<\/p>\n<p>obviously recourse has to be taken by the railway authorities under the<\/p>\n<p>Act of 1971 for determination of damages\/ penal rent in respect of<\/p>\n<p>public premises. The said recourse having not been taken, unilaterally<\/p>\n<p>determination of damages\/ penal rent of Rs.29613\/- and then<\/p>\n<p>deducting the said amount from the retiral benefits of the respondent<\/p>\n<p>no.2 cannot be justifiably sustainable.\n<\/p>\n<p>      12. In the case of Gorakhpur University and others Vs. Dr.<\/p>\n<p>Shitla Prasad Nagendra and others, (2001) 6 Supreme Court Cases<\/p>\n<p>591, although in relation to different provision governing employees<\/p>\n<p>of Gorakhpur University, the Supreme Court made the following<\/p>\n<p>observations:\n<\/p>\n<blockquote><p>    &#8220;5. We have carefully considered the submission on behalf<br \/>\n    of the respective parties before us. The earlier decision<br \/>\n    pertaining to this very University, reported in S.N. Mathur<br \/>\n    (1996) 2 ESC 211 (All) is that of a Division Bench, rendered<br \/>\n    after considering the principles laid down and also placing<br \/>\n    reliance upon the decisions of this Court reported in R. Kapur<br \/>\n    (1994) 6 SCC 589, which, in turn, relied upon earlier<br \/>\n    decisions in <a href=\"\/doc\/1920837\/\">State of Kerala v. M. Padmanabhan Nair<\/a> (1985)<br \/>\n    1 SCC 429 : 1985 SCC (L &amp; S) 278, and Som Prakash (1981)<br \/>\n    1 SCC 449. This Court has been repeatedly emphasizing the<br \/>\n    position that pension and gratuity are no longer matters of<br \/>\n    any bounty to be distributed by the Government but are<br \/>\n    valuable rights acquired and property in their hands and any<br \/>\n    delay in settlement and disbursement whereof should be<br \/>\n    viewed seriously and dealt with severely by imposing penalty<br \/>\n    in the form of payment of interest. Withholding of quarters<br \/>\n    allotted, while in service, even after retirement without<br \/>\n    vacating the same has been viewed to be not a valid ground to<br \/>\n    withhold the disbursement of the terminal benefits. Such is<br \/>\n    the position with reference to amounts due towards provident<br \/>\n    fund, which is rendered immune from attachment and<br \/>\n    deduction or adjustment as against any other dues from the\n<\/p><\/blockquote>\n<blockquote><p>                              &#8211; 11 &#8211;\n<\/p><\/blockquote>\n<p>employee. In the context of this, mere reliance on behalf of<br \/>\nthe appellant upon yet another decision of a different Division<br \/>\nBench of the very High Court rendered without taking note of<br \/>\nany of earlier decisions of this court but merely proceeding to<br \/>\ndecide the issue upon equitable considerations of balancing<br \/>\nconflicting claims of respective parties before it does not<br \/>\nimprove the case of the appellant any further. Reliance placed<br \/>\nfor the appellant University on the decision reported in Wazir<br \/>\nChand, (2001) 6 SCC 596 does not also sound well on the<br \/>\nfacts and circumstances of this case. It is not clear from the<br \/>\nfacts relating to the said decision as to whether the person<br \/>\nconcerned was allowed to remain in occupation on receipt of<br \/>\nthe normal rent as in the present case. As noticed earlier, the<br \/>\ncase of the contesting respondent in this case is that the<br \/>\nuniversity authorities regularly accepted the rent at normal<br \/>\nrates every month from the petitioner till the quarters were<br \/>\nvacated and that in spite of request made for the allotment of<br \/>\nthe said quarters in favour of the son of the respondents, who<br \/>\nis in the service of the University, no decision seems to have<br \/>\nbeen taken and communicated though it is now claimed in the<br \/>\ncourt proceedings that he is not entitled to this type of<br \/>\naccommodation. Further, the facts disclosed such as the<br \/>\nresolutions of the University resolving to waive penal rent<br \/>\nfrom all Teachers as well as that of the Executive Council<br \/>\ndated 18.7.1994 and the actual such waiver made in the case<br \/>\nof several others cannot be easily ignored. The lethargy<br \/>\nshown by the authorities in not taking any action according to<br \/>\nlaw to enforce their right to recover possession of the quarters<br \/>\nfrom the respondent or fix liability or determine the so called<br \/>\npenal rent after giving prior show cause notice or any<br \/>\nopportunity to him before ever even proceeding to recover the<br \/>\nsame from the respondent renders the claim for penal rent not<br \/>\nonly a seriously disputed or contested claim but the<br \/>\nUniversity cannot be allowed to recover summarily the<br \/>\nalleged dues according to its whims in a vindictive manner by<br \/>\nadopting different and discriminatory standards. The facts<br \/>\ndisclosed also show that it is almost one year after the<br \/>\nvacation of the quarters and that too on the basis of certain<br \/>\nsubsequent orders increasing the rates of penal rent, the<br \/>\napplicability of which to the respondent itself was again<br \/>\nseriously disputed and to some extent justifiably too, the<br \/>\nappellant cannot be held to be entitled to recover by way of<br \/>\nadjustment such disputed sums or claims against the pension,<br \/>\ngratuity and provident fund amounts indisputably due and<br \/>\nunquestionably payable to the respondent before us. The<br \/>\nclaims of the University cannot be said to be in respect of an<br \/>\nadmitted or conceded claim or sum due. Therefore, we are of<br \/>\nthe view that no infirmity or illegality could be said to have<br \/>\nvitiated the order, under challenge in this appeal, to call for<br \/>\nour interference, apart from the further reason that the\n<\/p>\n<p>                                           &#8211; 12 &#8211;\n<\/p>\n<p>            disbursements have already been said to have been made in<br \/>\n            this case as per the decision of the High Court.&#8221;\n<\/p>\n<p>            13. The observations made by the Supreme Court that not taking<\/p>\n<p>        any action according to law to determine the so-called penal rent after<\/p>\n<p>        giving prior show cause notice or any opportunity before           even<\/p>\n<p>        proceeding to recover the same renders the claim for penal rent not<\/p>\n<p>        only seriously disputed or contested claim, but the University cannot<\/p>\n<p>        be allowed to recover summarily the alleged dues according to its<\/p>\n<p>        whims equally applies to the fact-situation of the present case.\n<\/p>\n<p>           14. Moreover, we are informed by the counsel for the respondent<\/p>\n<p>        no.2 that subsequent to the decision given by the Tribunal, an amount<\/p>\n<p>        of Rs. 21,938\/- has already been paid out of Rs.29613\/- which was<\/p>\n<p>        deducted as penal rent from the retiral benefits.\n<\/p>\n<p>           15. In this view of the matter, even otherwise the order passed by<\/p>\n<p>        the Tribunal does not call for any interference. Writ petition is,<\/p>\n<p>        accordingly, dismissed with no order as to cost.\n<\/p>\n<p>                                            R.M. Lodha, CJ<\/p>\n<p>                                            Kishore K. Mandal, J.\n<\/p>\n<p>Sunil\n <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Patna High Court The G.M.,East Central Railway vs The Central Administrative Tri on 22 October, 2008 IN THE HIGH COURT OF JUDICATURE AT PATNA C.W.J.C No.6609 OF 2006 &#8212;&#8212; 1. The General Manager, East Central Railway, Hajipur. 2. The Divisional Railway Manager, Sonepur. 3. The Divisional Accounts Manager, Sonepur. 4. The Financial Adviser-cum-Chief Accounts Officer, [&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":[8,26],"tags":[],"class_list":["post-230783","post","type-post","status-publish","format-standard","hentry","category-high-court","category-patna-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The G.M.,East Central Railway vs The Central Administrative Tri on 22 October, 2008 - 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\/the-g-m-east-central-railway-vs-the-central-administrative-tri-on-22-october-2008\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The G.M.,East Central Railway vs The Central Administrative Tri on 22 October, 2008 - Free Judgements of Supreme Court &amp; 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