BCH ELECTRIC LIMITED Vs. PRADEEP MEHRA

JUDGEMENT

(1.) The present batch of four writ petitions impugns identical but separate orders passed by the statutory authorities under the Payment of Gratuity Act, 1972 (hereinafter referred to as "PG Act"), upholding the claim of the respondents/employees to receive gratuity beyond the ceiling limit prescribed under Section 4(3) of the said Act. Since the petitions raise common issues with similar prayers, they are being decided by a common judgment. However, for the sake of convenience, only the facts of WP(C) No.3385/2018 are being referred to hereinbelow.

(2.) Vide the present petition under Articles 226 and 227 of the Constitution of India, the petitioner inter alia impugns the order dated 31.07.2017 passed by the Controlling Authority under the Payment of Gratuity Act, 1972 (hereinafter referred to as "PG Act"), whereby the petitioner was directed to pay the respondent a sum of Rs.1,73,75,000/- as gratuity alongwith simple interest at the rate of 10% per annum on the said amount for delayed payment. The petitioner also impugns the order dated 23.03.2018 passed by the Appellate Authority, confirming the aforesaid order dated 31.07.2017 of the Controlling Authority.

(3.) The facts emerging from the record that are necessary for the adjudication of the present petition are as follows. The respondent who was the Chief Executive Officer (hereinafter referred to as "CEO") of the petitioner/corporation w.e.f. 12.06.2000, resigned from the said post on 01.06.2012 after admittedly rendering 12 years of service with the petitioner/Corporation. After the respondent tendered his resignation, the petitioner sent a letter dated 09.08.2012 to him enclosing a cheque of Rs.10,19,452/-, out of which Rs.10,00,000/- was allegedly towards the maximum amount of gratuity payable to him under the prevailing laws and the remaining was the interest calculated thereon. It is the respondent's case that as against the amount actually paid to him by the petitioner, he was entitled to a total of Rs.1,83,75,000/- as gratuity for the entire period of his service. He, therefore, wrote three letters dated 31.08.2012, 24.09.2012 and 19.10.2012 to the petitioner claiming a sum of Rs.1,83,75,000/- as gratuity, but to no avail.