M C CHAMARAJU Vs. HIND NIPPON RURAL INDUSTRIAL P LTD
LAWS(SC)-2007-8-101
SUPREME COURT OF INDIA (FROM: KARNATAKA)
Decided on August 24,2007

M.C. CHAMARAJU Appellant
VERSUS
HIND NIPPON RURAL INDUSTRIAL (P) LTD Respondents

JUDGEMENT

- (1.) Leave granted.
(2.) This appeal is filed against the judgment and order dated September 26, 2005, passed by the Division Bench of the High Court of Karnataka at Bangalore in Writ Appeal No. 2458 of 2005 (L-PG). By the said order, the Division Bench of the High Court set aside the order passed by the Controlling Authority and Assistant Labour Commissioner (Central), Bangalore under the Payment of Gratuity Act, 1972 (hereinafter referred to as 'the Act') and confirmed by the Appellate Authority and also by a Single Judge of the High Court.
(3.) Short facts giving rise to the present appeal are that according to the appellant, in September, 1984, he was appointed as Supervisor by Mr. V.K. Poddar, Managing Director of Agarwal Investments, Poddar Granites and Hind Nippon Co. Ltd. According to him, he worked as Supervisor in Poddar Mines at Sira upto 1990 and thereafter was transferred to other quarry. He worked at various places like Bellary, Sira and Chamaraya Nagar. He worked till February, 1993. From March, 1993, however, he was neither paid his salary nor served with any order of termination or dismissal. On September 27, 1993, the appellant addressed a letter asking the Management to settle his dues and also to pay gratuity under the Act. But it was not paid. He, therefore, approached the Controlling Authority and Assistant Labour Commissioner, Bangalore by making an application under sub-section (4) of Section 7 of the Act read with sub-rule (1) of Rule 10 of the Payment of Gratuity (Central) Rules, 1972. The Controlling Authority, after hearing both the parties and perusing the materials placed before him, held that the appellant was entitled to gratuity. Accordingly, an order was passed on May 26, 2003 that the appellant was entitled to a sum of Rs.16,875/- towards gratuity. Since the respondent- employer had not paid the amount of gratuity within 30 days of the leaving of services by the workman, the payment was ordered to be made with interest @ 10% p.a. from June 12, 1993 till the date of payment.;


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