JUDGEMENT
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(1.) THE Court : The petitioner in this WP under art.226 dated January 3, 2013 is alleging that for undisclosed reasons the respondents liable to pay him gratuity, leave salary, etc. and not disputing his entitlement and their liability
have not paid the benefits.
It is not disputed that the petitioner retired from services of Calcutta
Tramways Company (in short CTC) on April 30, 2011, and that CTC incurred an
obligation to pay him gratuity, leave salary, etc. on May 1, 2011. Nor is it
disputed that CTC has not paid him the benefits.
Mr Deb Roy appearing for CTC submits that the petitioner was paid in
excess of his entitlement; that the amount payable could not be paid for acute
financial crisis; and that for gratuity the petitioner had a remedy under s.8 of the
Payment of Gratuity Act, 1972. He has relied on an unreported Division Bench
decision dated March 27, 2012 in MAT No.112 of 2012 (The Managing Director,
CTC Ltd. & Ors. v. Munshi Abdul Rouf & Ors.). In my opinion, financial crisis, if any, of CTC is not a ground to say that it
was or is entitled to withhold the petitioner 's gratuity, leave salary, pension,
commuted value of pension, etc. It was under an obligation to pay the benefits
on May 1, 2011. By withholding the benefits it has caused irreparable loss and
harassment to the petitioner. This is a litigation it has generated without any
valid reason.
(2.) THE plea that for gratuity the petitioner had a remedy under s.8 of the Payment of Gratuity Act, 1972 is without any merit. Availability of a statutory
remedy such as the one under s.8 of the Payment of Gratuity Act, 1972 is not a
bar to seek the art.226 remedy. Besides, the petitioner 's entitlement to gratuity
and liability of CTC to pay gratuity both are undisputed.
In my opinion, CTC should be ordered to pay the petitioner all the benefits
to which he is entitled. The relied on Division Bench decision does not entitle
CTC to withhold the benefits or pay them in the manner it wishes. It is liable to
pay interest. I think interest, if ordered at the rate of 7% p.a., will be fair and
reasonable.
For these reasons, I dispose of the WP directing CTC to pay the petitioner gratuity, leave salary, etc. according to law with interest at the rate of 7% p.a.
from May 1, 2011, within four weeks from the date this order is served on it. No
costs. Certified xerox.;
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