- (1.) THIS appeal is at the instance of the defendant Indian Airlines Corporation and it arises out of a suit for declaration and recovery of money.
(2.) THE case of the plaintiff was that he was at first appointed a Radio Officer by the Indian National Airways with effect from October 1946. He was confirmed in the said post with effect from April 10, 1947. The defendant Indian Airlines Corporation was form ed in the year 1953 under the Air Corporations Act, 1953. The undertakings of all the existing air companies vested in the defendant Corporation and the services of all employees working in the said undertakings including the services of the plaintiff were taker over by the defendant Corporation. The plaintiff was promoted to the post of Senior Radio Officer by the defendant Corporation with effect from October 1, 1960. Before the introduction of the Pilot Operated Long Range R/t which had inevitable consequence on the Radio Officers employed under the defendant Corporation and becoming redundant, the defendant Corporation and the All India Radio Officers' Association entered into an agreement on November 23, 1961, on the question of future employment of Radio Officers who might be declared redundant and payment of compensation to them consequent on the implementation of the Pilot Operated R/t. It was agreed by and between the parties that the defendant Corporation would grant compensation to those Radio Officers who would accept the same in lieu of alternative employment. In terms of clause (6) of the said agreement as subsequently amended, the defendant corporation was under a legal obligation to give compensation equivalent to two months' salary for each completed year of service and a proportionate amount for any part thereof subject to a minimum of 36 months' salary to Radio Officers who would volunteer to accept compensation in lieu of alternative employment.
(3.) BY a circular dated January 21, 1966, issued by the defendant's Operation Manager, 29 Radio Officers including the plaintiff were grounded as a result of the implementation of the Pilot Operated R/t in terms of the said agreement. The plaintiff was them serving at the Dum Dum Air Port. Of the 29 Radio Officers, 11 Radio Officers all of whom though junior to the plaintiff, were again taken in the flying service as Radio Officers and 13 other Radio Officers, also junior to the plaintiff in service, were put on general ser vice after giving them ground training. Although the plaintiff held a valid flying licence and was medically fit and was senior to the aforesaid Radio Officers, he was neither allotted flying duty nor was given any opportunity to have ground training for the purpose of being absorbed in the ground service. As the plaintiff was ignored and passed over, he had to exercise option of getting compensation which he did by his letter dated February 10, 1966 in lieu of alternative employment Inspite of several correspondence, the plaintiff was neither given any compensation nor was allowed to continue with his duties. By a letter dated April 21, 1966, the plaintiff war, informed by the Secretary of the defendant Corporation that, as he would reach the age of 55 on July 7, 1966, it was decided to retire him from service from that day. It was the case of the plaintiff that the action of the defendant Corporation in retiring him from service after he had opted for compensation in terms of the said agreement was illegal, malafide and was made with a view to deprive him of the compensation. He claimed that he was entitled to the payment of the sum of Rs. 52,200/- as compensation. Further, he claimed that he was entitled to a sum of Rs. 5,000/- which was illegally deducted by the defendant Corporation from the provident fund of the plain tiff on the plea that he had absented himself from duty during the period from January 24, 1966 to April 24, 1966 The plaintiff, accordingly, prayed for a declaration that the order of removal and/or retirement of the plaintiff from the service of the defendant Corporation was illegal, inoperative and void. He also prayed for a decree for a sum of Rs. 52,200/ - being the amount of compensation calculated on the basis of 36 months' salary as per the agreement, or in the alternative for a decree for Rs. 5,000/ -.;