RAGHUBIR SAHAHAI MATHUR Vs. RAJ FINANCIAL CORPORATION
LAWS(RAJ)-1971-10-11
HIGH COURT OF RAJASTHAN
Decided on October 20,1971

Raghubir Sahahai Mathur Appellant
VERSUS
RAJ FINANCIAL CORPORATION Respondents

JUDGEMENT

JAGAT NARAYAN, C.J. - (1.) THIS is a special appeal against the judgment of a learned Singh Judge of this Court by of his leave under Section 18(2) of the Rajasthan High Court Ordinance by Raghubir Sahai Mathur plaintiff.
(2.) THE Rajasthan State Financial Corporation was formed on 1.5.1953 The appellant joined service on 5 -3 -55 in a temporary capacity on a salary of Rs. 400/ - per mensem. He was confirmed on its April, 1956 on Rs. 425/ - in the grade of Rs. 350 -25 -600. His date of birth was 24 -8 -1903. The Rajasthan Financial Corporation (Staff) Regulations, 1958 came into force with effect from October 16.1958. Under Regulation 17, an employee was to retire on attaining the age of 55 years, but the Board had power to sanction extension for a period not exceeding one year at a time, upto the age of 60 years. Four extensions were granted to the appellant and his services were terminated on 24 -8 -1962. He was not paid any gratuity. He claimed that he was entitled to gratuity under the Rajasthan Financial Corporation (Payment of Gratuity to employees) Regulations which came into force on July 13, 1961. He accordingly instituted the present suit. His case was that he was in permanent service with effect from 5 -3 -55, that his last pay was Rs. 575/ -, that he had put in seven completed years of service and was entitled to gratuity amounting to Rs. 4025/ -. The trial court decreed the suit for Rs. 2925/ - The first appellate court held that he was not entitled to any gratuity. This finding was confirmed by the learned Single Judge on appeal. The learned Single Judge assumed that the appellant accepted 1 -4 -1956 as the date of his confirmation This assumption is not correct as the appellant alleges that he was confirmed from 5 -3 -1955. We are satisfied from his order of confirmation Ex. A -2 that he was confirmed with effect from 1 -4 -56. He relies on his Provident Fund account. He was allowed to contribute towards Provident Fund with effect from 5 -3 -55. Normally only permanent employees are allowed to contribute towards Provident Fund, but under Regulation 9(11) an exception was made in case of employees who joined the service of the Corporation prior to the commencement of the Rajasthan Financial Corporation (Employees Provident Fund) Regulations, 1958 From the fact that he was allowed to contribute towards Provident Fund from 5 -3 -55, it cannot be inferred that he was in permanent service from that date.
(3.) AS to whether or not he is entitled to gratuity depends on the interpretation of Regulation 5 of the Rajasthan Financial Corporation (Payment of Gratuity to employees) Regulations. It runs as follows:;


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