JAIPUR VIDHYUT VITRAN NIGAM LTD. THROUGH ITS CHAIRMAN AND ANR. Vs. MAHAVEER PRASAD JAIN S/O SHRI DAULAT MAL JAIN
LAWS(RAJ)-2007-12-47
HIGH COURT OF RAJASTHAN
Decided on December 19,2007

Jaipur Vidhyut Vitran Nigam Ltd. Through Its Chairman Appellant
VERSUS
Mahaveer Prasad Jain S/O Shri Daulat Mal Jain Respondents

JUDGEMENT

R.M. Lodha, J. - (1.) THIS appeal is directed against the order dt. 24.05.2007, whereby the Single Judge allowed the writ petition; quashed the orders dt. 13.01.2004 and 13.02.2004 and directed the present appellants (respondents therein) to consider the case of the petitioner for grant of pension as per the guidelines dt. 02.07.1991.
(2.) TWO fold submission was made by the counsel for the appellants, namely: (i) that paragraph 11 of the guidelines issued by the Government of Rajasthan (State Enterprises Department) dt. 02.07.1991 for absorption of employees of State Public Enterprises is applicable and not -paragraph 11(b) of the said guidelines; and (ii) that having withdrawn the entire amount of CPF Scheme before his absorption in the Rajasthan State Electricity Board (Now Jaipur Vidhyut Vitran Nigam Limited), the respondent No. 1 was not entitled to the benefit of pension scheme under the said guidelines. In this connection, the counsel for the appellants relied upon two judgments of the Supreme Court; (i) Bank of India and Ors. v. : (2003)ILLJ819SC , and KVS and Ors. v. : AIR2007SC2023 . That there is mechanism for absorption of surplus employees of one State Public Enterprise to other State Public Enterprise is not in dispute. By providing for mechanism for absorption of surplus employees of one state public enterprise to other state public enterprise, guidelines came to be issued by the Bureau of Public Enterprises, State Enterprises Department, Government of Rajasthan on 02.07.1991. Inter alia it provides that an appointment by way of absorption of surplus employees shall be deemed a direct recruitment; surplus employees on absorption shall be governed by the Rules of absorbing enterprises and the provision of CPF scheme or pension scheme, as the case may be, in the case of surplus employees. Paragraph 11 of the guidelines makes provision for the surplus employees who were covered under CPF Scheme. It provides thus: 11. In case the surplus employees were covered under CPF Scheme, on absorption: (a) In an enterprise having CPF Scheme, the balance in the CPF account of the surplus employees shall be transferred to the absorbing enterprise. On absorption the surplus employees would be governed by CPF Scheme and rules of the absorbing enterprise. (b) In an enterprise having pension scheme, the balance in CPF Account of surplus employees will be transferred to absorbing enterprise for credit to the CPF Account of the employees and the pension Fund in proportion of employees subscription and organisation's contribution respectively. The eligible period of service rendered in relieving enterprise would be considered as qualifying service under pension scheme of absorbing enterprise.
(3.) PARAGRAPH 12 deals with the surplus employees covered by pension scheme which reads thus: 12. In the case of the surplus employees were covered by pension scheme, on absorption: (a) In an enterprise having pension scheme the relieving enterprise would transfer the balance of GPF Account of the employee and his share in the Pension Fund of the relieving organization to the absorbing organization for credit to GPF Account and Pension Fund respectively. (b) In an enterprise having CPF Scheme, the balance of GPF Account and share in pension Fund would be transferred to the absorbing enterprise for credit to the CPF Account. On absorption, the surplus employees would be governed by CPF Scheme and rules of the absorbing enterprise.;


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