HMT MACHINE TOOLS LTD Vs. V. L. JAYARAM

JUDGEMENT

(1.) This intra court appeal has been filed against the order dtd. 23/11/2020 passed by the learned Single Judge, by which W.P.No.15511/2018 (S-R) preferred by the respondent has been allowed with a direction to the appellant to pay interest on gratuity for the period from 1/11/2013 till 1/10/2014 at the rate of 10% p.a.

(2.) The facts giving rise to the filing of this appeal briefly stated are that the respondent was an employee of the appellants, who retired on attaining the age of superannuation on 31/10/2013. The amount of gratuity which was due and payable to the respondent was paid on 1/10/2014 i.e., after delay of 11 months. The respondent approached the Controlling Authority by making an application under the Payment of Gratuity Act , 1972 seeking interest on delayed payment of gratuity.

(3.) The Controlling Authority passed an order dtd. 3/12/2014 directing payment of gratuity of Rs.6,87,091.00 to the respondent along with interest at the rate of 10% p.a. with effect from 1/11/2013 till the date of payment. The appellants did not assailed the order passed by the Controlling Authority and therefore it has attained finality. However, by a communication dtd. 17/11/2017, appellant No.2 viz., General Manager, Hindustan Machine Tools Ltd., (HMT) informed the respondent that he is not entitled for the interest on delayed payment of gratuity. The aforesaid communication was challenged in W.P.No.15511/2018 (S-R), which was allowed by the learned Single Judge by an order dtd. 23/11/2020. In the aforesaid factual background, this appeal has been filed.