2005 Supreme(SC) 245
Supreme Court Of India
ARIJIT PASAYAT AND S.H. KAPADIA, JJ.
STATE OF PUNJAB AND OTHERS- Appellants
Versus
MANJIT KAUR - Respondent
Civil Appeal No. 1228 of 2005,
Decided on February 14, 2005
Headnote:
Retiral benefits - Proceedings regarding suspension of husband of respondent who died during pendency- Writ petition filed for retiral benefits and for deemed reinstatement of the husband of the respondent and for compassionate appointment- In the meanwhile, the appellant allowed deemed reinstatement of the deceased employee without back wages- Retiral benefits released and respondent given appointment on compassionate basis- The High Court allowed interest also- Order of the High Court upheld- Since there has been unexplained delay in granting the retiral benefits, interest is to be paid @ 9%. [Paras 3 and 4]
ORDER
1. Heard learned counsel for the parties.
2. Leave granted.
3. The limited question involved is the entitlement of the respondent to interest. We find that during the pendency of proceedings where the respondents husband was suspended, the employee concerned died on 1-4-1999. A writ petition was filed for getting the retiral benefits and for deemed reinstatement of the husband of the respondent and for compassionate appointment. On 28-3-2000, the appellant passed an order f that there shall be deemed reinstatement of the deceased employee without back wages. On 11-9-2001, a direction was given for release of the dues from 10-11-1998 to 31-3-1999 and for treating the period of suspension as a part of duty for the purpose of working out pensionary benefits. On 11-9-2003, the dues were paid. The High Court was of the view that in view of the aforesaid position, the respondent was entitled to interest.
4. It is submitted by learned counsel for the appellant State that in the meantime, before release of the retiral benefits, the respondent had been appointed on compassionate grounds and, therefore, there should not be any entitlement to interest. We are not inclined to agree with this submission. If any compassionate appointment has been made that cannot deprive the respondent from getting the retiral benefits payable statutorily. Since there has been unexplained delay in granting the retiral benefits, interest is to be paid @ 9% from 11-9-2001. We direct accordingly. A further direction of the High Court has been given to fix up responsibility and for recovering the interest from the official concerned. In the peculiar circumstances of the case, the said direction shall not be given effect to.
5. The appeal is, accordingly, disposed of.