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2009 Supreme(SC) 43

IN THE SUPREME COURT OF INDIA
S.B. Sinha, Dr. Mukundakam Sharma, JJ.
V.V.G. REDDY - APPELLANT
Versus
APSRTC, NIZAMABAD REGION & ANR. - RESPONDENTS
CIVIL APPEAL NO. 99 OF 2009
(Arising out of SLP (C) No. 5166 of 2008)
Decided on : JANUARY 13, 2009

IMPORTANT POINT
Award passed on consent stands on different footing than an award passed on merits.

Headnote:(a) Interpretation – Consent – Depending upon nature of lis and back ground events. (Para 13)

       (b) Words and Phrases – Attendant benefits – Should be given its natural meaning. (Para 14)

       (c) Labour law – Dismissal – Labour court award – Not on merits – A consent award – Labour court awarding reinstatement without back wages – Premise of compromise not brought o record – Appellant not in service during interregnum, i.e., 1.10.1983 to 15.2.1989 – Not entitled to increments during the period. (Para 18)

       (2005) 6 SCC 36; (2003) 2 SCC 212 – Relied upon

       AIR 1962 SC 1334 – Distinguished

       Facts of the case:

       Appellant joined APRSTC services as a conductor in the year 1981. A disciplinary proceeding was initiated against him. He was placed under suspension in the year 1982. In the said disciplinary proceeding, he, having been found guilty was dismissed from services.

       The Labour Court directed his reinstatement in service with continuity therein but without attendant benefits and back wages.

       Appellant was reinstated in service. However, he was not paid his salary at par with his colleagues whose services had been regularized with effect from 1.10.1983.

       Appellant filed an Execution Petition praying that his services be directed to be regularized at par with his colleagues with effect from 1.10.1983. The said Execution Petition was allowed.

       Despite the same, his pay was not fixed at par with his colleagues and no notional increments had been granted.

        He thereafter filed a writ petition before the High Court which was allowed.

       The writ appeal preferred by the respondent herein has been allowed.

       Finding of the Court:

       Impugned judgment is not sustainable.

       Result:

       Appeal dismissed.

JUDGMENT

S.B. Sinha, J.

1. Leave granted.


2. Appellant is before us questioning the judgment and order dated 21.9.2007 passed by a Division Bench of the High Court of Judicature of Andhra Pradesh at Hyderabad in Writ Appeal No.658 of 2007 and others whereby and whereunder the said writ appeal preferred from a judgment and order dated 29.10.2002 passed in W.P. No. 21410 of 2002 filed by appellant and others was allowed.

3. Respondent - Corporation is constituted and incorporated under the Road Transport Corporation Act, 1950 (64 of 1950). Appellant joined its services as a conductor in the year 1981. A disciplinary proceeding was initiated against him. He was placed under suspension in the year 1982. In the said disciplinary proceeding, he, having been found guilty was dismissed from services.

An industrial dispute was raised by him, which was eventually referred to the Labour Court by the State of Andhra Pradesh in exercise of its powers conferred upon it under Section 10(1)(c) of the Industrial Disputes Act, 1947 (for short, "the Act").

4. By reason of an Award dated 1.8.1988, the Labour Court directed his reinstatement in service with continuity therein but without attendant benefits and back wages.

5. Pursuant to or in furtherance of the said Award, appellant was reinstated in service. However, he was not paid his salary at par with his colleagues whose services had been regularized with effect from 1.10.1983.

6. He filed an Execution Petition being E.P. No. 18 of 1989 in I.D. No. 581 of 1987 before Labour Court, Hyderabad praying that his services be directed to be regularized at par with his colleagues with effect from 1.10.1983. The said Execution Petition was allowed.

7. As despite the same, his pay was not fixed at par with his colleagues and no notional increments had been granted, a legal notice was issued on his behalf by an Advocate on 2.3.1992.

He thereafter filed a writ petition before the High Court which was marked as Writ Petition No. 21410 of 2002 praying for grant of notional increments for the period between 1.10.1983 and 15.2.1989.

By reason of a judgment and order dated 29.10.2002, the said writ petition was allowed by a learned single judge of the High Court, directing:

"The controversy in this writ petition is no more res integra, in view of the decision of a Division Bench of this Court in APSRTC, Khammam Region and another Vs. P. Nageswara Rao. The Division Bench while dealing an analogous question has held that when an award was passed by the labour court directing the respondents to reinstate the petitioner into service, the action of the respondent - Corporation in fixing the pay without taking into consideration the notional increments is illegal. It is further held that the Corporation cannot rely on any circular or regulation that takes away the plain meaning of the award in the judgment."

8. A writ appeal was preferred thereagainst by the respondent herein. However, the said writ appeal was barred by limitation and an application for condonation of delay having not been allowed, the same was dismissed. A Special Leave Petition filed thereagainst being Special Leave Petition (Civil) No. 1114 of 2004 was allowed by a judgment and order dated 13.2.2007 in terms whereof the matter was remitted to the High Court for disposal of the case on merit. By reason of the impugned judgment, the writ appeal preferred by the respondent herein has been allowed.

9. Ms. T. Anamika, learned counsel appearing on behalf of the appellant would urge that in view of the fact that the appellant was denied back wages only by the Labour Court and having been reinstated in service with continuity, the High Court committed a serious error in declining to grant notional increments in his favour from the date of his dismissal till the date of passing of the Award. Strong reliance in this behalf has been placed on the decision of this Court in Devendra Pratap Narain Rai Sharma vs. State of Uttar Pradesh & ors. [AIR 1962 SC 1334].

10. Mr. D.
























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