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IN THE HIGH COURT OF KARNATAKA AT BENGALURU
HANCHATE SANJEEVKUMAR
Mir. Mushruff Ali, S/o. Late Sri Mir Abbas Hussain – Appellant
Versus
Divisional Controller, Bengaluru Central Division, K.S.R.T.C., Represented By Its Divisional Controller Sri. Shivamurthy – Respondent
JUDGMENT :
HANCHATE SANJEEVKUMAR, J.
1. This appeal is filed by the defendant challenging the judgment and decree dated 27.04.2019 passed by the Court of XI Addl. City Civil Judge, Bangalore City, in O.S.No.3954/2012, thereby, the suit filed for recovery of money is decreed.
2. The rank of parties is referred to as per their rankings before the trial court.
3. It is the case of plaintiff as per plaint averments in brief that the plaintiff is a transport corporation and the defendant was appointed as a Conductor and retired from the service on 31.08.2004 after attaining the age of superannuation. At the time of retirement, the defendant has received gratuity amount of Rs. 1,69,740/-.
4. The defendant has filed an application before the Assistant Labour Commissioner, Controlling Authority, Bengaluru, under the Payment of Gratuity Act, 1972 (for short ‘the Act’) claiming a sum of Rs. 1,61,644/- towards difference in gratuity. On 12.09.2007 the Controlling Authority determined the gratuity payable to the defendant at Rs. 2,24,050/- after deducting a sum of Rs. 1,69,740/- already paid and ordered to pay balance of Rs. 1,04,310/- with interest for 3 years at Rs. 31,293/- p.a., totally Rs. 1,
A civil suit for recovery of excess gratuity payments is maintainable despite provisions of the Payment of Gratuity Act, as it addresses overpayment rather than non-payment.
The Payment of Gratuity Act allows claims for both statutory and contractual gratuity to be adjudicated under the same authority, ensuring employee rights are protected.
The entire duration of an employee's service is considered for Gratuity entitlements, and non-deposit of awarded Gratuity prevents appellants from successfully appealing against such claims.
The gratuity payable to an employee is governed by the law applicable at their date of retirement, and amounts exceeding the statutory ceiling limit are recoverable.
Interpreting Act unequivocally indicate that payment of gratuity would not depend upon employee filing an application before employer demanding gratuity but will have to be paid immediately on cessat....
Employer cannot withhold gratuity for unauthorized retention of quarters post-retirement; statutory interest of 10% applies for delayed payment.
Gratuity under the Payment of Gratuity Act, 1972 must include entire continuous service, including stop-gap employment, unless exempted by the appropriate Government.
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