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2013 Supreme(Pat) 518

IN THE HIGH COURT OF JUDICATURE AT PATNA
NAVANITI PRASAD SINGH, J.
Hari Ram - Petitioner.
Versus
The State of Bihar through its Secretary, Revenue Department, Government of Bihar, Patna. - Respondents.
Civil Writ Jurisdiction Case No.20041 of 2012
Decided on : 30-04-2013

Advocates Appeared:
For the Petitioner/s:Mr. Ishwari Singh Mr. Manish Kr. Singh, Advocates.
For the Respondent/s: Mr. Lalit Kishore, Principal A.A.G. Mr. Piyush Lall, AC to Principal A.A.G.
For the Accountant General :Mr. Ram Kinker Choubey, Advocate.

Headnote:Service Law-Retirement Benefit-quantum of death-cum-retirement gratuity payable at the end of service in view of Pension revision resolution dated 23.09.2009-as per pension revision resolution dated 23.9.2009, for payment of pension the retirees in between 1.4.2007 and 21.1.2010 were treated as one homogenous group without discrimination but, in regard to gratuity, it divided the retirees for the purposes of calculating gratuity into two groups-the first group, being those who superannuated in between 1.1.2006 to 22.9.2009 and the other retiring on 23.9.2009 upto the date when pay revision resolution was adopted with retrospective effect, which now would be the period from 23.9.2009 to 20.1.2010-for the first group, gratuity was to be calculated without giving benefit of the retrospective pay revision and no revision of gratuity on basis of restrospective pay revision was allowed, where as for the second group though otherwise similarly situated, gratuity calculated had to be revised taking into account the retrospective pay revision-grievance of petitioner is that though his pay also stands revised by virtue of retorspective pay revision resolution, he is deprived of the same when it comes to calculating gratuity-this is clearly unfaisr, arbitrary and amounts to hostile discrimination where similarly situated persons are treated differently on the cynical stand of the state that the two groups are essentially different, one prior to the pension revision notification and the other after the said notification though undisputedly both are visited equally with pay revision retrospectively-ordinarily, as gratuity is dependent upon what is the emolument at the last month of the service, the gratuity payable would now become revisable giving effect to the retrospective pay revision for everybody in the group uniformly as it is a homogenous group-but, this pension revision notification divides the group giving benefit to one and depriving the other of the benefit-so far as the fixation of last month's emolument is concerned, there was one group, i.e. people who were in service from 1.1.2006 to 21.1.2010 and gratuity, being dependent upon the last pay drawn, no division of this group could be made-this sub-classification was clearly violative of the principles of discrimination between a homogenous group as laid down by the Appex Court in the case of D.S. Nakara-the clauses of the pension revision notification, which deprives the petitioner of the right to get his gratuity revised as per the retrospective pay revision held illegal and un enforceable-respondents including the Accountant General directed to revise and authorize payment of grautity to the petitioner and all similarly situated persons. (Paras 15, 16, 29, 33 & 42)

       Constitution of India-Article 226-Policy matters, whether subject to judicial review-it is well settled that in policy matters, especially having fiscal implications, courts are reluctant to interfere but it is not that courts are precluded from interfering where it is shown that policy is arbitrary, unreasonable or operates with hostile discrimination-a policy is liable to be tested on the touch stores of Article -14 of the Constitution-a policy decisions of the government is not immune from challenge on any court. (Para 37)

       (1985)1 SCC 429 (1990)4 SCC 207, (1986)3 SCC 501, (1994)4 SCC 68, (1981)1 SCC 305, (2008)13 SCC 463, (2008)14 SCC 702-Referred to.

       

ORDER

By this writ petition the petitioner, who retired as a Halka Karamchari from the State Government service on 28.02.2009, initially prayed for a direction to the State to pay death-cum-retirement gratuity to the extent of Rs.3,99,544.00 instead of Rs.2,63,835.00 as sanctioned on 07.01.2012. In course of hearing, the petitioner restricted his relief to Rs.3,50,000.00, the reason of which will be noticed later in this judgment.

2. Counter affidavit on behalf of the State and the Accountant General including supplementary counter affidavits and rejoinder are on record. At the request of the Court, Principal Additional Advocate General, Mr. Lalit Kishore, Senior Advocate assisted the Court on behalf of the State. Having heard the parties at length and with their consent, this writ petition is being disposed of at this stage itself.

3. In fairness to the learned Principal Additional Advocate General, it must be noticed that he has very fairly placed on record various resolutions of the State Government with regards to pay structure/pay scale revisions as were relevant to this case.

4. The facts are not in dispute. The petitioner’s recorded date of birth is 03rdof February, 1949. He was first appointed in Government service as a Chainman on 19.08.1971. He was made Amin on 23.11.1976 and thereafter, posted as Halka Karamchari on 01.11.1974 from which post he superannuated on 28.02.2009.

5. As noticed above, the dispute is essentially with regard to quantum of death-cum-retirement gratuity payable at the end of service. Rule-144 of the Bihar Pension Rules, 1950, inter alia, provides that after a service of not less than 10 years the amount of gratuity payable will be ½ month’s emoluments last payable for each completed six monthly period of service. It is elsewhere provided in the Rules that the maximum length of service eligible for gratuity calculation would be 33 years. Accordingly, the petitioner had the maximum service tenure of 33 years. From the discussions as made above, it would be seen that for the purposes of calculation of gratuity there are thus only two variables, i.e., the eligible service tenure and the last month’s emoluments, later which in case of petitioner would be emoluments receivable by the petitioner for the month of February, 2009. It may be relevant to state here that at the time when the petitioner superannuated there was a ceiling on the maximum amount of gratuity payable at Rs.3.50 lacs.

6. It appears that Government of India revised the pay structure/pay-scales of Central Government employees on the recommendation of the Sixth Central Pay Commission with effect from 01.01.2006. Following this, the State Government also decided to revise the pay structures/pay-scales of all State Government employees. Accordingly, the State Government vide its resolution no.11070 dated 30.12.2008 constituted a State Level Pay Committee for recommending the same in the light of the recommendations as made by the Sixth Central Pay Commission for the revised pay structure of the employees under the Central Government.

7. Apparently, while the matter was pending with the State Pay Committee as constituted on 30.12.2008, State by its resolution dated 17.01.2009 ordered for an interim increase in the emoluments payable to State Government employees with effect from 01.01.2009, subject to final recommendation by the State Level Committee and its acceptance by the State. Accordingly, the emoluments payable to the State Government employees in service as on 01.01.2009 was liable to be increased.

8. Petitioner who was in service on 01.01.2009 and, as noted above, superannuated on 28.02.2009 was thus liable to receive increased remuneration as per the interim decision of the State Government, as noted above, pending final revision upon submission of the report by the State Level Pay Committee and its acceptance by the Government.

9. It appears that while the matter of revision of pay-scale/pay structure of State Government emplo











































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