IN THE HIGH COURT OF JUDICATURE AT PATNA
HARISH KUMAR, J.
Arvind Kumar, Son of Siyasharan Prasad – Petitioner
Versus
The State of Bihar, through the Principal Secretary, Water Resources Department, Govt. of Bihar, Patna and Ors. – Respondents
Civil Writ Jurisdiction Case No.20219 of 2021
Decided On : 13-11-2024
| Table of Content |
|---|
| 1. petitioner seeks recovery of retiral benefits. (Para 2 , 3 , 4 , 5 , 6 , 7) |
| 2. arguments against recovery based on supreme court precedent. (Para 11 , 12 , 13) |
| 3. state's justification for recovery from retirement benefits. (Para 14 , 15 , 16) |
| 4. court's analysis of recovery legality and precedent. (Para 17 , 18 , 19 , 20) |
| 5. court quashes recovery orders and directs payment. (Para 22 , 23 , 24 , 25 , 26) |
JUDGMENT :
Harish Kumar, J.
Heard Mr. Rajesh Kumar, learned Advocate for the petitioner and Mr. Sudhanshu Bhushan, learned AC to GP-7.
2. The petitioner, who superannuated on 31.01.2021 from the post of Assistant Engineer, Irrigation Division, Birpur, Supaul has invoked the jurisdiction of this Court seeking a direction upon the respondents to ensure payment of all his retiral benefits, including, gratuity, unutilized earned leave and arrears of pension with interest on the basis of last pay slip issued by the Finance (Personal Claim Fixation Cell) Department (hereinafter referred to as “the PCFC”) dated 18.01.2021. The petitioner also sought a direction not to recover the differential amount of pay, which has been earlier paid under the 2nd Modified Assured Career Progression (hereinafter referred to as “MACP”) Scheme with effect from 01.01.2009 with Grade Pay PB-3+6600 vide departmental order no. 4426 dated 08.09.2014.
3. During the pendency of the writ petition, the State respondent authorities have come out with a decision to recover an amount of Rs. 7,41,799/-, which is said to have been excess to the entitlement of the petitioner and, as such, the petitioner by filing an interlocutory application bearing I.A. No. 01 of 2024, has prayed for quashing of the Letter No. 915 dated 18.08.2021 and further Letter No. 411 dated 16.03.2022, by which decision has been taken to recover the aforenoted excess amount from the unutilized earned leave of the petitioner and pay the remaining amount after adjusting the grade pay difference amount to the petitioner. The petitioner also sought quashing of the Letter No. 610 dated 17.05.2022, by which the grade pay difference amount of Rs. 7,41,799/- was recovered from Rs. 11,69,920/- and after the deduction, an amount of Rs. 4,28,121/- was paid to the petitioner.
4. The petitioner was initially appointed as Junior Engineer and upon being found eligible, he was promoted to the post of Assistant Engineer and posted in the office of Irrigation Division, Birpur, Supaul. Finally he superannuated from his service on 31.01.2021. In course of service, the petitioner was accorded the benefit of 2nd MACP with effect from 01.01.2009 with grade pay PB-3+6600 vide Memo No. 4426 dated 08.09.2014 by the Water Resources Department, Government of Bihar, Patna along with many other similarly situated persons in the pay scale of Rs. 15,600-39,100 with grade pay 6600/-.
5. While the petitioner was getting the benefit of 2nd MACP with effect from 01.01.2009, as aforenoted, he was promoted to the post of Assistant Engineer vide Letter No. 874 dated 15.09.2016. In the meantime, the Water Resources Department, all of a sudden, by making certain amendment, revised the grade pay to PB-3+5400 vide Memo No. 4447 dated 06.12.2017 and accordingly, the pay scale stood fixed as 6500- 10500 (8000-19500). The petitioner along with others on being aggrieved by the aforenoted order/notification of the department, moved before this Court in CWJC No. 411 of 2018.
6. The Hon’ble Court upon hearing the parties vide its order dated 12.01.2018, stayed the recovery till the next date of hearing. In the meantime, the petitioner superannuated on 31.01.2021 and thus, the Executive Engineer, Irrigation Division, Birpur, Supaul sent all the pension papers along with original service book, pay slip, slip of salary assessment etc. to the Superintending Engineer, Irrigation Division, Birpur, Supaul and accordingly, no dues certificate was issued and finally, the admissible amount has been paid, except the leave encashment, gratuity a
Recovery of excess payments from retired employees is impermissible if it causes undue hardship, necessitating prior notice and opportunity for response before recovery.
Recovery from retired employees is impermissible when excess payments were made without misrepresentation, as per established legal precedents.
Recovery of excess salary from Group-C employees post-retirement is impermissible without fraud or misrepresentation, as established in Rafiq Masih (2015) 4 SCC 334.
Recovery of excess payments from retired employees is impermissible without adherence to natural justice, especially when payments were made for an extended period without notice.
Recovery of excess pay from retired Group 'D' employee due to departmental error in MACP grant is impermissible without notice; refund directed, but lower pay fixation upheld as mistake rectifiable.
Recovery of excess pay from retiring employee impermissible if no fraud or misrepresentation, per Rafiq Masih guidelines.
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