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2017 Supreme(Cal) 252

IN THE HIGH COURT OF JUDICATURE AT CALCUTTA
ARIJIT BANERJEE, J.
CSTS Retires' & Pensioners' Association & Another – Petitioners
Versus
The State of West Bengal & Others – Respondents
W.P. No. 4114(W) of 2013
Decided On : 22-03-2017

Advocates Appeared:
For the Petitioners:Soumen Bhattacharjee, Advocate.
For the Respondents:Amal Kumar Sen, S. Mondal, Advocates.

An association formed by a group of persons for promoting and protecting a common interest or legal right can maintain a writ application on behalf of its members.

Headnote:

Pension Scheme - CSTC Employees - Road Transport Corporations Act, 1950, Societies Registration Act, 1961 - Section 47(b)(i)(f) of the Road Transport Act, 1950, CSTC Employees' (Death-cum Retirement Benefits) Regulations, 1990 - The court addressed the maintainability of the writ petition by an association and held that an association formed by a group of persons for promoting and protecting a common interest or legal right can maintain a writ application on behalf of its members. The court found that the members of the petitioner association had initially opted for the DCRB Scheme but subsequently withdrew from the scheme and switched over to the CPF Scheme. The court held that the members had waived their right to receive any benefit under the DCRB Scheme and rejected their claim to revert back to the Pension Scheme. The court also noted that an offer made by the Managing Director for switching over from the CPF Scheme to the DCRB Scheme did not bind the respondent corporation. The application was dismissed.

Fact of the Case:

The petitioner no. 1, an association registered under the Societies Registration Act, 1961, sought pension for its members under the CSTC Employees' (Death-cum-Retirement Benefits) Regulations 1990 or under a government scheme. The members of the association, ex-employees of the Calcutta State Transport Corporation, retired between 1999 and 2008 and had initially opted for the DCRB Scheme but later switched to the CPF Scheme.

Finding of the Court:

The court found that the members of the petitioner association had waived their right to receive any benefit under the DCRB Scheme and rejected their claim to revert back to the Pension Scheme. The court also noted that an offer made by the Managing Director for switching over from the CPF Scheme to the DCRB Scheme did not bind the respondent corporation.

Issues: The main issue was the maintainability of the writ petition by the association and the claim of the members to revert back to the Pension Scheme after switching to the CPF Scheme.

Ratio Decidendi: The court held that an association formed by a group of persons for promoting and protecting a common interest or legal right can maintain a writ application on behalf of its members. The court also held that the members of the petitioner association had waived their right to receive any benefit under the DCRB Scheme and rejected their claim to revert back to the Pension Scheme.

Final Decision: The application was dismissed.

JUDGMENT :

Arijit Banerjee, J.

The petitioner no. 1 is an association registered under the Societies Registration Act, 1961. The petitioner no. 2 is the Secretary and authorized signatory of the association. The members of the association are all ex-employees of the Calcutta State Transport Corporation being the respondent no. 3(in short 'CSTC') all of whom retired between 1999 and 2008. The prayer in this writ petition is for grant of pension to the members of the petitioner no. 1 under the CSTC Employees' (Death-cum-Retirement Benefits) Regulations 1990 or under government scheme declaring that the members of the petitioner no. 1 are entitled to pension without depositing the Employer's share of Provident Fund or gratuity after the ceiling unit but by adjustment against the arrear pension.

Case of the Petitioners:

2. The CSTC employees were initially under the Directorate of Transport, Government of West Bengal. The Government formed the CSTC under the Road Transport Corporations Act, 1950 to own and manage the State transport services at Calcutta and the surrounding areas with effect from 15 June, 1960. It was decided that all persons who remained employees of the said undertaking under the State Government up to 14 June, 1960 would become employees of the CSTC with effect from 15 June, 1960 under Section 47(b)(i)(f) of the Road Transport Act, 1950 as amended by the Road Transport Corporations (West Bengal Amendment) Act 1959, the relevant portion whereof reads as follows:-

""Persons employed by the State Government in connection with State undertaking and continuing in office immediately before the establishment of the Corporation shall be employed by the Corporation on such terms and conditions, not less advantageous than what they were entitled to immediately before such establishment, as may be determined by the corporation."

Except employees mentioned below, any employee of this undertaking under Government, who is not willing to continue in service under the Corporation from 15th June, 1960 will be permitted to resign and given one month's pay and other usual benefits to which they may be entitled. Notice of intention not to continue in the service of the Corporation should be given in writing to the employing authorities on or before 15th June, 1960.

Exceptions:

(1) As regards permanent Government servant at present employed in this undertaking on deputation, they may continue to be in the service of the Corporation on foreign service terms, until they are called back by their parent department on the Corporation decide otherwise, whichever is earlier.

(2) Apprentices, probationers or any other employee who is in the service of the Directorate as an Apprentice, Probationer or in any other capacity on the basis of specific agreement made with the Directorate/Government in each case, shall be liable to abide by the terms of the agreement or contract even after the conversion of the undertaking into a Corporation."

3. In exercise of power conferred by Section 45 of the Road Transport Corporations Act, 1950 and with the previous sanction of the State Government, Calcutta State Transport Corporation Employees Service Regulations were framed regulating conditions of appointment and service and the scales of pay of the Officers and servants of the CSTC other than the Chief Executive Officer and the Chief Accounts Officer. The said regulations did not contain any scheme for compensation for superannuating employees of CSTC. Regulation 23 provided that in respect of matters for which no specific provision has been made in the Regulations, the West Bengal Service Rules shall apply provided that the said Rules are not inconsistent with any of the provisions of the Road Transport Corporations Act or the Rules framed thereunder.

4. In exercise of power under Section 45 of the Road Transport Corporations Act, CSTC Employees' (Death-cum Retirement Benefits) Regulations, 1990 were framed and were brought into force on 22 April, 1991 with ret



































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