( 1 ) THE facts giving rise to this appeal are simple. The present respondent was serving as a store keeper at Veraval under the State of Gujarat and was drawing the salary of Rs. 108-50 as dearness allowance per month in October 1957. He was suspended from duty from 15th October 1957 as a result of certain allegations made against him. A charge sheet was submitted against him by the appellant in the Court of the learned Special Judge Junagadh for offences punishable under secs. 467 471 477 of the Indian Penal Code and sec. 5 (1) (c) and (d) read with sec. 5 (2) of the Prevention of Corruption Act. He was however given benefit of doubt and acquitted in all the three cases. Some departmental inquiry was also held against him on 19th February 1958 but no punishment was awarded to him thereunder. Thereafter he was reinstated on duty from 8th May 1959 by the order of the port officer. The period of suspension from 15th October 1957 to 8th May 1959 was treated as if he was on leave. However that period was counted as on duty only for the purpose of pension and not for other purposes. According to the plaintiff the said order dated 4th March 1960 regularising the period of