High Court of Kerala
P.N. RAVINDRAN
K. Purushothaman & Another
Versus
The Kerala State Co-Operative Employee’s & Another
WP(C).No. 16953 of 2011(T)
Decided on : 23-06-2011
Kerala Co operative Societies Employees Self Financing Pension Scheme 1994 - Kerala Co-operative Societies Act, 1969 r/w Rule 58 of Kerala Co-operative Societies Rules - Qualifying Service - Petitioners are former employees of second respondent bank - They entered service on 6.5.1981 and 27.7.1981 respectively - Main contention raised by petitioners third proviso to clause (1)(a) of paragraph 19 of Pension Scheme, period during which petitioners were on probation is also liable to be reckoned as qualifying service for pension, if proportionate share of employer's contribution together with interest is credited to Pension Scheme - Whether employees of a co-operative society who joined the Contributory Provident Fund established by employer society in terms of Section 61 of Act, 1969 r/w Rule 58 long before Scheme, 1994 was introduced, are entitled to have their service prior to the date on which they joined Contributory Provident Fund reckoned for purpose of computing of length of qualifying service for the purpose of determining pension payable to them - Whether third proviso to clause (1)(a) of para.19 of Pension Scheme applies to petitioners - Held, Petitioners became members of Contributory Provident Fund only with effect from 1.5.1982 and 1.10.1983 respectively is not in dispute - The fact that their probation in entry post was declared satisfactorily completed only with effect from said dates is also not in dispute - Petitioners were admittedly not on probation on date of implementation of Pension Scheme - Petitioners do not satisfy two out of three conditions for applicability of third proviso - As the first two conditions for applicability of third proviso have not been satisfied, mere fact that third stipulation was satisfied will not entitle petitioners to contend that third proviso to clause (1)(a) of Paragraph 19 applies to them - Considered opinion that taken by Pension Board in letter cannot be assailed - Pension Board cannot retain with it excess amount, if any, remitted by second respondent bank in respect of petitioners - The Pension Board will necessarily have to refund said amount to second respondent bank - Petition fails and is dismissed.
1. The short question that arises for consideration in this writ petition is whether the employees of a co-operative society who joined the Contributory Provident Fund established by the employer society in terms of section 61 of the Kerala Co-operative Societies Act, 1969 read with rule 58 of the Kerala Co-operative Societies Rules, long before the Kerala Co-operative Societies Employees Self Financing Pension Scheme, 1994 was introduced, are entitled to have their service prior to the date on which they joined the Contributory Provident Fund reckoned for the purpose of computing the length of qualifying service for the purpose of determining the pension payable to them.
The brief facts of the case are as follows.
2. The petitioners are former employees of the second respondent bank. They entered service on 6.5.1981 and 27.7.1981 respectively. The petitioners joined the Contributory Provident Fund established by the second respondent bank under section 61 of the Kerala Co-operative Societies Act, 1969 read with rule 58 of the Kerala Co-operative Societies Rules, 1969 on 1.5.1982 and 1.10.1983 respectively, the dates on which their probation in the entry post was declared as satisfactorily completed. While the petitioners were in service, the Kerala Co-operative Societies Employees Self Financing Pension Scheme, 1994 (hereinafter referred to as 'the Pension Scheme' for short) was introduced and it came into force with effect from 3.6.1993. Thereafter, the employer's share of contribution made by the second respondent to the Contributory Provident Fund was transferred to the Kerala State Co-operative Employees Pension Board (hereinafter referred to as 'the Pension Board' for short) constituted under the Pension Scheme in terms of Paragraph 39 thereof. The first petitioner retired from service on 30.11.2010 while he was working as Assistant Secretary and the second petitioner retired from service on 31.12.2010 while he was working as Head Clerk. Upon retirement, by Exts.P1 and P2 pension payment orders, the petitioners were sanctioned pension under the Pension Scheme. For the purpose of computing the pension payable to them, the length of qualifying service was reckoned only with effect from 1.5.1982 and 1.10.1983 respectively, the dates on which their probation in the entry post was declared as satisfactorily completed and they became members of the Contributory Provident Fund.
3. Before the petitioners retired from service, the second respondent bank sent Ext.P3 letter dated 20.11.2007 to the Secretary of the Pension Board requesting the Pension Board to reckon the period during which the 9 employees named therein including the petitioners were on probation, as qualifying service for computation of pension. Along with the said letter, copies of the resolutions adopted by the Board of Directors in respect of each of the 9 employees were enclosed. It was also stated that the Contributory Provident Fund was established in the bank on 1.6.1967. The Pension Board in turn sent Ext.P4 letter dated 26.12.2007 in reply wherein inter alia it was mentioned that the contribution relating to the period of probation can also be calculated and remitted. It is stated that accordingly on 31.7.2009 the second respondent bank remitted the proportionate share of employer's contribution for the period during which the petitioners and the other 7 employees were on probation along with interest. It is further stated that though the second respondent bank had thus remitted the proportionate share of employer's contribution in respect of the petitioners and others, upon retirement, the period during which they were on probation was not reckoned as qualifying service for the grant of pension and therefore, the petitioners submitted Exts.P7 and P8 representations to the Secretary of the Pension Board requesting the Board to reckon the period during which they were on probation as service qualifying for the grant of pension and to re-fix the pe
Sukumaran.N. v. Kerala State Co-operative Employees Pension Board
SupremeToday
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.