IN THE HIGH COURT OF KERALA AT ERNAKULAM
ANIL K. NARENDRAN, MURALEE KRISHNA S., JJ.
The General Manager (Personal) Vijaya Bank, Bangalore - Appellant
Versus
V.T. Radhakrishnan S/o Late Velayudhan Nair - Respondent
WA No. 976 of 2015
Decided On : 01-04-2025
(A) Kerala High Court Act, 1958 - Section 5(i) - Pension Scheme - The intra-court appeal challenges the Single Judge's order directing the Bank to admit the respondent to the Pension Scheme and disburse benefits from 27.04.2010 - The respondent's resignation was accepted, and he later sought to treat it as voluntary retirement under the Pension Scheme - The court found that resignation and voluntary retirement are distinct, and the respondent, having resigned after the Pension Scheme was applicable, was not entitled to its benefits. (Paras 1 - 12 )
(B) Distinction between Resignation and Voluntary Retirement - The court emphasized that resignation entails forfeiture of past service and does not qualify for pensionary benefits, as per Clause 22 of the Pension Regulations. (Paras 5 , 10 , 12 )
Facts of the case:
The respondent, after 35 years of service, submitted a resignation letter due to health issues, which was accepted. He later sought to join the Pension Scheme, claiming his resignation should be treated as voluntary retirement.
Findings of Court:
The court held that the respondent's resignation post-Pension Scheme applicability disqualified him from its benefits.
Issues: The main issues were whether the respondent's resignation could be treated as voluntary retirement and the implications of the Pension Scheme's clauses.
Ratio Decidendi: The court ruled that resignation and voluntary retirement are distinct, and the respondent's resignation disqualified him from the Pension Scheme benefits.
Result: The writ appeal is allowed, and the Single Judge's order is set aside.
JUDGMENT :
Muralee Krishna, J.
1. This is an intra-court appeal filed under Section 5(i) of the Kerala High Court Act, 1958, by the respondents in W.P.(C)No.20291 of 2011 challenging the judgment dated 02.02.2015 passed by the learned Single Judge, whereby the writ petition filed by the respondent herein was allowed directing the 2nd appellant Bank to admit the respondent as a member of the Pension Scheme and disburse consequential benefits to him with effect from 27.04.2010. The respondent was further directed to refund the entire amount as contemplated under Ext.P5 to the Bank within six weeks.
2. The writ petition was one filed by the respondent herein under Article 226 of the Constitution of India seeking the following reliefs:
“i) to issue a writ of Certiorari, calling for the records leading upto Exhibit P11 and quash Exhibit P7 and P11.
ii) to issue declarations as follows:-
(a) Though petitioner used the word 'resignation' in Exhibit P2 request to relieve from the service due to health reason, the nature of the request is definitely seeking permission' from the Bank authorities to relieve him from the duty which is in effect, a case of Voluntary Retirement. Hence turning down the request of the petitioner for treating Exhibit P2 as a request for voluntary retirement by Exhibit P11 order by the 1st respondent is highly arbitrary, illegal and without any application of mind.
(b) to declare that using of the word ‘Resignation’ in Exhibit P2 cannot be used to deny the petitioner's right to join pension scheme and that the petitioner is entitled and qualified to join the pension scheme in terms of 9th Bipartite settlement/ joint note dated 27.04.2010, as his case is squarely covered under clause A (1) of Exhibit P5 pension Scheme.
iii) to issue a writ of mandamus or other writ or order directing the respondents to permit the petitioner to join the pension scheme as per Exhibit P5 and to accept the contribution and sanction pension”.
3. The respondent joined the service of the 2nd appellant Bank on 01.09.1975 in one of its branches at Calicut. On 30.04.2010, he submitted Ext.P2 resignation letter to the Bank requesting to relieve him with effect from 31.05.2010, due to his ill-health. By Ext.P3 letter dated 28.05.2010 his resignation was accepted by the 3rd appellant Deputy General Manager of the Bank. On the basis of Exts.P2 and P3, the respondent received all his service benefits from the Bank. Meanwhile, the 9th bipartite settlement dated 27.04.2010 was signed between the Indian Banks’ Association and Workmen’s Union and the same was circulated by Ext.P5 circular dated 07.09.2010 of the Bank. As per paragraph No.1 of Ext.P5, the employees who were in service of the Bank prior to 29th day of September 1995 and continue to be in the service of the Bank as on 27th day of April, 2010 were entitled to give an option in writing within 60 days from the date of the said Circular to become a member of the Pension Fund. The respondent exercised his option in writing on 13.09.2010 and he undertook to refund the service benefits received by him. But, by Ext.P7 letter dated 03.11.2010, the 3rd appellant rejected his request. Thereafter, the respondent submitted Ext.P8 representation dated 14.02.2011 to the 2nd appellant to treat Ext.P2 request as the one made for voluntary retirement. Since no action was followed in Ext.P8 representation the respondent approached this Court by filing W.P.(C)No.6992 of 2011 and that writ petition was disposed of by Ext.P9 judgment dated 07.03.2011 directing consideration of Ext.P8 representation. Pursuant to Ext.P9 judgment, the 1st appellant offered a personal hearing to the respondent and thereafter by Ext.P11 order dated 25.05.2011, Ext.P8 representation was rejected. Contending that the respondent made Ext.P2 with an intention to give him voluntary retirement and not as a resignation, he filed the W.P.(C)No.20291 of 2011 before this Court. By the impugned judgment dated 02.02.2015, the learned Single Judge
Resignation and voluntary retirement are distinct; an employee who resigns after a pension scheme's applicability cannot claim its benefits.
Resignation under CCS Pension Rules Rule 26 forfeits past service, barring pensionary benefits to employee or family despite service rendered; distinct from voluntary retirement; no retrospective app....
(1) Resignation and Voluntary Retirement are different – Employees resigning from service and employees retiring from service voluntarily constitute two different classes – Treating two classes diffe....
The judgment established the distinction between resignation and voluntary retirement, upheld the disqualification of pensionary benefits in case of resignation, and emphasized that the petitioner kn....
An employee if has attained the age of 50 years and has spent 20 years of service, he would be entitled to seek voluntary retirement and so consequential benefits
Employees retiring on medical grounds are entitled to pension options under applicable circulars, provided they have completed the requisite service and did not voluntarily resign.
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