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2005 Supreme(Raj) 367
Rajasthan High Court, Jaipur Bench
Honble ASHOK PARIHAR, J.
Badri Lal Sharma - Appellant
Versus
University of Rajasthan - Respondents
S.B. Civil Writ Petition No. 3006 of 2004
Decided On : February 09, 2005
Sanjay Joshi, for Petitioner Y.C. Sharma (Dr.), for Respondent
Headnote:Employees Provident Fund Act, 1952 – Withholding amount of contribution made by the employer towards provident fund on the ground that criminal case was pending against the petitioner – Held – No rule provide for withholding part of provident fund amount pending criminal case against the employee – Amount withheld without valid reason – Entitled to get the amount with interest @ 9% p.a. (Paras 2 & 3)
Learned counsel for the respondents has not been able to show any rule or provision either under the Provident Fund Act or the Service Rules governing the service conditions of the employees of the respondent University by which part of provident fund amount can be withheld pending criminal case against an employee. Even no provision has been shown by which any deduction could also be made by way of punishment after conviction of an employee. Since the contribution of the respondent University made against the provident fund account of petitioner has been withheld without any valid reason, in my opinion, the petitioner is entitled for interest on the amount so withheld. (Para 2)
(2). Learned counsel for the respondents has not been able to show any rule or provision either under the Provident Fund Act or the Service Rules governing the service conditions of the employees of the respondent University by which part of provident fund amount can be withheld pending criminal case against an employee. Even no provision has been shown by which any deduction could also be made by way of punishment after conviction of an employee. Since the contribution of the respondent University made against the provident fund account of petitioner has been withheld without any valid reason, in my opinion, the petitioner is entitled for interest on the amount so withheld.
(3). Accordingly, the writ petition is allowed. The petitioner is held entitled for interest @ 9% which is prescribed rate of interest under the Provident Fund Act on the amount of contribution of the respondent-University towards the provident fund account of the petitioner from the date it was due till the date it was paid. The amount, as ordered above, may be paid within 30 days from the date of receipt of certified copy of this order. Since no justification, whatsoever, has been given by the respondent University for withholding the amount without any authority of law, I deem it proper to direct the respondent University to pay a cost of Rs. 5,000/- also to the petitioner, which may be paid alongwith the arrears, as ordered above.
