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2025 Supreme(Raj) 1541

HIGH COURT OF JUDICATURE FOR RAJASTHAN, BENCH AT JAIPUR
ANOOP KUMAR DHAND, J.
Arun Kumar Tiwari (the deceased) and Ors. - Petitioners 
Versus
Rajasthan Non Govt. Edu. Institutions Tribunal, Jaipur, through Presiding Officer and Ors. - Respondents
S.B. Civil Writ Petition No.6972 Of 2005 
Decided On : 03-04-2025


Advocates Appeared:
For the Petitioners: Mr. Bharat Singh
For the Respondents: Mr. Vivek Dangi

The Tribunal lacks jurisdiction to award interest on leave encashment dues under the Rajasthan Non Government Educational Institutions Act, 1989.

Headnote:(A) Rajasthan Non Government Educational Institutions Act, 1989 - Section 21 - Challenge to Tribunal's order regarding leave encashment - Tribunal directed payment of leave encashment but denied interest on delayed payment, citing lack of jurisdiction - Court upheld Tribunal's decision based on precedent. (Paras 1, 3, 5, 8)

(B) Jurisdiction of Tribunal - The Tribunal lacks authority to award interest on leave encashment dues as per established judicial precedent. (Paras 6, 7)

Facts of the case:
The petitioner challenged the Tribunal's order for not granting interest on delayed leave encashment payment, arguing that the delay was unjustified.

Findings of Court:
The court confirmed that the Tribunal does not have the jurisdiction to award interest on leave encashment dues.

Issues: Whether the Tribunal has jurisdiction to award interest on leave encashment payments.

Ratio Decidendi: The court reiterated that the Tribunal's powers are limited to those conferred by statute, and it cannot grant interest on leave encashment dues.

Result: Writ petition dismissed.

Order :

(ANOOP KUMAR DHAND, J.)

1. By way of filing this writ petition, a challenge has been led to the impugned judgment dated 15.07.2005 passed by Rajasthan Non Government Educational Institutions Tribunal, Jaipur (hereinafter referred to as “the Tribunal”) by which the applications filed by the petitioner under Section 21 of the Rajasthan Non Government Educational Institutions Act, 1989 (hereinafter referred to as “the Act of 1989”) has been allowed and a direction has been issued to the respondents to make the payment of amount of due leave encashment to the petitioner.

2. Learned counsel for the petitioner submits that the petitioner is aggrieved by the order passed by the Tribunal to the extent of non-grant of interest on delayed payment of the amount of leave encashment. Learned counsel submits that unnecessarily the aforesaid amount was delayed by the respondents without any justified reason, hence under these circumstances, the Tribunal should have passed an order granting interest to the petitioner on the aforesaid amount. Learned counsel submits that, under these circumstances, interference of this Court is warranted.

3. Per contra, learned counsel for the respondent-management opposed the arguments raised by counsel for the petitioner and submitted that two different applications under Section 21 of the Act of 1989 was submitted by the petitioner; one for gratuity and other for payment of leave encashment amount. Learned counsel submits that the applications were allowed and in the case of gratuity interest was awarded, but in the instant case, the interest was not awarded against delayed payment of amount of leave encashment, as the Tribunal has no jurisdiction to grant interest. Learned counsel submits that the issue involved in this petition has already been decided by the Division Bench of this Court in the batch of writ petitions with the lead case of Managing Committee, Bhartiya Shiksha Prachar Samiti & Another Versus Bhoopal Singh Babel & others while deciding D.B. Civil Special Appeal No.1498/2014 at the Principal Seat at Jodhpur vide order dated 01.08.2016. Learned counsel submits that the view taken by the Division Bench of this Court in the case of Bhoopal Singh Babel (supra) has been followed by the co- ordinate Bench of this Court in the case of Managing Committee, Sh. Hanwant Sr. Secondary School Versus Rajasthan Non-Government Education Institutions Tribunal, Jaipur and Ors. while deciding S.B. Civil Writ Petition No.11093/2015 vide order dated 29.11.2016. Learned counsel submits that, therefore, the Tribunal has not committed any error in not granting interest on the delayed payment of leave encashment amount to the petitioner, hence under these circumstances, interference of this Court is not warranted.

4. Heard and considered the submissions made at Bar and perused the material available on the record.

5. The issue involved in this petition is that whether Tribunal has any jurisdiction to award interest on amount of leave encashment to the employees of the aided educational institutions in exercise of its powers contained under Section 21 of the Act of 1989?

6. The aforesaid issue has already been answered and decided by the Division Bench of this Court in the case of Bhoopal Singh Babel (supra) with the following observations:-

“3. The only ground urged before us by counsel for the appellants is that the Rajasthan Non Government Educational Institutions Tribunal, Jaipur (hereinafter referred to as 'the Tribunal')created under the Rajasthan Non Government Educational Institutions Act, 1989 has no power to grant interest on leave encashment dues. Being a statutory Tribunal, it can only grant relief to the extent that it has been vested with statutory powers.

4. Counsel for the respondents point out that leave encashment has been unduly delayed.

5. The second submission on behalf of the appellants that the Tribunal could not have directed payment of interest on gratuity dues either, does not appeal to us. Ru

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