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2016 Supreme(J&K) 64
IN THE HIGH COURT OF JAMMU AND KASHMIR AT JAMMU
Mohammad Yaqoob Mir, J.
Ajay Bharti & Ors. – Petitioners
Vs.
Jammu Rural Bank & Anr. – Respondents
SWP No. 1119 of 2002 and MP No. 987 of 2002
Decided On : 1-2-2016
For the Petitioners:Mr. Ajay Abrol, Advocate.
For the Respondents:Mr. R.K. Jain, Advocate.
The main legal point established in the judgment is the interpretation and application of Regulation No. 89 of the Bipartite Agreement in determining the entitlement to special area allowance for bank officers and staff.
Headnote:
Special Area Allowance - Employment Dispute - Regional Rural Banks Act 1976, Bipartite Agreement Regulation No. 89 - The court discussed the provisions of the Regional Rural Banks Act 1976, the Bipartite Agreement, and Regulation No. 89, which govern the entitlement to special area allowance for bank officers and staff. The interpretation of these provisions influenced the court's decision to dismiss the writ petition.
Fact of the Case:
The petitioners, who were working as Managers in a bank, sought quashment of communications ordering recovery of disbursed special area allowance. The bank had stopped the allowance as the branches were not within 8 kms from the line of actual control, as required by Regulation No. 89.
Finding of the Court:
The court found that the petitioners were not entitled to the special area allowance as the branches did not meet the requirements of Regulation No. 89. The court also noted that the petitioners had already availed an efficacious remedy by taking up the dispute with the Assistant Labour Commissioner.
Issues: The main issue was the entitlement of the petitioners to the special area allowance under Regulation No. 89 of the Bipartite Agreement.
Ratio Decidendi: The court held that the petitioners were not entitled to the special area allowance as the branches did not fall within the ambit of Regulation No. 89. The court also emphasized that the petitioners had already pursued a dispute resolution process with the Assistant Labour Commissioner.
Final Decision: The writ petition was found to be devoid of merits and was dismissed by the court.
Mohammad Yaqoob Mir, J.
Petitioners when working as Managers in the respondent Bank in the year 2002 have filed this petition in the year 2002 seeking quashment of the communication Nos. PSF/JRB/2001-6398 dated 19.12.2001 addressed to the Sr. Manager B/o Baspur, PSF/JRB/2001-6398 dated 19.12.2001 addressed to the Sr. Manager B/o Kirpind and PSR/JRB/2000-5708 dated 08.11.2000 addressed to the Sr. Manager B/o Dayala Chak, pursuant to which recovery of the disbursed amount under the Head “Special Area Allowance” has been ordered. They have further prayed that the direction may be issued in the name of the respondents so as to command them to continue to pay the “Special Area Allowance” to the petitioners at their respective Branches.
2. For effectual adjudication it shall be advantageous to notice precisely the factual matrix of the case.
3. The Jammu Rural Bank(respondent) has been constituted under the Regional Rural Banks Act 1976. As a matter of policy in all the regions all over the country, the Rural Banks created under the said Act were to be sponsored by other Bank. In the same background the Jammu Rural Bank is sponsored by the Jammu and Kashmir Bank Ltd. The officers/employees of the Jammu Rural Bank claimed parity of service conditions with the officers/employees of the sponsoring Bank(J&K Bank Ltd.). In this connection, National Industrial Tribunal was constituted by the Government of India which gave its Award on 30.04.1990 Recommendations made thereby on 16.01.1991 were accepted by the Government of India.
4. Vide No. 11-3/90.RRB(1) dated 22.02.1991, Ministry of Finance, Department of Economic Affairs(Banking Division), New Delhi, had issued instructions to the respondents for implementing the National Industrial Tribunal Award and recommendations of the Equation Committee. Para-14 of the said letter envisages that the allowances/special allowances and other benefits, as are provided under Bipartite settlement and the service regulations of the concerned sponsoring Banks, be extended to the employees/officers of Regional Rural Banks(RRB).
5. The Committee had recommended that the special area allowance available under the Award to the staff and officers of the Commercial Banks in terms of the Bipartite settlement and Officer's Service Regulations respectively, be extended to the employees and officers of the RRB, as is clear from the letter no. 11-3/90.RRB(1) dated 22.02.1991
6. Regulation No. 89 of the Bipartite Agreement provides for payment of “Special Area Allowance” to the officers and other staff posted at the places as mentioned therein which include location of other branches which may be within 8 kms. from the Line of Actual Control.
7. The Special Area Allowance was sanctioned in favour of the officers and staff posted at the branches of the respondent (Bank). Petitioners claim to have remained posted in the branches for which “Special Area Allowance” was allowable, so vide communication dated 18.12.1993, the Manager B/o Simbal Camp was informed that the competent authority has sanctioned ‘Special Area Allowance’ to the officers and staff of the branch w.e.f 01.04.1993; he had been advised to disburse the same at the rates indicated in the said communication. Similarly vide communications dated 29.12.1993, 04.12.1993, 29.12.1993 and 28.12.1993, the Managers B/o Baspur, Kirpind, Badyal Brahmana and Satrayan Camp respectively were informed about the sanction and disbursement of the ‘special area allowance’. Subsequently it had been noticed that the officers and staff of the said branches were not entitled to the ‘special area allowance’, as these branches are not situated within 8 kms from the line of actual control as is the requirement in terms of the Regulation No. 89. As a result whereof the respondent authorities, vide communication dated 12.02.1994, advised the Branch Managers either to deposit the entire allowance amount or to produce the certificate that the said branches are situated within 8 kms
