SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2024 Supreme(Mad) 1954

IN THE HIGH COURT OF MADRAS, MADURAI BENCH
M.S. RAMESH, A.D. MARIA CLETE, JJ.
The Joint Commissioner (ST), Thiruchirappalli State Tax Division, Thiruchirapalli - Appellant
Versus
R. Periyasamy - Respondent
W.A.(MD)No.2451 of 2024 and C.M.P.(MD)No.17108 of 2024
Decided On : 29-11-2024

Advocates Appeared:
For the Appellant : Mr. SRA Ramachandran, Additional Government Pleader.
For the Respondent: Mr. J. Pooventhera Rajan.

The amendment to G.O.Ms.No.154 extends service protection to employees absorbed from the Khadi Board, and recovery of excess payments from Group C and D employees is impermissible.

Headnote:(A) Government Orders - G.O.Ms.No.154 and G.O.Ms.No.152 - Service protection and pay protection for employees absorbed from Tamil Nadu Khadi Board to other Government departments - G.O.Ms.No.152 amended G.O.Ms.No.154 to include service protection and pensionary benefits for employees - The learned Single Judge upheld the legality of the service protection and pensionary benefits granted to the employees. (Paras 2-10)

(B) Recovery of excess payments - The court referenced the principle from State of Punjab and Others v. Rafiq Masih (White Washer's case) regarding impermissibility of recovery from Group C and D employees when excess payments were made for over five years. (Paras 10)

Facts of the case:
The appellant challenged the order regarding the legality of recovery of selection grade/special grade pay granted to employees absorbed from the Khadi Board to other departments.

Findings of Court:
The court found that G.O.Ms.No.152 extended service protection and pensionary benefits to the employees, thus upholding the learned Single Judge's decision.

Issues: The main issue was whether G.O.Ms.No.152 allowed for service protection beyond pensionary calculations.

Ratio Decidendi: The court ruled that G.O.Ms.No.152 clearly provides for service protection and pensionary benefits, rejecting the argument that it was limited to pension calculations.

Result: Writ Appeal dismissed.

JUDGMENT :

(M.S. Ramesh, J.)

(PRAYER: Writ Appeal filed under Clause 15 of Letters Patent, praying to set aside the order passed by this Court in W.P.(MD)No. 6879 of 2023 dated 19.09.2023.)

Challenging the order dated 19.09.2023 in W.P.(MD)No. 6879 of 2023, the appellant is before this Court with this Writ Appeal.

2. When the Tamil Nadu Khadi Board was declared to be financially in-viable to run the unit, employees of the board were absorbed to other Government departments through G.O.Ms.No. 154 Handloom, Handicraft, Textiles and Khadi Department dated 21.11.2009. As per the said G.O., the employees, who have been absorbed to other departments, will be treated as new appointees with pay protection. However, the service protection was not extended to them.

3. The aforesaid G.O.Ms.No.154 came to be subsequently amended through G.O.Ms.No.152 Handloom, Handicraft, Textiles and Khadi Department dated 12.07.2012, wherein, the service protection was also extended to these employees who were transferred from the Board apart from their pay protection. In addition, G.O.Ms.No.152 also gave credit to the service rendered by them in the Board, for the purpose of calculating the pensionary service period.

4. Thereafter, all the erstwhile employees of the Board were extended with selection grade of pay on completion of 10 years and special grade of pay on completion of 20 years of service, which service period included their earlier service rendered in the Board.

5. Through a letter dated 19.12.2017, the Secretary to Government, Handlooms, Handicrafts, Textiles and Khadi Department, had permitted all the Heads of the Departments to treat the selection grade/special grade of pay granted to these employees as illegal and ordered for recovery of the excess payment made to them. The letter of the secretary dated 19.12.2017 was assailed before the learned Single Judge through writ petition.

6. The learned Single Judge placed reliance on an earlier decision of the writ Court in W.P.(MD)No.4976/2020 relating to similar excessive staff of the Board, who were absorbed in the other Government Departments and whose award of selection grade/special grade of pay was cancelled and held that the cancellation of selection grade/special grade is illegal. The order passed in the said writ petition is assailed in this intra Court appeal.

7. The only ground raised by the learned Additional Government Pleader appearing for the appellants is that G.O.Ms.No.152 enables for inclusion of the service period of those employees with Khadi Board, only for the limited purpose of calculating the pensionary services and not otherwise and therefore, the award of selection/special grade of pay was rightly declared to be illegal and the consequential recovery was ordered by the appellant and thereby sought for setting aside the order of the Writ Court.

8. We do not agree with such a submission, since G.O.Ms.No.152, which is an amendment to the earlier G.O.Ms.No. 154, extends service protection simpliciter, as well as for inclusion of service period of any employee. G.O.Ms.No.152 in this regard is self explanatory, which reads as follows:

“OTHER LANGUAGE”

9. When the employees of Khadi Board were ordered to be absorbed in other Government departments, G.O.Ms.No.154 came to be passed with a specific clause that these employees will have the benefit of pay protection, but cannot be extended with service protection. However, G.O.Ms.No.152 brought forth an amendment to G.O.Ms.No.154, by incorporating service protection also, as evident in the aforesaid extract. The second portion of the Government order clarifies that the service rendered by the employees in the Khadi Board should also be included for calculating the pensionary services. Thus, all the erstwhile employees of Khadi Board were ultimately extended with pay protection, service protection and pensionary benefits by calculating their service period rendered at Khadi Board. We are not in a position to give any other meaning to G.O.M

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
Judicial Analysis

AI

SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top