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

2023 Supreme(P&H) 2305

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
JASGURPREET SINGH PURI, J.
Anandi Devi & Anr. – Petitioners
Versus
Oriental Bank of Commerce & Ors. – Respondents
CWP-32630 of 2018
Decided On : 01-05-2023

Advocates Appeared:
Ms. Rajni Bala Rohilla, Advocate; For the Petitioners
Ms. Neha Rana, Advocate; For the Respondents

Headnote:(A) Constitution of India - Articles 226 and 227 - Petition seeking quashing of order declining ex-gratia payment - The petitioner, widow of an employee, applied for ex-gratia payment following husband's death while on duty, but the bank's order was cryptic and arbitrary, lacking reasoning. The co-ordinate Bench's previous ruling established that family pension should not be included in assessing family income for this purpose. (Paras 1, 2, 9)

(B) Actionable cause - The bank's reasoning was found to be flawed as it unilaterally included components not provided for in the scheme; hence the denial of relief was unjust. (Paras 6, 10)

Facts of the case:
The petitioners challenged the bank's refusal to grant ex-gratia payment correctly stating that they complied with the requisite scheme and circumscribed their claim to this assistive payment only. The applicant's husband passed away while performing his official duties.

Findings of Court:
The impugned order rejecting the ex-gratia payment was set aside, ordering the bank to grant the financial assistance within three months, along with interest for any delay.

Issues: Was the bank justified in including family pension as part of income for determining eligibility for ex-gratia payment?

Ratio Decidendi: The court reaffirmed that family pension must not be included in accordance with the bank's own scheme, emphasizing the need for clarity and justification in decision-making.

Result: Petition allowed; bank directed to pay ex-gratia amount with interest.

Table of Content
1. petition for writ regarding ex-gratia relief. (Para 1 , 2)
2. criteria for calculating family income for ex-gratia. (Para 3 , 4 , 5)
3. family pension calculation established in prior judgment. (Para 6 , 9)
4. arguments against entitlement for ex-gratia relief. (Para 7 , 8)
5. ruling in favor of granting ex-gratia relief. (Para 10 , 11)

JUDGMENT

Jasgurpreet Singh Puri, J. (Oral)

The present petition has been filed under Articles 226/227 of the Constitution of India seeking a writ in the nature of certiorari/mandamus for quashing of the action of the respondents in not releasing her the financial aid (ex- gratia) in terms of the scheme of the bank and further quashing of the order dated 28.01.2006 (Annexure P-7) whereby her prayer for grant of financial relief for ex-gratia has been declined arbitrarily.

2. Learned counsel for the petitioners submitted that petitioner No.1 is a widow of late Shri Jagdish Parshad who was working in the respondent-Bank and unfortunately died on 20.08.2003 while on duty. The petitioner had prayed for grant of compassionate appointment to her son and also for ex-gratia payment and the same relief has also been claimed in the present petition but the petitioner confines the scope of the present petition only to the extent of grant of ex-gratia relief and not for the grant of compassionate appointment and has submitted that the respondent-bank has unlawfully declined to grant the ex-gratia relief to the petitioner. She submitted that earier there was a scheme pertaining to grant of compassionate appointment in case of death of the employees of the respondent- Bank which is Oriental Bank of Commerce but thereafter the scheme of compassionate appointment was discontinued by the bank itself and in lieu of the same, the scheme for payment of ex-gratia amount in lieu of the appointment on compassionate ground was framed by the respondent-Bank. The aforesaid scheme dated 05.05.2005 has been attached alongwith the present petition as Annexure P-4 which provided for the grant of ex-gratia amount in lieu of appointment on compassionate basis and this scheme came into force from 04.06.2005. So far as the husband of petitioner No.1 is concerned, he died on 20.08.2003 and vide letter dated 01.09.2005 (Annexure P-3), it was verified that the request for payment of ex-gratia amount shall be considered only if the request of the same is received within six months from the date of the circulation of the scheme i.e. upto 04.11.2005. In this way, the petitioner applied for the ex-gratia within the aforesaid period of six months and rather the application of the petitioner was referred to the head office by the bank itself vide Annexure P-5 on 29.09.2005 which is a concrete proposal for sanction of the ex-gratia amount and therefore the petitioner well within time made an application for the grant of ex-gratia amount and the proposal was sent to the head office. However, the head office vide impugned order Annexure P-7 dated 28.01.2006 declined to grant ex-gratia on the ground that she does not fulfill the provisions of the scheme.

3. Learned counsel for the petitioner submitted that a perusal of the Annexure P-7 would show that on the face of it, it was a cryptic and arbitrary order. The only reason which has been so stated in the impugned order was that the petitioner does not fulfill the provisions of the scheme and is not based upon any material or any reasoning and therefore the order was totally cryptic and non-speaking order. She submitted that from a query being raised by her from the bank as to what was the reason, to which, it was so stated by the bank at that point of time that the scheme of ex-gratia grant as per Annexure P-4 would be applicable in case the family income of the person seeking ex-gratia amount is less than 60% of the salary of the deceased. The aforesaid provision is so referred in Column No.8 of Annexure P-4, which is reproduced as under:-

8

Procedure for calculation of Ex

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