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BHASKAR RAJ PRADHAN
Mool Raj Kotwal – Appellant
Versus
State of Sikkim – Respondent
JUDGMENT
Bhaskar Raj Pradhan, J. - The petitioner retired from service as a Medical Specialist on 31.01.2005. On 01.02.2005, the petitioner was re-employed as Medical Advisor-cum-Chief Consultant in the STNM Hospital initially and thereafter, for short periods in various capacities until 2019. On 28.05.2019, the petitioner was relieved from his assignment as Principal Medical Advisor to the Hon'ble Chief Minister on reemployment, w.e.f., 31.05.2019. On 31.05.2019, the Department of Personnel, Adm. Reforms, Training & Public Grievances, Government of Sikkim (DOPART), issued Office Order No.710/G/DOP allowing the petitioner to draw cash equivalent to leave salary in lieu of 300 days unutilized earned leave standing to his credit as on 31.05.2019. On 27.02.2020, Office Memorandum No.4528/GEN/DOP was issued seeking to clarify on leave encashment of earned leave to government employees on extension of service, reemployment, etc. It provided:
'Rule 36 of the Sikkim Government Service (Leave) Rules, 1982 provides to a Government Employee who retires from the service under the Sikkim Government Service Rules , 1974, cash equivalent of leave salary in lieu of earned leave on full day standin
The court ruled that retired government servants, when re-employed, can claim leave encashment benefits under relevant rules, emphasizing appropriate interpretation of retirement and service continui....
Leave encashment for government servants is limited to a maximum of 300 days upon retirement, and no second encashment is permitted after re-employment.
Leave encashment - Beyond the period of superannuation no benefit of leave is available to a government employee.
Recovery of leave encashment from retirees is impermissible without due process, including affording notice and an opportunity to defend against claims of wrongful payment.
The main legal point established in the judgment is that the respondent no.1-petitioner, being an employee of an Associated College of Lucknow University, is entitled to the benefit of leave encashme....
An employee removed from service retains the right to leave encashment, as such benefits constitute property under Article 300A, not forfeited by removal from service.
The withholding of retiral benefits, including gratuity and leave encashment, based on a pending criminal case, must be in accordance with the relevant statutory provisions and cannot be applied retr....
Retired employees are entitled to leave encashment as a matter of legal right, and undue delays in payment due to pending inquiries are not justified.
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