By the Court.—We have heard Sri Devendra Pratap Singh, the learned counsel for the petitioners and Sri Satyam Singh, the holding brief of Sri Shiv Nath Singh, the learned counsel for the respondent Nos. 2 and 3.

2. The petitioner No. 1 retired on 30.6.2008 upon reaching the age of superannuation as Deputy General Manager in District Co-operative Bank Ltd., Ghazipur. The petitioner No. 2 retired on 31st January, 2009 upon reaching the age of superannuation as Deputy General Manager from District Co-operative Bank Ltd. Pilibhit. The petitioner No. 1 received an amount of Rs. 4,48,239/- towards gratuity on 15th September, 2009. The petitioner No. 2 received a sum of Rs. 4,98,986/- towards gratuity on 29th July, 2009. Both the petitioners filed separate representations with regard to the calculation of gratuity, which was considered and the difference of amount was paid to petitioner No. 1 vide cheque dated 18.5.2010 and the petitioner No. 2 was paid vide cheque dated 5th May, 2010.

3. The petitioners contend that the calculation of gratuity by the respondents was wrongly calculated, which was not in accordance with the procedure prescribed under the Payment of Gratuity Act, 1972 (hereinafter referred to as the Act) and further interest, as provided under Section 7 (3-A) of the Gratuity Act, has also not been paid on the initial amount or on the revised amount and therefore, a writ of mandamus should be issued directing the respondents to pay the difference of gratuity amount as per calculation provided under Section 4 (2) of the Payment of Gratuity Act as well as interest as per Section 7 (3)-A of the said Act.

4. Para-13 of the counter-affidavit reveals that the petitioners were to be paid gratuity as per Rule 67 of the Co-operative Banks Centralised Service Rules, 1976 (hereinafter referred to as the Rules of 1976). In para-9 of the counter-affidavit, the respondents contend that the gratuity amount is required to be disbursed as per the provisions of Co-Operative Banks Centralized Service Group Gratuity-Cum-Life Assurance Scheme (hereinafter referred to as the Assurance Scheme). In Para-20 of the counter-affidavit, the respondents contend that calculation of the salary cannot be worked out on 26 working days, since no such rules are provided.

5. In the light of the aforesaid, we have heard the learned counsel for the parties and we find that the services of the petitioners are governed by the Co-Operative Bank Centralised Service Rules, 1976, which have been framed in exercise of power conferred by Section 122 of the U.P. Co-Operative Societies Act, 1965. Rule 67 provides for payment of gratuity. For facility, the said provisions is extracted here-under:

“Gratuity :

67. A member of the service shall be granted gratuity equivalent to 15 Days salary for every completed year of service subject to a maximum of 20 months salary (part of year if less than six months, to be ignored), if he has attained the age of retirement or has resigned or been declared invalid for service by Chief Medical Officer or has been retrenched or dies while he is in service.

Provided that a member shall be illegible for gratuity only if he has put in atleast 5 years of continuous service immediately preceding resignation, retrenchment, invalidation or death. In case of death, gratuity shall be payable to the nominee of the member and in the absence of nomination to his legal heir:

Provided further that—

(a) the gratuity of a member whose services have been terminated for any act of wilful omission or negligence causing any damage or loss to, or destruction of, property belonging to the bank in which he is working or may have worked, shall be forfeited to the extent of the damage or loss so caused;

(b) the gratuity payable to a member shall be wholly forfeited-

(i) If the services of such member have been terminated for his riotous or disorderly conduct or any other act of violence on his part, or

(ii) If the services of such member have been term