IN THE HIGH COURT OF MADHYA PRADESH
Vijay Kumar Shukla, J.
Jagdish Hirve v. State of M.P.
Writ Petition No. 19281 of 2023 (I); Decided on 3.12.2024*
Civil Service -- recovery of excess payment -- petitioner retired employee -- Rs.1,43,426/- recovered on ground of wrong fixation of pay -- no case of any misrepresentation or cheating with department -- order of recovery quashed -- direction to refund amount along with 6% interest within three months. (1994) 2 SCC 521, (1995) Supp. (1) SCC 18 and (2009) 3 SCC 475 followed. 2024 SCC Online MP 1567 relied on. (2015) 4 SCC 334 and 2016 SCC Online SC 748 referred to. [Paras 1, 5 & 10]
flfoy lsok & vfrfjä lank; dh olwyh & ;kph lsokfuo`Ùk deZpkjh & osru d¢ xyr fu;ru d¢ vkèkkj ij #i;s 1]43]426@& dh olwyh dh xà & foÒkx ls nqO;Zins'ku ;k Ny dk ekeyk ugha & olwyh dk vkns'k vfÒ[kafMr & rhu ekl d¢ Òhrj 6 Áfr'kr C;kt lfgr jde dk çfrnk; djus dk funs'kA ¼1994½ 2 ,llhlh 521] ¼1995½ lIyhŒ ¼1½ ,llhlh 18 rFkk ¼2009½ 3 ,llhlh 475 vuqlfjrA 2024 ,llhlh vkWuykbu ,eih 1567 voyafcrA ¼2015½ 4 ,llhlh 334 rFkk 2016 ,llhlh vkWuykbu ,llh 748 fufnZ"VA ¼iSjk 1] 5 ,oa 10½
ORDER
1. In the instant petition, the petitioner has challenged the order of recovery dated 27.12.2022 of Rs.1,43,426/- (principal amount Rs.87,806/- + interest Rs.55,620/-) on the ground of excess amount paid to the petitioner from 1.1.2006 to 2024 on account of wrong fixation of pay.
2. It is stated that the pay of the petitioner was wrongly revised to 9120 + 2100 w.e.f. 1.1.2006 from 4800/- under M.P. Pay Revision Rules 2009 which should have been Rs.8930 + 2100/-.
3. Counsel for the petitioner submits that the petitioner is a retired government employee and the said recovery cannot be made in the light of the judgment passed by the apex Court in the case of State of Punjab v. Rafique Masih (White Washer), (2015) 4 SCC 334 . He further submits that it is not the case of the respondent that the petitioner has not made any misrepresentation or cheating with the department.
4. Counsel for the respondents submits that due to inadvertence, the petitioner was granted wrong fixation of pay and, therefore, the recovery is being made in pursuant to the undertaking submitted by the petitioner and in the light of the judgment passed by the apex Court in the case of High Court of Punjab & Haryana v. Jagdev Singh 2016 SCC Online SC 748.
5. After hearing learned counsel for the parties and considering the fact that it is not the case of the respondents that there was any misrepresentation of fact or any fraud or cheating played by the petitioner with the department.
6. The Full Bench of this Court at Principal Seat, Jabalpur in identical matters has quashed such recovery orders by judgment dated 6.3.2024 passed in Writ Appeal No.815 of 2017 (State of Madhya Pradesh and Another v. Jagdish Prasad Dubey and Another) and connected writ petitions reported in 2024 SCC online MP 1567, it has been held in paragraph No.35 as under:
"Answers to the questions referred
35.(a) Question No.1 is answered by holding that recovery can be effected from the pensionary benefits or from the salary based on the undertaking or the indemnity bond given by the employee before the grant of benefit of pay refixation. The question of hardship of a Government servant has to be taken note of in pursuance to the judgment passed by the Larger Bench of the Hon’ble Supreme Court in the case of Syed Abdul Qadir (supra). The time period as fixed in the case of Rafiq Masih (supra) reported in (2015) 4 SCC 334 requires to be followed. Conversely an undertaking given at the stage of payment of retiral dues with reference to the refixation of pay or increments done decades ago cannot be enforced.
(b) Question No.2 is answered by holding that recovery can be made towards the excess payment made in terms of rules 65 and 66 of the Rules of 1976 provided that the entire procedures as contemplated in Chapter VIII of the Rules of 1976 are followed by the employer. However, no recovery can be made in pursuance to Rule 65 of the Rules of 1976 towards revision of pay which has been extended to a Government servant much earlier. In such cases, recovery can be made in terms of the answer to Question No.1.
(c) Question No.3 is answered by holding that the undertaking given by the employee at the time of grant of financial benefits on account of refixation of pay is a forced undertaking and is therefore not enforceable in the light of the judgment of the Hon’ble Supreme Court in the case of Central Inland Water Transport Corporation Limited and Another v. Brojo Nath Ganguly and Another, reported in (1986) 3 SCC 136 unless the undertaking is given voluntarily."
7. In the case of Shyam Babu Verma v. Union of India, (1994) 2 SCC 521, the apex Court while observing that the petitioners therein were not entitled to the higher pay scales, had come to the conclusion that since the amount has already been paid to the petitioner, for no fault of theirs, the said amount shall not be recovered by the respondent/Union of India. The observation made by the apex Court in the said case is as under:-
Recovery of excess salary cannot be enforced without prior hearing, especially when no fraud or misrepresentation by the employee is established.
Recoveries from retired employees based on erroneous salary payments are impermissible, emphasizing equitable treatment and judicial discretion in enforcing employee rights.
Recovery of excess salary is impermissible when employees are not at fault, emphasizing equitable relief to prevent undue hardship.
Recovery of excess payments made beyond 5 years is impermissible; relief granted only for payments beyond the statutory five-year period.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.