Withdrawal of financial benefits under MACP having civil consequences without prior show cause notice violates natural justice principles, requiring pre-decisional hearing.

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The present OA has been filed by the applicant under Section 19 of the Administrative Tribunals Act, 1985 seeking the following reliefs:

(a) This Hon’ble Tribunal may be pleased to call for the records and proceedings which led to the passing of the impugned order dated 07.08.2014 and after going through its propriety, legality and constitutional validity be pleased to quash and set aside the same with full consequential benefits.

(b) This Hon’ble Tribunal may be pleased to call for the records and proceedings which led to the passing of the impugned order Orders dated 13.12.2012 (Annx.”A2”) and 05.10.2011 (Annx.”A3”) and after going through its propriety, legality and constitutional validity be pleased to quash and set aside the same with full consequential benefits.

(c) This Hon’ble Tribunal will be pleased hold and declare that the orders dated 11.03.2011 as far as the present applicants are concerned are legal and proper and the applicants are entitled to the benefits which accrued to them from the said orders.

(d) This Hon’ble Tribunal will be pleased to order and direct the respondents to refund and return any amount if recovered from the applicants with 18% interest per annum till the payment is made.

(e) This Hon’ble Tribunal will be pleased to hold and declare that the applicants are entitled to the Grade Pay Rs.4800/- as was granted to them vide order dated 11.03.2011 with effect from 01.09.2008 and accordingly to restore all the benefits accruing from the said order to the applicants with arrears of difference of salary alongwith 18%

interest thereon.

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(g) Costs of this Original Application may be provided for.”

2.

Brief facts of the case as stated in the OA are that by impugned order dated 07.08.2014, the respondents have withdrawn the Financial Upgradation Benefits under the MACP Scheme as granted to the applicants vide order dated 11.03.2011 w.e.f. 01.09.2008 onwards. It is stated that the applicants were granted the benefit of Grade Pay of Rs.4800/- w.e.f. 01.09.2008. However, the said benefits have been withdrawn and the applicants were reverted back to Grade Pay of Rs.4600/- which the applicants were already drawing prior to 01.09.2008. It is stated that as on 01.09.2008, the applicants have stagnated for 10 years in Grade Pay of Rs.4600/-. Thus, they were fully entitled to Grade Pay of Rs.4800/- w.e.f. 01