1The short question for consideration was whether the Showroom Manager of the Kerala Cooperative Coir Marketing Federation Limited was an employee entitled to subsistence allowance under the Payment of Subsistence Allowance Act .

2The 2nd respondent, Sri N.M. Mohandas was working as the Showroom Manager of the Kerala Cooperative Coir Marketing Federation in its Bangalore Showroom and was responsible for selling the stock of goods in the Showroom. He was suspended from service, pending disciplinary proceedings on 21st April 1995 alleging misappropriation of an amount of Rs. 2,15,603.93. On 3rd July 1997 he remitted back Rs.20,000 and the Executive Committee of the Federation decided to reinstate him subject to the condition that he should remit the balance amount and the period of suspension shall be treated as break in service. Accordingly he was reinstated. Later the 2nd respondent filed a claim before the competent authority under the Payment of Subsistence Allowance Act for the period from 21st April 1995 to 26th January 1998 during which period he was under suspension. The competent authority passed Ext. P1 order allowing the above claim and directed the petitioner to pay a