O R D E R

The writ petition is filed challenging the order of the third respondent dated 28.06.2010 whereby the payment of House Rent Allowance was discontinued and recovery was sought to be made in respect of House Rent Allowance paid to the Grade-II Municipality.

2. This Court, suo motu impleaded “The Secretary to Government, Finance Department, Secretariat, Chennai - 600 006”, as the sixth respondent. Mr.Stalin Abimanyu, learned Additional Government Pleader, takes notice for the sixth respondent.

3. It is seen that the petitioner's Association has come up with the writ petition challenging the orders for discontinuing the payment of House Rent Allowance and recovery. Though in service matters, the writ petitions filed by the Association are not maintainable, since the writ petition has been admitted as early as on 17.08.2010 and also further taking note of the fact that the learned counsel appearing for the petitioner submits that even though the writ petition has been filed challenging the impugned orders, they will restrict the claim if a direction is issued to the Government to take a decision in this regard, the claim is dealt with.

4. It is the petitioner's case that Perambalur District has been formed by Special Government Order notified in the Official Gazette dated 01.10.1995. They have Head Quarters at Perambalur Town. Earlier, Perambalur Town was classified as Grade-III Municipality by the Municipal Administration. Subsequently, by G.O.(Ms.)No.136, Municipal Administration and Water Supply Department, dated 15.11.2006, Perambalur Municipality was upgraded from Grade-III to Grade-II Municipality.

5. In view of the upgradation of the Municipality from Grade-III to Grade-II, the House Rent Allowance is applicable to the Government employees and teachers employed in Perambalur Municipality. Pursuant to the upgradation, the second respondent / District Collector issued vide proceedings dated 22.09.2009, notified that Perambalur, Alandur, Veppur and Veppanthattai Panchayat Unions of Perambalur Municipality were located with a radius of 8 kms and hence entitled to the House Rent Allowance as admissible to Grade-II Town. Based on which, the third respondent, by proceedings dated 25.09.2009, directed the fourth respondent to disburse the House Rent Allowance as admissible to Grade-II Municipality to the Government employees working in Perambalur District and accordingly, the House Rent Allowance at the rate of Grade-II Municipality has been disbursed to the Government employees with effect from 15.11.2006.

6. However, since the necessary permission has not been accorded by the Finance Department, impugned order came to be passed for recovery of the House Rent Allowance paid as applicable to the Grade-II Municipality. Challenging the impugned order, the present writ petition has been filed.

7. The third respondent has filed a counter affidavit wherein it is stated that the District Collector, Perambalur, by letter vide his proceedings in Na.Ka.No.A4/10480/2010, dated 20.07.2010, addressed to the Secretary to the Government, Finance Department (impleaded 6th respondent) sought for necessary orders for payment of the House Rent Allowance at the rate applicable to Grade-II for Perambalur Municipality and the same is pending with the Government.

8. Further, the third respondent in para 14 of the counter affidavit has stated that the enhanced House Rent Allowance was admitted by them and paid in view of G.O.(Ms.)No.772, Finance Department, dated 22.08.1986. However, later, it came to the knowledge that the enhancement of the House Rent Allowance could be made only on the notification of the competent authority, i.e. the Finance Department.

9. The learned counsel for the petitioner confines the prayer in the writ petition and submits that they will be satisfied if a suitable direction is issued to the sixth respondent to take a decision in this regard, as proposals have been sent to them as early as in the year 2010.

10. The learned Addi