IN THE HIGH COURT OF JUDICATURE AT MADRAS (Special Original Jurisdiction)

RESERVED ON : 24.04.2025 PRONOUNCED ON : 29.05.2025 PRESENT:

THE HON’BLE DR. JUSTICE A.D. MARIA CLETE W.P.No. 17145 of 2021 The Employer, M/s. KLU Industries M/s. KSM Industries R.S.No.22/3, Mangalam Road, Uruvaiyar, Villanur, Puducherry – 605 110. ….Petitioner Vs.

1.The Controlling Authority under the Payment of Gratuity Act 1972 cum Labour Officer (Enforcement)

Puducherry.

2. B.Murugan, No.2, Balaji Street, Selva Nagar, Uruvaiyar, Villianur, Puducherry – 605 110. …. Respondents Prayer:

To issue appropriate orders or directions more particularly Writ of Certiorari calling for the file relating to the impugned order in G.A.No.54 of 2018 dated 14/08/2019 passed by the 1^st respondent and quash the same and to pass such further or other orders as this Hon’ble Court may deem fit and proper under the circumstances of the case.

Appearance of Parties:

For Petitioner : Mr. N.Murali, Advocate For Respondents: M/s.V.J.Latha and K.Saranya, Advocates. (No appearance).

J U D G M E N T

Heard.

2.The petitioner is the management of an establishment. In the present writ petition, they have challenged the order passed by the first respondent, the Controlling Authority under the Payment of Gratuity Act, 1972 (hereinafter referred to as the P.G. Act), by which the petitioner was directed to pay a sum of Rs. 1,06,615/- towards gratuity to the second respondent, along with interest at the rate of 10% per annum from 23.06.2017 until the date of payment or deposit with the authority.

3.The writ petition was admitted on 17.08.2021. Pending its disposal, this Court passed the following interim order: –

“In view of the prima facie case, there shall be an order of interim stay, on condition that the petitioner deposits the entire sum of Rs.1,06,615/- along with interest at the rate of 10% calculated from 23.06.2017, before the first respondent herein, as expeditiously as possible.

It is made clear that the order of interim stay shall come into force only from the date on which the petitioner makes the deposit.

Notice to the respondents, returnable by 21.09.2021. Private notice is also permitted.

Post this matter on 21.09.2021”

4.Subsequently, when the matter was listed on 30.09.2021, this Court modified the earlier order and issued the following direction: –

“In the earlier order of this Court dated 17.08.2021, an error had crept in the first paragraph of the order, wherein the second respondent herein has been referred to as the petitioner herein. The said error is rectified and accordingly, the first paragraph of the order dated 17.08.2021 shall read as follows:

"One of the grounds raised by the learned counsel for the petitioner is on the jurisdiction of the authorities in maintaining the application, since the second respondent herein had not made an application to the employer seeking for payment of gratuity, which is a condition precedent under Section 7(1) of the Payment of Gratuity Act, 1972.

This aspect requires further deliberation."

2. In continuation of the earlier order of this Court dated 17.08.2021, the learned counsel for the petitioner would submit that, though they had raised grounds challenging the payment made under the impugned order, they are willing to pay the principle amount to the second respondent herein and the remaining claim with regard to the interest can be adjudicated later.

3. Recording the submission of the learned counsel for the petitioner, there shall be a direction to the petitioner herein to pay a sum of Rs.1,06,615/- either to the second respondent herein or the counsel representing the second respondent, within a period of two weeks from today.

4. The learned counsel for the second respondent seeks time to file a counter.

5. Post the matter on 29.11.2021. The interim order already granted by this Court is made absolute.”

5.Counsel for the management, by letter dated 30.09.2021 addressed to the counsel for the respondent, enclosed a cheque for Rs. 1,06,615/- drawn