HON’BLE SRI JUSTICE NAGESH BHEEMAPAKA WRIT PETITION No. 20076 OF 2019

O R D E R:

Petitioner assails the proceedings dated 17.05.2019 whereby and whereunder, respondent while accepting her resignation from the post of Company Secretary, sought to recover Rs. 9,21,207-54 modified as Rs. 8,79,094/- by office order dated 26.06.2019 on the ground that the said amount was paid in excess of her entitlement by way of salary erroneously.

2 The case of petitioner is that she joined respondent company on 19.05.2011 as Company Secretary (Assistant Manager) in E-2 Scale i.e 10750-300-16750. It is stated, by the time of her appointment, pay revision of 2007 was under consideration. According to her, she was appointed as Assistant Manager in E-3 scale as per the 111^th board meeting held on 27.01.2005, hence, company rectified the mistake and gave the scale of E-3 i.e 13000-350-18250 in September, 2011 with the approval of the competent authority and the samething was mentioned in its 144^th board meeting held on 05.05.2010. It is stated, Assistant Manager scale is E3 i.e 24900-50500 as per 157^th board meeting held on 25.05. 2012. In terms of the above policy, company has given Assistant Manager (E3) and promoted Deputy Manager (E4) i.e 29100-54500 in 2017 as per

111th board meeting held on 27.01.2005.

It is stated, as per the terms of appointment order, she was eligible for 30% HRA as was mentioned in Department of Public Enterprise Guidelines (DPE) on 2007 wage revision and the same was approved by the Board of Directors at the time of approval of 2007 Wage Revision. It is further stated that in the 111th board meeting, a decision was taken to consider promotion/up-gradation to the eligible non-officers against vacancies and as per the said board meeting and the promotion policy, the Assistant Manager was placed in E-3 scale. It is stated, the Assistant Manager placed in E-3 category was promoted to Deputy Manager in E-4 category with a pay scale of 29100-54500 in 2017 as per the 111th board meeting held on

27.01.2005.

As things stood thus, respondent in 2011, in the

198^th board meeting, rectified the anomaly that arose in upgrading the Engineers/officers and their pay scales as per 1992 pay revision and rectification of anomaly was implemented with effect from 01.01.1997 during September 2011; rectification was carried out and the board approved the same specifically observing that the basic pay scale was notionally approved with effect from 01.01.1997 to those who were on payrolls of the company as on 22.09.2011. Though 2007 Wage revision guaranteed HRA at 30%, at the time of implementing 2007 Wage Revision in 2012, the management granted protected HRA on 1997 wage Revision which affected the total gross salary payable to petitioner.

In the meantime, the Managing Director of respondent issued instructions to the Finance Department stating that there is incorrect fixation of pay for 2007 wage revision and advised to verify and submit a report. It is stated, the Finance Department put up a note showing the difference in basic pay fixation against the names of the employees; thereafter the management engaged the services of a professional team of chartered accountants to investigate the entire issue. On receipt of report, the respondent management appears to have found that fixation of basic salary to 18 officers was a mistake and they were given the benefit without having eligibility and recommended that pay to those 18 officers be refixed. Accordingly, the management by proceedings dated 26.03.2019, reduced the salary from February 2019 without giving any written intimation to affected employees including petitioner. In view thereof, by an e mail dated 27.03.2019, petitioner is stated to have tendered resignation which was accepted on 17.05.2019, however Rs. 8,79,094/-was shown as due to the company and full and final settlement of her account was kept pending till the dues were paid. By an e mail dated 30.03.2019, petitioner had given point-wis