G.B.PATTANAIK, S.SAGHIR AHMAD
Municipal Corporation Of Delhi – Appellant
Versus
Dharam Prakash Sharma – Respondent
JUDGMENT :- This appeal is directed against the Division Bench judgment of the Delhi High Court dismissing the appellants writ petition challenging the legality of the order of the authority under the Payment of Gratuity Act, 1972 granting extra amount of gratuity to the respondent who is admittedly an employee of the Municipal Corporation of Delhi (MCD).
2. The short question that arises for consideration is whether an employee of the MCD would be entitled to payment of gratuity under the Payment of Gratuity Act when the MCD itself has adopted the provisions of the CCS (Pension) Rules, 1972 (hereinafter referred to as the "Pension Rules"), whereunder there is a provision both for payment of pension as well as of gratuity. The contention of the learned counsel appearing for the appellant in this Court is that the payment of pension and gratuity under the Pension Rules is a package by itself and once that package is made applicable to the employees of the MCD, the provisions of payment of gratuity under the Payment of Gratuity Act cannot be held applicable. We have examined carefully the provisions of the Pension Rules as well as the provisions of the Payment of Gratuity Act. The Pay
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