Allowed

Ramesh Chandra Pal v. State of U.P. Thru. Prin. Secy. Dairy Development Lko. and 2 Others

Allahabad HC5 Apr 2024WRIA/2130/2024

Case brief

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What is this about?

Petitioner sought payment of leave encashment and interest. Court rejected the argument that a pending inquiry precludes payment or interest, directing respondents to pay the amount with 7% interest within three months.

What did the court decide?

Directed respondents to pay Rs.5,42,249/- along with 7% interest per annum from due date within three months.

Ramesh Chandra Pal vs State of U.P. Thru… — Pension and Retirement Benefits | Allahabad HC (2024)

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Court No. - 20

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Case :- WRIT - A No. - 2130 of 2024

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Petitioner :- Ramesh Chandra Pal Respondent :- State Of U.P. Thru. Prin. Secy. Dairy Development Lko. And 2 Others Counsel for Petitioner :- Pradeep Kumar Tripathi Counsel for Respondent :- C.S.C.,Shanker Lal

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Hon'ble Shree Prakash Singh,J.

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Heard learned counsel for the petitioner and Sri Pankaj Patel, learned counsel for the opposite party nos. 2 and 3.

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For opposite party no. 1, notice has been accepted by the State.

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The present petition has been filed by the petitioner alleging that leave encashment of Rs. 5,42,249/- should be paid to the petitioner along with interest.

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Sri Pankaj Patel, learned Counsel appearing on behalf of the respondents no.2 and 3 ardued that the said amount has not been paid on account of the fact that an inquiry has been instituted. which is pending.

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It is well settled that the petitioner after retirement cannot be subjected to an inquiry in case there is no provision to hold inquiry after retirement. In any case, there is no provision under which the respondents can take shelter of in not paying the leave encashment of Rs.5,42,249/-. Merely because an inquiry is pending does not confer any right under any Act or Rules to deny the payment of leave encashment to which the petitioner is entitled, as such, the present petition is disposed off directing the respondents to pay the amount of Rs.5,42,249/- along with 7% interest per annum from the due date till actual payment/ realization within a period of three months from today.

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This Court is not going into the argument that an inquiry has been instituted by the respondents at this stage.

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At this stage, Sri Pankaj Patel, learned counsel for the respondents, argues that there is no provision for payment of interest on delayed payment of retiral dues.

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The aforesaid argument of learned counsel for the respondents is patently fallacious inasmuch as it is settled proposition of law that where retiral dues have been paid belatedly for no fault of the employee concerned then interest would be admissible on

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the said dues (See: Special Appeal Defective No.10 of 2015 in re: Shiv Shankar Mishra vs. State of U.P. and 3 others, decided on 15.01.2015) .

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Order Date :- 5.4.2024 Anurag, PS Gr-I

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Digitally signed by :- ANURAG SINGH High Court of Judicature at Allahabad, Lucknow Bench

Ramesh Chandra Pal v. State of U.P. Thru. Prin. Secy. Dairy Development Lko. and 2 Others

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Ramesh Chandra Pal v. State of U.P. Thru. Prin. Secy. Dairy Development Lko. and 2 Others

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