Partly allowed

The Superintendent of Police, Nanded and Others v. Prabhakar Ramrao Kulkarni

Bombay HC27 Mar 2015CA/650/2015

Case brief

AI extract

What is this about?

The applicant challenged the interest rate calculation in a prior writ order. The court held that a Government notification dated 1.11.2008 applies prospectively only. Interest up to that date must be calculated at 12% p.a., and thereafter at the General Provident Fund rate. The order was modified accordingly.

What did the court decide?

The respondent is ordered to pay interest at 12% p.a. from June 1999 till 1.11.2011, and thereafter at the rate applicable to General Provident Fund deposits.

The Superintendent of Police, Nanded and… — Pension and Retirement Benefits | Bombay HC (2015)

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C.A. No.650/2015

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IN THE HIGH COURT OF JUDICATURE AT BOMBAY, BENCH AT AURANGABAD

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CIVIL APPLICATION NO.650 OF 2015 IN WRIT PETITION NO.1505 OF 2014

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The Superintendent of Police, Nanded and others

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APPLICANTS

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VERSUS

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Prabhakar s/o Ramrao Kulkarni

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... RESPONDENT

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Shri S.S. Tope, Incharge Govt. Pleader for applicants Shri A.S. Deshpande, Advocate for respondent

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CORAM: S.V.GANGAPURWALA & A.I.S. CHEEMA, JJ. DATED: 27th March, 2015.

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ORAL ORDER :

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This application is filed seeking modification of the order dated 13.8.2014 passed in Writ Petition No.1505/2014. Mr.

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Tope, the learned Incharge Government Pleader submits that the

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present application for modification is filed only to the extent of

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grant of rate of interest. This Court has granted interest at the rate of 12% p.a. and the calculation was made by the office of

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C.A. No.650/2015

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respondent at the rate of 12% by mistake. There is a notification issued by the Government on 1.11.2008, by virtue of which, amendment has been made in Section 129-A of the Maharashtra Civil Services (Pension) Rules. According to the learned Incharge Government Pleader, the rate of interest after 1.11.2008 applicable would be the rate applicable to the General Provident Fund deposits. The rate of interest applicable to the General Provident Fund deposit is 8%. As such, the rate of interest will have to be calculated at the rate of 8%. Mr. Deshpande, learned counsel for the respondent states that till the date of notification dated 1.11.2008, the rate of interest will have to be calculated at the rate of 12% p.a. and only after the notification, the respondents can claim right to calculate interest at the rate of 8%. The learned counsel submits that, however, the respondents themselves have calculated the figure of amount payable by way of interest. As such, the order need not be modified.

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We have considered the submissions. The respondent has given the chart calculating the amount of interest that would be payable to the petitioner. However, in the chart the respondents have calculated interest at the rate of 8% from the

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C.A. No.650/2015

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year 2003-2004 and from 2001-2002 at 9.5%. The same would not be permissible. The notification dated 1.11.2008 would apply prospectively and not retrospectively. Till 1.11.2008, rate of interest will have to be calculated at the rate of 12% p.a. as was the rate specified in the statute.

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In light of the above, we modify the order dated 13.8.2014 as under :

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The respondent shall pay interest on the delayed payment to be calculated since June 1999, towards the late payment of gratuity at the rate of 12% p.a. till 31.10.2011 and thereafter from 1.11.2011, as per the prevalent rate applicable to the General Provident Fund deposits, till the date of payment. Civil Application accordingly partly allowed.

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fmp/ca650.15

The Superintendent of Police, Nanded and Others v. Prabhakar Ramrao Kulkarni

Case brief

What is this about?

What did the court decide?

The Superintendent of Police, Nanded and Others v. Prabhakar Ramrao Kulkarni

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

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Statutes considered

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