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A.Soudha Beevi v. Kerala Automobiles Ltd.

Kerala HC21 Dec 2020WP(C)/5663/2020

Case brief

AI extract

What is this about?

Petition sought payment of gratuity and provident fund. After earlier orders fixing x-month and 1-month limits respectively, the petitioner delayed. Upon producing a counter affidavit quantifying the claim, the High Court fixed a four-month limit with a penalty: if not paid, senior managerial staff including the Managing Director cannot draw salary until discharge.

What did the court decide?

Directing the respondents to pay the entire eligible amounts within four months; failing which, Senior Managerial Cadre and Managing Director shall not draw salary or emoluments until payment.

A.Soudha Beevi Vs Kerala Automobiles Ltd. — Pension and Retirement Benefits | Kerala HC (2020)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE DEVAN RAMACHANDRAN

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MONDAY, THE 21ST DAY OF DECEMBER 2020 / 30TH AGRAHAYANA, 1942

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WP(C).No.5663 OF 2020(G)

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PETITIONER:

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A.SOUDHA BEEVI AGED 58 YEARS

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W/O. RAHEEM, RETD. EXECUTIVE (GRADE), KERALA AUTOMOBILES LTD., ARALUMMOODU P.O., THIRUVANANTHAPURAM, RESIDING AT SURMI MANZIL, T.C.17/2018, NEAR ROTARY HOSPITAL, POOJAPPURA P.O., THIRUVANANTHAPURAM-695 012

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BY ADV. SRI.S.MOHAMMED AL RAFI

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RESPONDENTS:

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1 KERALA AUTOMOBILES LTD REPRESENTED BY MANAGING DIRECTOR, ARALUMMOODU P.O., THIRUVANANTHAPURAM-695 123

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2 DEPUTY GENERAL MANAGER (ADMINISTRATION) KERALA AUTOMOBILES LTD., ARALUMMOODU P.O., THIRUVANANTHAPURAM-695 123

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3 THE ASSISTANT PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND ORGANISATION, BHAVISYANIDHI BHAVAN, P.B.NO.1016,PATTOM, THIRUVANANTHAPURAM-695 004

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BY SMT.K.K.RAZIYA, SC BY ADV. SMT.NITA.N.S-SC

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21.12.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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WP(C).No.5663 OF 2020(G)

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J U D G M E N T

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The petitioner has approached this Court seeking that the respondents 1 and 2 be directed to disburse to her eligible gratuity, along with interest; as also the contributions under the Employees' Provident Fund Act, so as to enable the 3 rd respondent to disburse the said benefits also to her.

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2 . When this matter was considered by me on an earlier occasion, after hearing the parties, I had passed the following order:

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“ The learned Standing Counsel for the Provident Fund Organization submits that a counter affidavit has been filed by his client wherein it has been stated that the petitioner can be granted her benefits under the Provident Fund Account as soon as she files the prescribed online application.

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There is, however, no representation on behalf of the 1^st respondent today.

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I, therefore, order the 3 rd respondent to immediately settle the amounts to the petitioner on her submitting the necessary online application, with a further direction to the 1 st respondent to pay the admitted amounts of gratuity to her within a period of one month from today.”

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WP(C).No.5663 OF 2020(G)

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3 . This was followed by a subsequent order on

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07.12.2020, which is to the following effect:

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“The learned Standing Counsel for the respondent – Company says that on account of severe financial crisis, the interim order dated 06/11/2020 has not been complied with.

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It may not be sufficient for the Company to say that they have financial crisis, but they will have to establish it also.

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I, therefore, direct the Company to file an affidavit through its Managing Director, explaining the reasons for the financial crisis and also giving the details of the salary and benefits being drawn by the said Authority as also the superior managerial cadre.”

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4 . Today, Smt.K.K.Raziya, learned Standing Counsel for the 1 st respondent, submitted that a counter affidavit has been filed on record, wherein, the petitioner's claims have been quantified at Rs.4,44,159/-, after deducting a liability of Rs.1,21,955/-. She submitted that the petitioner has already been paid an amount of Rs.50,000/- in the month of September, 2020 but that on account of acute financial difficulty, the Company has not been able to honour the balance until now. She added to this by saying that various other employees are also waiting to obtain their retiral benefits and that, as is evident from Ext.R1(3) list of

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WP(C).No.5663 OF 2020(G)

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such retirees, the respondent is in the 48 th position. She therefore, prayed that her client be given some time to pay off the amounts to the petitioner.

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5 . When I consider the afore submissions, it is obvious that the respondent is now admitting an amount of Rs.4,44,159/to be paid to the petitioner. Obviously, therefore, they cannot shirk from the responsibility to disburse the same; but since they pray for some time, I deem it appropriate to fix an outer limit of four months, which I am sure will be in the best interests of both sides.

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In the afore circumstances, I order this writ petition and direct the respondents to pay the entire amounts eligible to the petitioner within a period of four months from the date of receipt of a copy of this judgment; failing which, the Senior Managerial Cadre, including the Managing Director, will not be entitled to draw their salary or emoluments until such time as the amounts are so paid.

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At this time, the learned Standing Counsel for the 3 rd respondent - Smt.Nitha N.S, submitted that the petitioner's pension papers have already been processed and that her

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WP(C).No.5663 OF 2020(G)

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pension will be credited from next month onwards. This is recorded.

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This writ petition is thus ordered.

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SD/-

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DEVAN RAMACHANDRAN

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JUDGE

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WP(C).No.5663 OF 2020(G)

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APPENDIX

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PETITIONER'S/S EXHIBITS:

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EXHIBIT P1 TRUE COPY OF THE ANNUAL INCREMENT MEMORANDUM DATED 25.5.2018 ISSUED TO THE PETITIONER EXHIBIT P2 TRUE COPY OF THE PAY SLIP OF THE PETITIONER FOR APRIL, 2018

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EXHIBIT P3 TRUE COPY OF THE ANNUAL STATEMENT OF PETITIONERS CONTRIBUTION TO 3RD RESPONDENT DURING 2010-2011

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EXHIBIT P4 TRUE COPY OF THE REPRESENTATION DATED 11.2.2020 TO THE 1ST RESPONDENT

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RESPONDENT'S/S EXHIBITS:

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EXHIBIT R1(A) TRUE COPY OF THE LETTER DATED 31.5.2018 OF THE PETITIONER EXHIBIT R1(B) TRUE COPY OF THE LETTER DATED 10.11.2020 ISSUED BY THE EMPLOYEES CO-OPERATIVE SOCIETY EXHIBIT R1(3) TRUE COPY OF THE LIST OF EMPLOYEES RETIRED FROM THE RESPONDENT COMPANY

A.Soudha Beevi v. Kerala Automobiles Ltd.

Case brief

What is this about?

What did the court decide?

A.Soudha Beevi v. Kerala Automobiles Ltd.

Case brief

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