The High Court directed the Kerala State Financial Enterprises Limited to pay the petitioner's withheld terminal leave surrender within three months, with 6% interest for delay.
Disbursement of withheld Terminal Leave Surrender within three months; 6% interest from due date till payment.
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WPC 15892/2019
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE BASANT BALAJI
THURSDAY, THE 14TH DAY OF MARCH 2024 / 24TH PHALGUNA, 1945
WP(C) NO. 15892 OF 2019
PETITIONER/S:
M.V.SURESH,
AGED 59 YEARS
S/O. VISWANATHAN, SURABHI, PONNANI P.O, MANNANCHISRY,
AMBALAPUZHA, ALAPPUZHA 688 538
BY ADVS.
S.M.PREM
SRI.P.RAMACHANDRAN (PALAKKAD)
SRI.H.NARAYANAN
RESPONDENT/S:
THE KERALA STATE FINANCIAL ENTERPRISES LIMITED
REPRESENTED BY ITS MANAGING DIRECTOR, BHADRATHA,
MUSEUM ROAD, THRISSUR 680 020
BY ADVS.
SRI.M.GOPIKRISHNAN NAMBIAR
SRI.K.JOHN MATHAI
SRI.JOSON MANAVALAN
SRI.KURYAN THOMAS
SRI.PAULOSE C. ABRAHAM
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
14.03.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
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WPC 15892/2019
JUDGMENT
(Dated this the 14th day of March 2024)
This Writ Petition is filed for a direction to release the withheld terminal leave surrender along with interest from the
due date till actual payment of the same.
respondent Kerala State Financial Enterprises Limited (KSFE)
on 31.5.2018.
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WPC 15892/2019
departments and various branch offices where the
employee/petitioner had worked. It is further submitted that
large liabilities are reported in the name of the petitioner.
Single Judge had directed payment of terminal benefits. The
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WPC 15892/2019
operative portion of the judgment in W.P.(C) No.7203 of 2021
reads as follows:
“6. As observed in D.S.Nakara v.Union of India [(1983) 1 SCC 305), the antiquated notion of pensionary or retiral benefits being a bounty or a gratuitous payment, depending upon the sweet will or grace of the employer, and not a right enforceable through court, has to be under the carpet. It may also be apposite to note that as per the judgment in W.P(C). No. 33750 of 2017, filed by another set of disgruntled pensioners, this court had directed the respondents to pay the entire benefits within three months. A conspectus of the above precedents leads to the indubitable conclusion that the Company is bound to disburse the terminal and other benefits due to the petitioners forthwith.
In the result, the writ petitions are allowed and the following directions are issued;
i. The Company shall disburse the DCRG and other benefits due to the petitioners within three months of receiving a copy of this judgment.
ii. The unpaid gratuity will carry interest at the rate of 6%, computed from the first day of the next month of retirement of the petitioners.
iii. In case of failure to pay the amounts within the three month period, the Company will be liable to pay 9% interest on the entire balance amount, reckoned from the respective dates of retirement of the petitioners.”
Taking into account the facts and circumstances of the
case and the above judgments of this Court, there will be a
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WPC 15892/2019
direction to the respondent to disburse the withheld Terminal Leave Surrender to the petitioner within three months from the
date of receipt of a copy of the judgment. In the case of failure
to pay the amounts within the stipulated time, the amounts will carry interest at the rate of 6% per annum from the actual due date till payment.
Sd/-
BASANT BALAJI JUDGE
dl/
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WPC 15892/2019
APPENDIX OF WP(C) 15892/2019
PETITIONER EXHIBITS
EXHIBIT P1TRUE COPY OF LETTER NO. 47368 DATED 30-07-2018
ISSUED BY THE DEPUTY GENERAL MANAGER (P AND HR)
(1/C) OF THE RESPONDENT-COMPANY
2 issues framed by the court
Whether the respondent company is directed to disburse the withheld terminal leave surrender with interest.
What is the time limit for payment of the terminal leave surrender and the rate of interest on delay.
Colour shows how this judgement treated each authority
M.V.Suresh
The Kerala State Financial Enterprises Limited
Basant Balaji
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court