A retired LIC Development Officer challenged withholding of Rs.5,84,266 from his terminal benefits on account of a pending money recovery suit by a third party. The court directed the respondents to release the amount within two months, with the petitioner to seek its deposit in the suit, and that the Corporation's summons be withdrawn.
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W.P.No.15817 of 2022
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 12.09.2024
CORAM
THE HONOURABLE MR.JUSTICE VIVEK KUMAR SINGH
W.P.No.15817 of 2022
Baladhandayutham
... Petitioner
Vs.
Prayer: Writ Petition is filed under Article 226 of the Constitution of India, to issue a Writ of Certiorarified Mandamus, to call for the records relating to the impugned order in Ref:OS/TB dated 11.05.2022 and quash the same and direct the respondents either jointly or severally to disburse the settlement of terminal benefits without holding of Rs.5,84,266/- within a period of stipulate time.
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For Petitioner : Mrs.R.T.Sundari For Respondents : Mr.R.S.Anandan O R D E R
This Writ Petition has been filed by the petitioner for quashment of the impugned order in Ref:OS/TB dated 11.05.2022 and quash the same and direct the respondents either jointly or severally to disburse the settlement of terminal benefits without holding of Rs.5,84,266/- within a stipulated time as fixed by this Court.
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passed an impugned order in Ref:OS/TB dated 21.02.2022 stating that the net amount payable towards the settlement of terminal benefits for the petitioner is Rs.21,08,481/- after deducting the dues payable to Corporation. The terminal benefits was not paid by the respondents on the ground that the suit in O.S.No.178 of 2021 is pending before the learned II Additional District Judge, Puducherry. The said suit was filed by one Gowri against the petitioner for recovery of money. For which, the petitioner gave several representations to the respondents, but the respondents paid only the pension amount. The net amount sanctioned by the second respondent is only Rs.15,24,215/- out of Rs.21,08,481/-. The Corporation has deducted the outstanding dues along with Court case recovery for Rs.5,84,266/-, without any Court interference for the suit pending disposal by the learned II Additional District Judge, Puducherry in O.S.No.178 of 2021. Hence, the petitioner has approached this Court by way of this petition seeking a direction to the respondents to disburse the terminal benefits without holding the said sum of Rs.5,84,266/-.
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receipts duly signed for disbursal of the terminal benefits payable to him, as per the rules of the Corporation. But the petitioner did not report for duty on the date of his retirement also and the relieving letter dated 28.02.2022 was also sent by the Registered Post to the address of the petitioner. He further submitted that the third respondent was served with summons on 25.02.2022 from the learned II Additional District Judge, Puducherry wherein the third respondent was directed to appear before the Court on 21.03.2022 in a suit in O.S.No.178 of 2021 which is filed by one Gowri against the petitioner. The receipt of the summons was also intimated to the petitioner through email communication dated 28.02.2022. The respondents through an authorized panel counsel of the Corporation entered appearance on 21.03.2022 and the matter was posted to 26.04.2022. The respondents as a matter of abundant caution to protect the interest of the Corporation, withheld an amount of Rs.5,84,266/- from the terminal benefits payable to the petitioner and communicated to the petitioner by letter dated 11.05.2022 that net amount of Rs.15,24,215/- is payable after all deductions and advised the petitioner to submit discharge summaries for the same. The said amount of Rs.15,24,515/was settled to the petitioner on 12.05.2022 by NEFT to the bank account of the petitioner and the same was also communicated to the petitioner by email dated 12.05.2022. In the letter dated 11.05.2022, it was clearly intimated to Page 4 of 7
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the petitioner about withholding an amount of Rs.5,84,266/- due to the summons served on the third respondent in O.S.No.178 of 2021. The Corporation is ready to release the withheld amount of Rs.5,84,266/- on closure of the said suit or on the direction of this Court.
6.With the above directions, this Writ Petition is disposed of. No costs.
12.09.2024
vkr Index : Yes / No
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W.P.No.15817 of 2022
Speaking order / Non-speaking order
Note: Issue order copy on 13.09.2024
To
VIVEK KUMAR SINGH, J.
vkr
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W.P.No.15817 of 2022
W.P.No.15817 of 2022
12.09.2024
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2 issues framed by the court
Whether LIC could withhold Rs.5,84,266 from terminal benefits due to a pending money recovery suit against the retired Development Officer.
What directions should govern release of the withheld terminal benefits and the employer's role in the pending suit.
1 provisions across 1 enactments
Baladhandayutham
The Senior Divisional Manager, LIC of India, Vellore Divisional Office
The Manager (E&OS), LIC of India, Vellore Divisional Office
The Chief Manager, LIC of India, Pondicherry Branch Office-1
Vivek Kumar Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
