Madras High CourtWP/25490/2016dismissed

The Management, v. The Appellate Authority,

2016-07-26Honourable Mr Justice N. Kirubakaran4 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 26.07.2016

CORAM:

THE HONOURABLE MR.JUSTICE N.KIRUBAKARAN W.P. Nos.25490 to 25501 of 2016 and WMP Nos.21831 to 21854 of 2016 The Management, Tamilnadu State Transport Corporation (Salem) Ltd., 12, Ramakrishna Road, Salem - 636 007.

Rep.by its General Manager ... Petitioner in all WPs Vs.

1.The Appellate Authority, (Under the Payment of Gratuity Act, 1972) The Joint Commissioner of Labour, Coimbatore.

2.The Controlling Authority, (Under the Payment of Gratuity Act, 1972) The Assistant Commissioner of Labour, Office of the Deputy Commissioner of Labour, Salem.

... Respondents 1 & 2 in all WPs P.N.Palanivelu ... 3rd Respondent in WP.25490/2016 S.Chandran ... 3rd Respondent in WP.25491/2016 H.Ghouse Khan ... 3rd Respondent in WP.25492/2016 N.Ramadurai ... 3rd Respondent in WP.25493/2016 Tmt.B.Santhi ... 3rd Respondent in WP.25494/2016 K.Govindaraj ... 3rd Respondent in WP.25495/2016 R.Rajamani ... 3rd Respondent in WP.25496/2016 K.Subramani ... 3rd Respondent in WP.25497/2016

V.Gunasekar ... 3rd Respondent in WP.25498/2016 M.Baskaran ... 3rd Respondent in WP.25499/2016 Tmt.Seethalakshmi ... 3rd Respondent in WP.25500/2016 R.Devarajan ... 3rd Respondent in WP.25501/2016 Prayer in W.P. Nos.25490 to 25501 of 2016 : Writ petitions filed under Article 226 of the Constitution of India for issue of writ of certiorari calling for the records of the order of the 1st respondent, the Appellate Authority (Under the Payment of Gratuity Act, 1972), the Joint Commissioner of Labour, Coimbatore made in AGA Nos.61 of 2014, 58 of 2014, 57 of 2014, 54 of 2014, 194 of 2014, 59 of 2014, 198 of 2014, 197 of 2014, 10 of 2015, 13 of 2015, 213 of 2015 & 196 of 2015 respectively dated 25.07.2014, 01.09.2014, 01.09.2014, 29.10.2014, 26.08.2014, 01.09.2014, 28.10.2014, 28.10.2014, 22.06.2015, 22.06.2015, 28.10.2014 & 28.10.

2014 respectively and the order passed by the 2nd respondent, the Controlling Authority (Under the Payment of Gratuity Act, 1972), The Assistant Commissioner of Labour, Salem made in P.G.Nos.63 of 2012, 54 of 2012, 34 of 2012, 74 of 2012, 29 of 2013, 26 of 2012, 44 of 2012, 34 of 2013, 80 of 2013, 81 of 2013, 33 of 2013 & 35 of 2013 respectively dated 11.03.2013, 29.08.2013, 04.01.2013, 28.06.2013, 31.10.2013, 04.01.2013, 03.12.2013, 03.12.2013, 12.08.2014, 12.08.2014, 30.08.2013 & 03.12.2013 respectively and to quash the same.

For Petitioner : Mr.P.Paramasivadoss in all WPs For R-1 & R-2 : Mr.V.Jayaprakash Narayanan in all WPs Special Government Pleader COMMON ORDER By consent, all these Writ Petitions are taken up for final disposal at the admission stage itself.

2. The Transport Corporation is before this Court challenging the order of the second respondent granting interest for the delayed payment of gratuity to the respective third respondents, as confirmed by the first respondent.

3. The third respondent in all these writ petitions have joined the services of the Transport Corporation on various dates and they retired on various dates. On their retirement, the respective third respondent workmen were paid gratuity for their respective services rendered by them. However, the respective third respondents approached the second respondent, the Controlling Authority (Under the Payment of Gratuity Act, 1972) / The Assistant Commissioner of Labour, Salem for grant of interest on delayed payment of gratuity under Section 4 of the Payment of Gratuity Act, 1972. After enquiry, the second respondent fixed 10% interest for the delayed payment for the period from the date of retirement till the date of payment. Aggrieved over the same, the petitioner filed appeals before the first respondent who confirmed the order of the second respondent except deducting one month's interest, as the petitioner has got one month's time limit for making the gratuity payment under Section 7 (3A) of the Payment of Gratuity Act, 1972. Those orders are being challenged before this Court.

4. Heard Mr.P.Paramasivadoss, learned counsel appearing for the petitioner.

5. It is an admitted fact that the respective third respondents retired long back and they were paid gratuity amount for their respective total services. When there is a delay in the payment of service gratuity, the said situation is covered by Section 4 of the Payment of Gratuity Act, 1972, by which the workmen is entitled to get interest on delayed payment. Taking note of the above said provision, the second respondent rightly allowed the claims of the respective third respondents. However, as per Section 7 (3A) of the Act, the petitioner has got thirty days time to make the payment of service gratuity amount. Therefore, one month's time was rightly deducted by the first respondent and the appeal filed by the petitioner was partly allowed.

6. In view of the above said circumstances, the order passed by the first respondent cannot be interfered with and the same is in accordance with law. The writ petition fails.

7. In the result, all these writ petitions are dismissed. No costs. Consequently, connected Miscellaneous Petitions are closed.

8. It is represented by the learned counsel for the petitioner that the petitioner had already deposited the entire interest amount, as per the order of the second respondent. Hence, the second respondent is directed to disburse the

interest on the delayed payment of service gratuity to the respective third respondents, within a period of four weeks from the date of receipt of a copy of this order, as per the order passed by the first respondent, i.e. after deducting one month's interest, which shall be refunded to the petitioner. Sd/- Assistant Registrar(CS VI) //True Copy// Sub Assistant Registrar rgr To 1.The Appellate Authority, (Under the Payment of Gratuity Act, 1972) The Joint Commissioner of Labour, Coimbatore.

2.The Controlling Authority, (Under the Payment of Gratuity Act, 1972) The Assistant Commissioner of Labour, Office of the Deputy Commissioner of Labour, Salem.

+1cc to Mr.P.Paramasivadoss, Advocate, S.R.No.42371 +1cc to the Government Pleader, S.R.No.42425 W.P. Nos.25490 to 25501 of 2016 CTR(CO) CA(17/08/2016)