TOPIC- Retiral Dues (Sham Singh v. Govt. Of India through Secretary)
Through this analysis, the author will try to understand the power of the court with respect to issuing orders guiding the functioning of other authorities. This analysis will provide an in-depth assimilation of the extent of the power the courts enjoy in such cases. It will also highlight the importance of reason of delay in case of delay by an authority. Lastly, with the help of the various points in the judgement of this particular case, this analysis will explain the concept of delay in movement of work by authorities and how the court can intervene in those cases.
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Facts
The present Original Application has been filed by the applicant Sham Singh seeking quashing of the order dated 9.7.2019 (Annexure A-2) whereby it is held that there was no deliberate delay on the part of the respondents in releasing retiral dues to the applicant. The applicant has also sought consideration of demand as given in legal notice dated Nil (Annexure A-4). The applicant was appointed as Insect Collector in temporary capacity in 1982. He was appointed as Junior Technician in the respondent department in 1987 and he retired on 31.12.2018. In the O.A., the applicant has stated that all his retiral dues namely DCRG, commuted value of pension, leave encashment and CGEIS were paid in June 2019 and GPF was paid on 29th May, 2019. Thus, there was a delay of 5 – 6 months in payment of these dues as per the chart given in para 4 (ii) (B) of the O.A. The applicant represented on 3.7.2019 (Annexure A-1) demanding interest on delayed payment. However, the respondents have conveyed vide letter dated 9.7.2019 (Annexure A-2) that there was no deliberate delay on their part. The applicant sent legal notice dated Nil (Annexure A-4).
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In response, he received a letter dated 22.7.2019/31.7.2019 (Annexure A-3) stating that the work of all offices of the Ministry of Health & Family Welfare was stopped due to technical problem in PFMS Module from 5.12.2018 to the end of February 2019. The applicant sent legal notice dated Nil (Annexure A-4). It was replied to by the respondents vide letter dated 11.10.2019. However, one staff member, Smt. Kawaljit Parihar, made a complaint against the applicant stating that there was an audit para regarding incorrect pay fixation of the applicant which was required to be clarified whether any recovery on this account was required before sanctioning the pensionary benefits.
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Therefore, the matter was referred to Audit Department to drop the para. Despite pursuing the matter with the audit department through letters and personal visits, the issue remained unsettled. It was then decided to process the pension papers of the applicant. The hard copies of the pension papers were submitted to the PAO on 11.12.2018 by hand to avoid delay. However, the respondents at the same time decided to change over from manual submission of retirement documents to electronic submission through Bhavishya Portal (Pension Portal). Due to unfamiliarity with the new portal the papers could be uploaded electronically only on 7.12.2018. Authority letters for gratuity and payment of commutation were received in March 2019 (Annexure R-1 and R-2). So PPO was generated in March 2019 and dispatched from PAO vide letter dated 25.3.2019. Thereafter the bills were prepared and dispatched to PAO for release of payments on 29.3.2019 (Annexure R-3).
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However, these were returned back on 15.4.2019 (Annexure R-4) with the remarks that PFMS sanction for the current financial year is required. Promptly the same exercise was again repeated and new payment bills of retiral dues were sent to PAO again on 26.4.2019. The respondents have reiterated that unfortunately the work of all the offices of Ministry of Health & Family Welfare (all PAOs & DDOs) was stopped due to some technical problem in PFMS Module from 5.12.2018 to end of February 2019. In view of the above, the respondents have concluded that there was no undue delay on the part of the respondents in releasing the retiral dues to the applicant. Whatever delay happened was beyond their control. The applicant was not harassed nor treated in discriminatory manner at any stage and the retiral dues were settled as early as possible. They have also concluded that the applicant is not entitled for interest as his case could not be finalized due to unforeseen circumstances beyond the control of the respondents.
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Issues Involved
(a) Whether the cause of delay can be used as a defence?
Rules and Laws
A.S. RANDHAWA SUPDG. ENGINEER VS. STATE OF PUNJAB & OTHERS, 1997 (3) SCT 468, in which it has been held that pension and gratuity are valuable rights and property in the hands of the retired employees and any culpable delay in settlement and disbursement thereof must be visited with penalty of payment of interest at the current market rate till actual payment.
Findings of Court
The court held that, the applicant is not entitled for any interest on delayed payment of retiral benefits. The O.A. is, therefore, dismissed being without any merits, as the reasons stated for the delay were valid and beyond the control of the authority.
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Conclusion
In conclusion, we can say that, in such cases where the core of the case focuses on the fact that the court has the power to direct an authority to provide a judgement in case of delay. However when such a delay is on valid and unavoidable grounds then the courts also have the power to take the authorities put of any payment of interest. This power is extremely crucial as it provides a system of checks and balances over the authorities.
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This post is written by Aparna Tripathy.
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