BALLARPUR INDUSTRIES LIMITED Vs. STATE OF ORISSA

JUDGEMENT

(1.) This appeal is against a judgment dated 7-4-1995, by which the appellant has been directed to pay arrears of salary of the 4th respondent for the period from 15-12-1981 to 2-8-1989.

(2.) Briefly stated the facts are as follows: The 4th respondent was working as a Chief Welfare Officer under the 3rd respondent Corporation. His services were terminated by an order dated 15-12-1981. The 4th respondent preferred an appeal to the State Government invoking its jurisdiction under the third proviso to Rule 6 (iv) of the Orissa Welfare Officers (Recruitment and Conditions of Service) Rules, 1970. After hearing parties the State Government set aside the order of termination and directed reinstatement of Respondent 4. The 3rd respondent Corporation then insisted that reinstatement could be given effect to with effect from the date of the appellate order and not from the date of order of termination. The 4th respondent then filed a writ petition in the High Court of Orissa. The High Court directed that the 4th respondent was to be allowed to continue in the post of Chief Welfare Officer forthwith. The 4th respondent, therefore, joined the service on 26-7-1989. The 4th respondent was still not paid his arrears of salary as the 3rd respondent had been declared sick under the provisions of the Sick Industrial Companies (Special Provisions) Act, 1985. Therefore, the arrears could not be paid until BIFR took a decision in the matter.

(3.) Bifr sanctioned a scheme on 21-12-1990. Under this scheme Mill No. 3 i. e. the mill where Respondent 4 was working, was purchased by the State of Orissa. Respondent 3 then intimated the 4th respondent that the State of Orissa, after the purchase of Mill No. 3, had sold it to the appellants. The 4th respondent was informed that all liabilities would now be met by the appellants.