P S E B PATIALA Vs. SUDARSHAN PRASAD

JUDGEMENT

(1.) THESE appeals are filed against the judgments of the Punjab & Haryana High Court in the following cases: <FRM>JUDGEMENT_320_TLPRE0_2006Html1.htm</FRM> THESE appeals involve a common question, as to protection of higher House Rent Allowance drawn upto 31.8.1988 by the employees of Punjab State Electricity Board, after the revision of such allowance with effect from 1.9.1998.

(2.) THE appellant is the Punjab State Electricity Board (hereinafter referred to as 'the Board'). THE respondents are/were the employees of the Board. At the relevant point of time, of Respondents, in these appeals, were posted in the towns of Doraha and Payal situated near Ludhiana. Upto 31.8.1988, the respondents were being paid HRA as applicable to Ludhiana city (class 'A' city) in view of the proximity of those towns (Doraha and Payal) to Ludhiana, as per Board's policy that employees posted in places which were within a radius of 8 km from the periphery of a Municipal Corporation were to be paid the same HRA as applicable to those employed in places within such Municipal Corporation limits.

(3.) IN view of different interpretations of the HRA orders by different offices, the State Government issued a clarificatory Circular dated 19.9.1990 (adopted by the Board by Finance Circular No. 25/1992 dated 29.5.1992), relevant portions of which are extracted below: