KARNATAKA STATE ROAD TRANSPORT CORPN. Vs. DY. LABOUR COMMISSIONER AND THE APPELLATE AUTHORITY, BENGALURU

JUDGEMENT

(1.) The Corporation filed the present writ petition for a writ of certiorari to quash the order dated 7.1.2010 passed by the 2nd respondent and the order dated 31.7.2013 passed by the 1st respondent/Appellate Authority, as per Annexures-C and D respectively.

(2.) It is the case of the petitioner Corporation that the 3rd respondent joined the services of the Corporation as a conductor on 15.9.1983 and he retired from service on 30.6.2007. The 3rd respondent served in the Corporation for 22 years 6 months 25 days. The gratuity payable to the workman as per the Regulation is Rs.1,96,378.00 (basic pay x number of years service i.e., Rs.8,728.00 x 22 years 6 months). It is further case of the petitioner that the 3rd respondent availed loan of Rs.53,000.00 from KSRTC Employees Credit Cooperative Society. On the date of retirement the workman was due a sum of Rs.26,900/ to the said Society. The workman executed a letter of undertaking authorizing the Corporation to deduct the said amount from the gratuity payable to him towards the loan availed by him in terms of Annexure-A. Accordingly, a sum of Rs.26,900.00 was deducted from the gratuity payable and paid towards loan as per Annexure-B. It is the further case of the petitioner that out of Rs.2,07,290.00 awarded by the 2nd respondent towards gratuity taking service of the workman as 23 years 9 months, the Corporation has already paid Rs. 1,71,113.00. Accordingly, as per the order passed by the 2nd respondent/Controlling Authority dated 7.1.2010, the Corporation is liable to pay Rs.36,177.00 with interest at 10% per annum from 1.8.2007.

(3.) Aggrieved by the said order of the 2nd respondent/Controlling Authority, the petitioner filed appeal before the 1st respondent who by the impugned order dated 31.7.2013 allowed the appeal of the corporation only insofar as it relates to rate of interest and reduced the rate of interest from 10% to 6% from the date of petition till the date of deposit. Therefore, the present writ petition is filed on the ground that both the authorities below have not taken into consideration the loan amount of Rs.26,900.00 paid by the Corporation in terms of Annexures-A and B.