BALBIR SINGH Vs. K S MEHRA

JUDGEMENT

(1.) By this petition, the petitioner has alleged deliberate violation of order dated 19th July, 2007 passed by this court in W.P. (C) No.219 of 1999. The operative part of the order reads as under :-

(2.) It is not disputed that the petitioner has been paid the arrears and other benefits including post retiral benefits along with 12 per cent interest as directed by this court, however, contention of the petitioner is that these arrears and other dues were paid in piecemeal manner and they were not paid within two months ' period and the interest was calculated by the respondents @ 12 per cent per annum simple interest. He states that the petitioner was entitled to compound interest and not simple interest. He relied upon K.L. Kohli Vs. Shri Prakash; W.P. (C) No.5303 of 2008 decided on 11th November, 2008 whereby this court noted as under :- "While allowing the above claim of the petitioner, the Tribunal awarded 12% interest. It was not made clear by the Tribunal whether the interest was 12% compounded or 12% simple." After noting of the position, the court noted as under in paragraph 9 :-

(3.) The petitioner also relied on H. Gangahanume Gowda Vs. Karnataka Agro Industries Corporation Limited, 2003 3 SCC 40 to press the point that in case of payment of gratuity under sub-Section 3A of Section 7 of Payment of Gratuity Act, it was mandatory for the employer to pay gratuity within time and to pay interest on delayed payment. The petitioner submitted that he was entitled to interest on gratuity in terms of provisions of Payment of Gratuity Act, 1972 and he was also entitled to further 12 per cent compound interest as awarded by the court. He also submitted that though the petitioner was facing an inquiry but the respondents had not followed the procedure of sealed cover, which was mandatory and to press this point, he relied upon Union of India Vs. K.V. Jankiraman, 1991 3 SCR 790.