LOK NATH DUTT Vs. SIVA ELECTRONICS

JUDGEMENT

(1.) Lok Nath Dutt, plaintiff has filed the present suit for the recovery of Rs.1,50,000.00 against the defendants. The wife of the plaintiff is the sister of defendant no.2. Despite their close relationship there is a prolonged litigation.

(2.) The facts alleged are that plaintiff was appointed as General Manager by defendant no.2 who was the then proprietor of business Shiva Electronica. This was with effect from 7/03/1973. The monthly salary fixed was Rs.2,000.00 together with Rs.300.00 and Rs.200.00 per month towards house rent and conveyance allowance. Plaintiff contends that he was entitled to increment of Rs.200.00 per annum subject to maximum salary of Rs.3,400.00 per month. Subsequently it was converted into a partnership business and plaintiff continued to serve the said partnership. During the course of the civil suit it transpired that on 28th October, 1978 the partnership concern had been taken over by Shiva Electronica India; (Pvt.) Ltd, a company incorporated under the Companies Act, 1956 and it was also arrayed as defendant no.3,

(3.) It is further asserted that plaintiff had been assured that he would continue in service till he completes the age of 60 years. In course of the dealings between the parties defendants 895 paid to the plaintiff bonus as was done to the other employees which is generally 20% of the amount. He was also granted the increments. The grievance of the plaintiff has been that by a letter of 15/06/1978 the defendants wrongfully and in breach of the said agreement terminated the services of the plaintiff and in all offered Rs.9,200.00 in full and final settlement of the dues. The plaintiff contended that because of the wrongful acts of the defendant and by depriving him of his salary and other benefits, he has suffered a loss of Rs.3,04,120.00 but confined his relief to Rs.1,50,000.00. In this amount so claimed, the plaintiff has asserted that he is entitled to annual increments which have not been paid. Salary, bonus and further salary upto the age of 60 years because his services have been terminated wrongly besides gratuity.