SHRI ASHOK KUMAR Vs. NORTH DELHI POWER LTD

JUDGEMENT

(1.) Petitioner, by this writ petition, seeks direction for release of his terminal benefits which were payable on his retirement from the respondent No. 1/North Delhi Power Ltd. (now known as Tata Power Delhi Distribution Ltd.) on 31.10.2011. The only ground on which payment of terminal benefits was withheld was that a criminal case was pending against the petitioner under the Prevention of Corruption Act and the connected relevant provisions of Indian Penal Code, 1860. The issue in the present case as to entitlement of an employer to withhold the terminal benefits such as gratuity and/or pension is covered by a recent judgment of the Supreme Court in the case of State of Jharkhand and Ors. Vs. Jitendra Kumar Srivastava and Anr. in Civil Appeal No. 6770/2013 decided on 14.8.2013. In the case of Jitendra Kumar Srivastava Supreme Court has said that terminal benefits such as pension and gratuity are not a bounty. Supreme Court has further held that such benefits cannot be taken away as per Article 300A of the Constitution of India without following the due procedure of law. Supreme Court has further held that merely because a criminal case or departmental proceedings are pending against an employee, terminal benefits cannot be withheld and can only be withheld when there is a finding of grave misconduct against the employee.