STATE OF GUJARAT Vs. V.K. SHAH

JUDGEMENT

(1.) THE State and its authorities have filed this appeal under Clause 15 of the Letters Patent to the limited extent of challenging the judgment dated 17.12.2013 passed by the learned Single Judge insofar as the learned Single Judge has while directing the appellants to consider and grant first higher grade pay scale to the respondent, ordered to pay interest at the rate of 6% on the benefits of higher grade scale.

(2.) WE have heard learned advocates for the parties.

(3.) AS against the above arguments, learned advocate Mr. Vaibhav Vyas for the respondent submitted that the delay caused in not releasing the benefit of higher grade scale to the respondent was not for any fault on the part of the respondent but the appellants did not release such benefits for very long time though the respondent had become entitled for such benefits right from the year 1995. Mr. Vyas submitted that by virtue of the policy for higher grade scale, right had accrued to the respondent to receive such benefits on completion of 9 years in service in the same cadre. Mr. Vyas submitted that if after long time, it is found that the employee is entitled to such benefits which are withheld by the Government authorities, the concerned employee is certainly entitled to such benefits with interest otherwise the very purpose of granting such benefits will be frustrated. Mr. Vyas submitted that since the respondent was entitled to such benefits right from 1995 onwards and since such benefits were retained by the appellants till the criminal proceedings were ended in acquittal, the appellants will be under obligation to release such benefits with interest. Mr. Vyas submitted that it is on account of the proceedings initiated by the appellants against the respondent, the respondent could not get such benefits and therefore, the appellants were responsible for delay in release of such higher grade scale benefits. Mr. Vyas submitted that when the petition was admitted by the learned Single Judge vide order dated 27.2.2008, it was clearly provided therein that if the respondents will ultimately be held entitled to the benefits of higher grade scale, payment would be made to him with bank rate interest from the date he is held entitled for such benefits. Mr. Vyas submitted that in such view of the matter, the learned Single Judge has committed no error in ordering payment of higher grade scale with interest at the rate of 6% in favour of the respondent. He thus urged to dismiss the appeal.