D RANI Vs. MANAGEMENT INDIAN DRUGS AND

JUDGEMENT

(1.) APPELLANTS were the writ petitioners in Writ Petition No. 7557 of 1984. Appellants 1 to 7 are the legal representatives of some deceased employees of the respondent-management. They sought a writ of mandamus to direct the respondent-management to release and settle the withheld payments of death benefits due to them as dependents of the deceased employees, and to pay an amount of Rs. 10,000 each together with interest thereon at the rate of 12 per cent annum calculated from the due date. The writ petition was resisted and by judgment dated 14th December, 1984, the learned single Judge dismissed the writ petition. Hence this appeal.

(2.) THE facts are not in dispute. Seven employees viz. , (1) Shanmugam (2) G. Kulandaiswamy (3) R. Selvanathan (4) R. Mariappan (5) Sambandam (6) C. Chellappan and (7) Md. Usman died while in the service of the management-respondent on 26th June 1977, 8th May 1982, 30th October 1983, 2nd October 1983, 27th December 1983, 30th August 1983 and 1st October 1983 respectively.

(3.) WHILE the employees were in the service of the respondent-management which is a Government-owned Undertaking, a scheme was introduced called "the Group Life Insurance" in April 1977. Under the scheme all employees of the management-respondent who contributed to the provident fund were to join the scheme and that was treated as a condition of service for the future employees also. Under the scheme each of the employees was assured for a sum of Rs. 10,000. Rules were framed for the working of the Group Insurance Scheme. Some of the relevant clauses of the Rules require a notice at this stage.