NORTHERN COALFIELDS LTD Vs. M K SHARMA

JUDGEMENT

(1.) Heard.

(2.) By this petition under Article 226 of the Constitution of India petitioner calls in question the correctness of order dated 31-05-2011whereby, the Appellate Authority, Payment of Gratuity Act, 1972, dismissed the appeal preferred by the petitioner. Appeal by the petitioner was directed against the order dated 21-12-2010 whereby, the Controlling Authority in exercise of his powers under sub-section (4) of section 7 of the Act of 1972 held the respondent entitle to receive Rs. 10,00,000/- towards gratuity amount along with the interest thereon @ 10% per annum till date of payment.

(3.) The entitlement of respondent to receive the amount of gratuity [on his superannuation on 30-11-2009 as Chief Engineer(Excavation)] was disputed by the petitioner. It was stated that while working as Chief Engineer (Excavation) he was charge sheeted on 22-06-2009 and 29-11-2009. Vide memorandum dated 22-06-2009 the respondent No. 1 was charged that by recommending pardon to Shri Lalbabu Shah, General Majdoor (Cat.-I trainee), Jhingurda Project, who had submitted false statement during his appointment to the effect that he had neither been prosecuted nor any police case was pending against him, the respondent failed to maintain absolute integrity, devotion to duty and has shown negligence in performance of duty, conducted himself in a manner prejudicial to the reputation of the company and indulged in an act which is unbecoming of a public servant and acted in contravention of rule 4.1(i), 4.1(ii), 4.1(iii), 4.1(iv) of CDA Rules 1978 (i.e. Conduct Discipline & Appeal Rules, 1978) of Coal India Limited, which constitute misconduct under Rule 5.1, 5.5 & 5.9 of the said Rules. Similar allegations were there vide memorandum dated 29-11-2009 whereby, the charges were relating to favour extended to certain companies by the respondent No. 1, who was posted at Nigahi Project as Staff Officer (Excavation). Since the departmental enquiry against the respondent No. 1 was pending on the date when he superannuated i.e. 30-11-2009, it became the cause for non-disbursement of amount towards gratuity, as per clause 34.2 and 34.3 of the CDA Rules. Controlling Authority upholding the entitlement of respondent No. 1 to receive the amount of gratuity even during pendency of the departmental enquiry also awarded simple interest @ 10% per annum on payable gratuity amount, till the date of actual payment of gratuity i.e. Rs.82,740/- till the date of orders and thereafter Rs. 273.97 per day till the date of actual payment of gratuity.