y^ y PETITIONER HIGH COURT OF CHHATTISGARH : BILASPUR WRIT PETITION N0.1357 OF 20B6 Mohan Jute Mitls Ltd., through Fadory Manager. Sarangarh Road, Raigarh RESPONDENTS Versus 1. ^anak Ram, S/o Shri Patl Ram, Wo Nowa Para, Raigarh. 2. The Contrelling Authority, Paymant of Gratuity Act, Offlce of Assisiant Labour Commissioner, Raipur (CG). 3. The Appellate Authority, Payment of Gratuity Act, Offlce of Deputy Labour Commisisoner, Avann Vihar, Raipur (CG). 4. Cotlector, Raigarh, Collectorate, Raigarh. 5. Tehsildar, Raigarh, Dlstrict Ralgarh. (Writ petition under Article 226 of the Constitution of India) Single Bench : Hon'bteShri Satish K. Agnlhotri, JL Present: ShriPradeepSaxwia.counselfortiiepetiwner. Shri Parag Kotecha, counset forthe raspondertt No.1. ORAL CWIDER (Passed on th's 10th day of April, 2009) The tiacts, in nutshell, for disposal of tfie case, are ftat the respondent No.1, namely, Janak Ram, r^ired on 11-3-2003 on attaining the age of superannmtion from the petitloner - Jute Mlll. Respondent No.1 filed an apptic^on claiming grafaiity to the tune of Rs.37,366/- befbre the Controlling Authority under tto Payment of Gratuity Act, 1972 (henceforth •ttie Act, 1972') at Raigarh. The question before the Controtltng Authority, as raised by the present peUtioner, was as to whether the employee, i.e., the respondent No.1, was errtitted to gratuity for the period, which rsspondent No.1 has claimed aftera taps&of almost one yBar. The Controlling Authority, rejecting the objection of ttie patitioner, directed the petitioner herein to pay a sum of Rs.37,373/- as gratuityto the emptoyee, i.e., respondent No.1 herein, within a period of 30 cteys, vide order dated 31 -5-20)5. 2. Being aggrieved, the petitioner - Jute Mill flled an appeal before the Appellate Authorily under Section 7 of the Act, 1972, wherein the petitiwier specifically raised the dispute in ground No.2 ofthe appeal. 3. Second proviso to sub-section (7) of Section 7 of the Act, 1972 provides for deposit of an amount equal to the amount of gratuUy requlred t@ be deposited under sub-section (4) of SecUon 7 of the Act, 1972. Sub-secUon (4) of Sectten 7 of theAct, 1972 provides that in case of any dispute witti regard to the amount of graftiity, the employer shall deposit with the Controlling Authority such amount as the employer admite to be payable by it as gratuity. Sub-section <4) and sub- section (7) of SecUon 7ofthe Act, 1972 read asunder- "(4)(a) : Ifthere isany cBsputetothe amount of gratuity payable to an emptoyee under this Act or as to the admissibiiity of any ctaim of, or in reiation to, an employee for payment of gratuity, or as to the personentiUed to receive fce gratuity, fte empioyer shaii deposit with the controiiing authority such amount as he admits to be payable t^r him as gratuity. (b) Where there is a dispute with regard to any mattar or matters specffied in ctause (a), the emptoyer or employee or any other persori raising the dispute may make an appiicaffon to the controlling auttiority for deciding the dispute. (c) The controlling authority shall, after due inquiry and after giving the partles to the dispute a reasonabte opportunity of being heard, determine the instter or matters in dispute and if, as a result of such inquiry any amount isfound to be payabte to the employee, the controllmg authorily shall direct the empfoyer to pay such amount or.as the case may be, such amount as reduced by the amount alreacfy deposited by the empioyer. (d) The controlling authority shall pay the amount depositad, including the excess amount, if any, deposited by the employer, to ihe person entitied thereto. (e) As soon as may be after a deposit is nnade under clause (a), the confrolling auttiority shall pay the amourt of thedeposit- (i) to the applicant whare he is ttie employee; or (ii) where the applicant is not the employee, to the nominee or, as the case may be, flie guardian of such nominee or hew of the employee if the controiling authority is satisfied that thyre js no dispute as to the right of the applicant to receive ths amount of gratuify." "(7) : Any person aggrieved by an order under sub-section (4) may, within sisdy days from the date of the recefpt of tfte order, prefer an appeai to the appropriate Govemment or such other authorHy as may be specified by the appropriat® Government in this behalf: Provided that the appropriate Government or the appellate authority, as the case may be, may, if it is satisfied that the appetlant was prevented by sufficient cause from preferring the appeal within the said period ef sixty days, extend the said period by a further period ofsiiittydays: , Provlded further that no appeal by an employer shall be admitted unless at the time of preferring the appeal, the appellarrt eittier produces a certificate ofthe controiting authority to the effect that the appellant has <teposited with him ari amount equai to the amount of gratuity requiredto be deposited under sub-section (4), or deposite with the appellate authority such amount." 4. A bare reading of the above provisions makes it ctor thattf the amount of gratuHy payableis in dispute, the employer is required to depositsuchamount as .the employer admits to be payable by itas gratuity. In the fsc^s <rf the case, the petitloner hereln, i.e., the employer has already dlsputed thegtatuity amount aad has paid the amount which the petitioner admits to be pay^ile by itas gratuity. 5. In view of the clear provlsions of law and ttie facls of the case, the qspeal of the petitionet—JuteMill should not have been dismissed by the Appellate Authority on the groundof non-deposit of the required amount as persub-secBon (7)ofSection ZoffteAct, 1972. 6, Xhus, the order passed by the Appellate Authority is quashed and the Appellate Authority is directect to decide the matter <n accoRianc®wlth law, if the petitioner has deposited the amount as preseribed undw atb-sedion (^ of Section 7 read wtth second proviso to sub^ection (7) of Section 7 of the Act, 1972. 7. The petition is accordingly allowed. The mattsr is remittad to the Appellrte Authority for fresh disposal in accordance wtth law without beit^ Influencwl by an observation, if any made hereinabove. No order as to crets. Sowri Sd/- Sa^K,T! Judge ibotr1