IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 30TH JUNE 2009 / 9TH ASHADHA 1931 WP(C).No. 1521 of 2005(F) ------------------------- PETITIONER: --------------- SRI.CHACKO VARGHESE, PUTHEN PARAMBIL KOOTAMPARA P.O., AMARAMBALAM, POOKKOTTUMPADAM VIA., MALAPPURAM DIST.-679 332. BY ADV. SRI.A.J.JOSE(AEDAIODI) RESPONDENT(S): --------------- 1. THE WELFARE FUND OFFICER, THE KERALA AGRICULTURAL WORKERS WELFARE FUND BOARD DIVISIONAL OFFICE, MALAPPURAM. 2. STATE OF KERALA, REP. BY THE CHIEF SECRETARY, GOVT.SECRETARIAT, THIRUVANANTHAPURAM. 3. THE KERALA AGRICULTURAL WORKERS WELFARE FUND BOARD, REPRESENTED BY ITS SECRETARY, GOVERNMENT SECRETARIAT, THIRUVANANTHAPURAM. ADV. SRI.K.M.SATHYANATHA MENON FOR R1 GOVERNMENT PLEADER SRI.K.SANIL KUMAR FOR R2 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 30/06/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).1521/05 APPENDIX PETITIONER'S EXHIBITS:- EXT.P1:-TRUE COPY OF MEMBERSHIP CARD NO.10/4/118/1588 ISSUED TO THE `` PETITIONER. EXT.P2:-TRUE COPY OF IDENTITY CARD ISSUED BY 1ST RESPONDENT. EXT.P3:-TRUE COPY OF REMITTANCES MADE BY THE PETITIONER WITH A ROUND SEAL SHOWING PAYMENT OF LAST AND FINAL SETTLEMENT. EXT.P4:-TRUE COPIES OF POSTAL ACKNOWLEDGEMENT CARDS RECEIVED FROM (SERIES) THE OFFICES OF THE CHIEF MINISTER, DISTRICT COLLECTOR AND 1ST RESPONDENT. EXT.P5:-TRUE COPY OF PETITION DT.14.10.2004 FILED BEFORE THE HIGHT COURT LEGAL SERVICE COMMITTEE EXT.P6:-TRUE COPY OF REPLY DT.10.11.04 ISSUED BY 1ST RESPONDENT OT THE SECRETARY, HIGH COURT LEGAL SERVICE COMMITTEE, KOCHI. RESPONDENT'S EXHIBITS:- NIL okb //True Copy// P.A. to Judge C.K.ABDUL REHIM, J. ------------------------------ W.P.(C)No. 1521 OF 2005 ------------------------------ Dated this the 30th day of June, 2009 J U D G M E N T ---------------------- 1. The petitioner is an agricultural worker who got registration under the “Kerala Agricultural Workers Welfare Fund Scheme”, with Membership No:10/4/118/1588. He had remitted contributions payable to the Fund constituted under the Scheme from the year 1997 onwards till 2003, as evidenced by Ext.P3. As per the provisions of the Scheme, on attaining superannuation at the age of 60 years, the petitioner is entitled to get retirement benefits. Since the petitioner was not granted with such benefits within any reasonable time after his attaining superannuation, he submitted representations before various authorities, including the Legal Service Committee of this Court. To a query made by the Legal Service Committee, the first respondent replied that the petitioner's application for retirement benefits was received as early as on 21.1.2004, but the benefits could not disbursed because a good number of applications received earlier are pending disposal. It is stated that benefits with respect to applications received till December 2000 is at present being disbursed, and there are about 4000 W.P.(C).1521/05 2 cases pending settlement having priority than the petitioner's application. It is further stated that the benefits are disbursed based on availability of funds. 2. In the counter affidavit of the Government, it is contended that disbursal of benefits under the Scheme is delayed only due to paucity of funds. It is alleged that the workers are also responsible for the situation, because they are committing default in regular payment of contributions. It is stated that in Malappuram District 5122 applications received prior to the petitioner's claim are pending disposal. However it is conceded that the Board is liable to pay a total sum of Rs.5000/- as superannuation benefit to the petitioner. The contention in the counter affidavit is that there is no correlation between the fund collected under the Scheme with the amount to be disbursed as benefits, under the present structure of the Welfare Scheme. It is stated that a huge amount of about Rs.67 lakhs is required to settle the pending claims of superannuation benefits. The Board has to disburse the benefits due to the workers mainly out of the contributions of the workers themselves. 3. On an anxious consideration of the situation based on the contention of the respondents, it is evident that this is typical W.P.(C).1521/05 3 case, which is an eye-opener to the callous manner in which various welfare legislations introduced in the un-organised sector of workers in the State are being implemented. The objective of such legislations are aimed at providing social security measures to workers in the scattered section, in industries where no permanent employer-employee relationship exists. The schemes framed under such welfare legislations and the Funds constituted thereunder are intended for augmentation of funds from employers and from other sources, to provide various social security benefits to the workers, who are mainly scattered and un-organised. If the scheme is worked out in such a manner so as to provide benefits to the workers from the funds augmented through contributions received from the workers themselves, the very object, purport and ambit of the legislation and the Scheme itself will become meaningless and it will be a fallacy shown to the poor workers who belong to the downtrodden sector of community. 4. Going by the provisions in the Agricultural Workers Act 1974, it is evident that establishment of the “Welfare Fund” under the “Welfare Fund Scheme” is intended for providing benefits to the Agricultural workers. Section 9 of the Act deals with contributions to the Fund, which reads as follows:- W.P.(C).1521/05 4 “ 9. Contributions to the Fund: (1) Every land owner holding more than half a hectare but less than one hectare in extent of agricultural land shall pay contribution to the Fund at the rate of rupees ten per annum for the land held by him and those holding one hectare and in excess thereof in extent of agricultural land shall contribute fifteen rupees per annum per hectare of land or part thereof held by him in the manner prescribed. (2) Every registered agricultural worker shall pay contribution to the Fund at the rate of two rupees per mensem. (3) Any loan, grant or advance made by the Government of India, the State Government, a local body, or any other institution shall be credited to the Fund. The loan, grant or advance made by any authority or institution shall be utilised for no purpose other than the purpose for which it was given.” From the above, it is clear that major resource of the fund is out of contributions payable by the land owners of agricultural land, and also from loans, grants or advances to be made by the Government. Clause 26 (mistake in numbering occurred in KG Ex.No:678 dt:5.7.90 the number of the clause ought to have been 28 instead of 26) of the 'Kerala Agricultural Workers' Welfare Fund Scheme 1990', prescribe procedure for collection of the fund. With respect to collection of contributions from the land owners, clause 26(5) provides as follows:- “26. (5) Every landowner as mentioned in sub- W.P.(C).1521/05 5 section (1) of Section 9 of the Act shall remit the contribution in the Village Office concerned and the Village Officer shall receive the amount and issue receipts in the form as may be prescribed by the Board, for the purpose. The Chief Executive or the Officers authorised by the Chief Executive in this behalf shall collect, after giving proper acknowledgement on the 5th working day of the succeeding month, such amount from the Village Officer and he shall credit the same to the Fund.” 5. It is noticed that, as per definition of 'agricultural land' in Section 2(d) of the Act, the plantations as defined in the Plantation Labour Act 1951, is outside its purview for the purpose of the Act. Therefore it is evident that every holder of agricultural land in the State, other than plantations, are liable for payment of contributions to the fund, if he holds land having extent of more than half a hectare. It is obligatory on the part of the Village Officers to collect such contributions and to transfer the amount to the 'fund' through the Chief Executive or through persons authorised by the Chief Executive of the Welfare Fund Board. Further it is for the Government to contribute by way of loans, grants or advances to the Fund, as contemplated under the scheme of the Act. Being a welfare State it is obligatory on its part to provide financial assistances in order to achieve the object of such welfare legislations. 6. Under the above context, the attempt of the W.P.(C).1521/05 6 Government to find fault with the workers for justifying non- payment of superannuation benefits even after 6 years of their retirement, is highly condemnable. From the conspicuous silence in the counter affidavit about collections received or to be received from the land owners, and about any grants, loans or advances received from the Government, it can easily be inferred that the authorities concerned are not taking any conscious effort to make up the deficits in the Fund by accelerating collection from such resources. It is pertinent to note that all expenses required for administration of the fund like, salary and other benefits to its employees, all allowances and amenities provided to the Chairman and members of Board etc; is being expended out of the collections received in the fund. If such expenses are also to be met out of the contributions collected from the workers who are members in the Scheme, it will result in great injustice and deceit to the workers. 7. Under the above circumstances positive action from the authorities in the Government and in the Welfare Board, to augment funds by ensuring effective collection of the contributions due from land owners, is to be ensured. So also the Government in its wisdom should bestow urgent attention to the issue, and should think of providing grants, loans or W.P.(C).1521/05 7 advances to mitigate the deficit in the fund and in order to ensure prompt payment of the superannuation benefits due to the retired members of the Scheme. 8. Therefore the Secretary to Government, Labour and Rehabilitation Department, State of Kerala, is hereby directed to issue urgent executive orders to all Village Officers in the State directing effective time bound steps for collection of arrears of contributions due to Kerala Agricultural Workers Welfare Fund from the land owners of agricultural land, and to remit such collections to the authorities of the Welfare Fund Board. He shall further make necessary arrangements for having correlation between the officials of that Department and the Chief Executive of the Welfare Fund Board at the State level to monitor progress of such collections from each District on a periodic basis and to pursue necessary actions for expediting such collection. The Government is also directed to take decision on the possibility of making contribution to the fund by way of loans, grants or advances, in view of the provisions contained in the Act, in order to enable disbursal of the long pending arrears of superannuation benefits due to the members of the Welfare Fund. 9. Petitioner in this case is now aged 66 years. He W.P.(C).1521/05 8 retired from membership in the year 2003 and applied for the superannuation benefit about 5½ years back, exactly on 21.1.2004. The amount due for payment is Rs.5,000/- only. Under such circumstances the 1st respondent is hereby directed to disburse the amount to the petitioner within one month from the date of receipt of a copy of this Judgment. 10. The Registry of this Court will forward a copy of this Judgment to the Secretary, Labour and Rehabilitation Department, State of Kerala, for information and follow up actions. The writ petition is disposed of as above. C.K.ABDUL REHIM, JUDGE. okb