IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.N.RAVINDRAN WEDNESDAY, THE 8TH JUNE 2011 / 18TH JYAISHTA 1933 WP(C).No. 35999 of 2007(I) -------------------------- PETITIONER(S): --------------- THE CANNANORE CO-OPERATIVE SPINNING MILLS LTD., P.B.NO.205, P.O.CHOVVA, KANNUR - 6 REP. BY ITS MANAGING DIRECTOR, T.SUKUMARAN NAIR. BY ADV. SRI.E.K.NANDAKUMAR SRI.A.K.JAYASANKAR NAMBIAR SRI.K.JOHN MATHAI SRI.P.BENNY THOMAS SRI.ANIL D. NAIR RESPONDENT(S): --------------- 1. C.RAVINDRAN, S/O.V.K.KANNAN NAIR, NIJISHA NIVAS, CHIRAKKUTHAZHE, P.O.KIZHUNNA, KANNUR - 670 007. 2. THE CONTROLLING AUTHORITY UNDER THE PAYMENT OF GRATUITY ACT (DISTRICT LABOUR OFFICER) KANNUR - 670 002. BY ADV. SRI.P.NARAYANAN FOR R1 BY GOVT. PLEADER SRI.P.M.MANOJ. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 08/06/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: APPENDIX IN W.P.(C) No.35999 of 2007 EXT.P1 TRUE PHOTOCOPY OF THE BALANCE SHEET AND PROFIT AND LOSS ACCOUNT OF THE PETITIONER FOR THE PERIODS 1ST APRIL 2006 TO 31.3.2007 EXT.P2 TRUE PHOTOCOPY OF THE APPLICATION FOR GRATUITY GC.212/2005 DATED 30.10.2005 FILED BY THE FIRST RESPONDENT. EXT.P3 TRUE PHOTOCOPY OF THE WRITTEN STATEMENT DATED 7.5.2006 BY THE PETITIONER IN GC. NO.212/2005 EXT.P4 TRUE PHOTOCOPY OF THE ORDER IN GC.NO.212/2005 DT. 9.5.2007 PASSED BY THE SECOND RESPONDENT. EXT.P5 TRUE PHOTOCOPY OF THE REQUEST GIVEN BY SRI.P.JAYARAJAN DT. 22.9.2007 EXT.P6 TRUE PHOTOCOPY OF THE RECEIPT ISSUED BY SRI.P.JAYARAJAN DT. 27.9.2007 //TRUE COPY/ P.A. TO JUDGE. P.N. RAVINDRAN, J. ------------------------------- W.P.(C) No.35999 of 2007 ------------------------------- Dated this the 8th day of June, 2011 J U D G M E N T Ext.P4 order passed by the Controlling Authority under the Payment of Gratuity Act, 1972 directing the petitioner to pay to the first respondent herein the sum of Rs.76,118/- as gratuity together with interest thereon at 10% per annum with effect from 31.12.2004 is under challenge in this writ petition. The main contention raised in the writ petition is that the petitioner's industrial unit was running at a loss and therefore gratuity could not be paid in time. It is stated that this fact was known to the workers and though gratuity was offered without interest to the first respondent, he did not turn up and therefore the petitioner cannot be mulcted with the liability to pay interest. 2. A learned single Judge of this Court has by judgment delivered on 23.5.2008 in W.P.(C) No.32557 of 2007 and connected cases filed by the very same petitioner held that the direction to pay interest, which is statutory in nature cannot be interfered with. The learned single Judge however, granted the petitioner two months' time from the date of the judgment to pay the interest portion. In such circumstances, I dispose of the writ petition with the following direction. W.P.(C) No.35999 of 2007 2 The petitioner shall pay the principal amount of gratuity in terms of Ext.P4 order to the first respondent within one month from today. The interest payable to the first respondent on the principal amount of gratuity shall be paid within two months thereafter. P.N. RAVINDRAN, JUDGE. nj.