IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE HARUN-UL-RASHID THURSDAY, THE 24TH NOVEMBER 2011 / 3RD AGRAHAYANA 1933 WP(C).No. 28222 of 2011(C) ------------------------------------- PETITIONER(S): ----------------------- R.SASIKUMAR,SREE PADMAN,EDAMANA, PULINCHODU,VAIKOM PO, (SUPERINTENDENT, KERALA STATE ROAD TRANSPORT CORPORATION,RETIRED ON 31/12/2006 FROM ERNAKULAM). BY ADV. SRI.K.P.JUSTINE (KARIPAT) RESPONDENT(S): -------------------------- 1. THE KERALA STATE ROAD TRANSPORT CORPORATION,REPRESENTED BY ITS MANAGING DIRECTOR,TRANSPORT BHAVAN,FORT PO, THIRUVANANTHAPURAM-23. 2. THE FINANCIAL ADVISOR & CHIEF ACCOUNTS OFFICER,KERALA STATE ROAD TRANSPORT CORPORATION, TRANSPORT BHAVAN,FORT PO,THIRUVANANTHAPURAM-23. 3. THE DISTRICT TRANSPORT OFFICER, KERALA STATE ROAD TRANSPORT CORPORATION, ERNAKULAM- 11. 4. THE SECRETARY, KERALA STATE TRANSPORT WORKERS CO-OP.SOCIETY LTD.NO.T.133,THIRUVANANTHAPURAM-18. R4 BY ADV. SRI.N.UNNIKRISHNAN,SC KSTW CO.OP SOCIET BY ADV. SRI.BABU JOSEPH KURUVATHAZHA THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 24/11/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss W.P.(C) NO.28222/2011 APPENDIX PETITIONER(S) EXHIBITS P1:- COPY OF THE PENSION PASS ISSUED TO THE PETITIONER BY THE RESPONDENT CORPORATION. P2:- COPY OF THE CERTIFICATE ISSUED BY THE 3RD RESPONDENT TO THE PETITIONER 31/1/2006 P3:- COPY OF THE NOTICE ISSUED BY THE 4TH RESPONDENT SOCIETY TO THE PETITIONER DATED 28//6/2011 P4:- COPY OF THE JUDGMENT DATED 20//12/2005 IN WPC NO.35549/2005 OF THIS HONOURABLE COURT. P5:- COPY OF LAWYER NOTICE SENT BY THE PETITIONER'S COUNSEL TO THE RESPONDENTS DATED 15/9/2011 RESPONDENTS' EXHIBITS R4(A):- COPY OF THE STATEMENT OF ACCOUNTS IN RESPECT OF LOAN NO. BAL 35143. R4(B):- COPY OF THE LETTER NO.1202(05-06) DTD. 31.1.2006. R4(C):- COPY OF THE STATEMENT OF ACCOUNTS IN RESPECT OF LOAN NO.EGL 39570. TRUE COPY P.A. TO JUDGE tss HARUN-UL-RASHID, J. ------------------------ W.P.(C).No.28222 Of 2011 ---------------------- Dated this the 24th day of November, 2011. J U D G M E N T The writ petition is filed seeking a direction commanding the respondents 1 to 3 to remit Rs.14,770/- towards the penal interest for the delayed remittance of recovered amounts to the 4th respondent Society, to refund the excess instalment of Rs.1,140/- with interest from 5/2002 till payment, directing the 4th respondent to release the share amount of the petitioner on receipt of the penal interest of Rs.14,770/- from the 1st respondent and to declare that respondents 1 to 3 are responsible for the delay in remitting the recovered instalments from the salary of the petitioner to the 4th respondent Society. 2. The petitioner retired from the service of the respondent Corporation as Superintendent on 31.12.2006. He had availed a loan from the 4th respondent Society as fully recovered from the salary of the petitioner in 50 equal monthly instalments @ of Rs.1,140/- through the 3rd respondent. The 3rd respondent had recovered Rs.58,140/- in 51 instalments of ::2:: W.P.(C).No.28222/2011 Rs.1,140/- each from the salary of the petitioner from February 1998 to April, 2002 as per Ext.P2 certificate. But the loan amount with interest recovered from the salary of the petitioner was remitted belatedly to the 4th respondent society by the 3rd respondent Corporation. The petitioner submits that an amount of Rs.14,770/- was illegally recovered from the retirement benefits of the petitioner for belated remittance to the 4th respondent society. The petitioner submits that the amount is recovered as per the request of the 4th respondent society towards additional interest for the belated remittance of the amount. It is pointed out that as per Sec.37 of the Kerala Co- operative Societies Act, 1969, the amount recovered from the petitioner shall be remitted to the society within 7 days of such recovery. But the amount, recovered from the salary of the petitioner as per Ext.P2 certificate, has not been remitted to the 4th respondent society in time. Therefore, it is submitted that the respondent corporation is liable to pay interest for the belated remittance of the amount due to the 4th respondent society. It is also submitted that the 3rd respondent Corporation recovered 51 ::3:: W.P.(C).No.28222/2011 instalments instead of 50 instalments. In short, the contention is that since the respondent Corporation has defaulted remittance of the amount recovered from the salary of the petitioner to the 4th respondent Society, the respondent Corporation alone is liable and responsible to pay the additional interest for the belated remittance. As such, Rs.14,770/- and an amount of Rs.1,140/- (51st instalment) recovered from the retirement benefits of the petitioner is illegal. 3. The 4th respondent Society filed a counter affidavit stating that the petitioner availed a loan of Rs.40,000/- with interest @ 18% from the Society repayable in 50 equal monthly instalments of Rs.1,140/- per month. The recovery was regular but the recovered amounts were retained by the 1st respondent Corporation without paying the same to the Society. This resulted in the recovery of penal interest of Rs.14,410/- from the petitioner. In the counter it is also stated that the petitioner also availed an emergency loan from the Society and an amount of Rs.769/- is due from the petitioner. The 4th respondent also submitted that an amount of Rs.1,140/- will be refunded to the ::4:: W.P.(C).No.28222/2011 petitioner which is recovered towards extra instalment. In the counter it is also stated that after closing the penal interest and emergency loan the Society will pay the share amount and thrift amount to the petitioner. 4. This Court had occasion to consider similar cases of other employees of KSRTC. This Court in WP(C)No.5026/2011 and in several other cases, after considering the facts on similar lines, directed the 1st respondent Corporation to refund the amount deducted from the petitioner's retirement benefits within three weeks from the date of receipt of copy of the judgment. There is a further direction that, in case of failure on the part of the Corporation to refund the aforesaid amount within the stipulated time, the amount will carry 7% interest per annum. 5. It is not disputed that the entire amount towards the repayment of the loan was already recovered from the salary of the petitioner as per Ext.P2. It is also not disputed that the petitioner is not liable to pay any amount for the belated payment to the Society. In these circumstances, the recovery of the amount from the retirement benefits of the petitioner is ::5:: W.P.(C).No.28222/2011 illegal, and the respondent Corporation is liable to repay the amount to the petitioner. Considering the fact that this Court had occasion to consider the similar facts in the above mentioned case, the petitioner is entitled to get the same relief as extended by this Court in similar matters. 6. In these circumstances, a direction is issued to the 1st respondent to refund an amount of Rs.14,410/- to the petitioner within 2 months from the date of receipt of copy of this judgment. In case of any failure to refund the above said amount within the time limit, the amount will carry interest at a rate of 7% per annum. There will be a direction to the 4th respondent Society to disburse the amount due to the petitioner as stated in the counter affidavit. The writ petition is disposed of as above. HARUN-UL-RASHID, Judge. bkn/- The words “to the petitioner” occurring in the first sentence of the 6th paragraph in page No.5 of the judgment dated 24.11.2011 in W.P.(C). No.28222/2011 are corrected and substituted as “to the 4th respondent Society”, vide order dated 6.3.2012 in I.A.No.146/2012 in W.P.(C). No.28222/2011. sd/- Registrar (Judicial)