IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE HARUN-UL-RASHID TUESDAY, THE 23RD AUGUST 2011 / 1ST BHADRA 1933 WP(C).No. 12271 of 2008(J) -------------------------- PETITIONERS: --------------- 1. N.CHOIKUTTY, S/O CHANDUKUTTY, VEHICLE SUPERVISOR(RETIRED), K.S.R.T.C. THOTTILPPALAM, CHANDRASAILA, KUNNATHARA, KOYILANDY, KOZHIKODE. 2. V.K.JOSE, S/O KURIAKOSE, DRIVER(RETIRED), K.S.R.T.C., KOZHIKODE, VENNAYAPPILLIL HOUSE, KOODARANJI, KOZHIKODE. BY ADV. MR.P.P.SOMAN NAIR RESPONDENT(S): --------------- 1. THE KERALA STATE ROAD TRANSPORT CORPORATION, REPRESENTED BY ITS MANAGING DIRECTOR, TRANSPORT BHAVAN, FORT P.O., THIRUVANANTHAPURAM-23. 2. THE FINANCIAL ADVISOR AND CHIEF ACCOUNTS OFFICER, KERALA STATE ROAD TRANSPORT CORPORATION, TRANSPORT BHAVAN, FORT P.O., THIRUVANANTHAPURAM-23. 3. THE ASSISTANT PERSONNEL OFFICER(PENSION) KERALA STATE ROAD TRANSPORT CORPORATION, TRANSPORT BHAVAN, FORT P.O., THIRUVANANTHAPURAM-23. 4. THE ASSISTANT TRANSPORT OFFICER, KERALA STATE ROAD TRANSPORT CORPORATION, THOTTILPPALAM. 5. THE DISTRICT TRANSPORT OFFICER, KERALA STATE ROAD TRANSPORT CORPORATION, KOZHIKODE. 6. THE SECRETARY, KERALA STATE TRANSPORT WORKERS CO-OPERATIVE SOCIETY LTD. T.133, THAMPANOOR, THIRUVANANTHAPURAM. ADV. SRI.N.UNNIKRISHNAN,SC KSTW CO.OP SOCIET FOR R6 SRI.BABU JOSEPH KURUVATHAZHA,SC,KSRTC FOR R1-5 THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 23/08/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 12271 of 2008(J) APPENDIX PETITIONERS' EXHIBITS: EXT.P1: PAGE 1 OF THE PENSION PAYMENT ORDER OF THE 1ST PETITIONER. EXT.P2: FREE PASS FOR PENSIONERS OF KSRTC ISSUED TO THE 2ND PETITIONER. EXT.P3: CERTIFICATE ISSUED BY R4 DTD. 24.1.2006. EXT.P4: PAGE 16 OF THE PENSION PAYMENT ORDER OF THE 1ST PETITIONER. EXT.P5: CERTIFICATE ISSUED BY R5, DTO, KOZHIKODE. EXT.P6: JUDGMENT OF THIS COURT IN W.P.(C).NO.9427/2008 DTD. 26.3.2008. EXT.P7: NOTICE NO.1689/11-12 DTD. 15.6.2011. EXT.P8: NOTICE NO.1688/11-12 DTD. 15.6.2011. RESPONDENTS' EXHIBITS: EXT.R6(A): STATEMENT OF RECOVERY POSITION OF 1ST PETITION IN W.P.(C). NO.12271/2008. EXT.R6(B): STATEMENT OF RECOVERY POSITION IN RESPECT OF SHRI.V.K.JOSE, 2ND PETITIONER IN W.P.(C).NO.12271/2008. EXT.R6(C): JUDGMENT DTD. 13.11.2007 INW.P.(C).NO.27214/2007. ...... // TRUE COPY // P.A TO JUDGE. HARUN-UL-RASHID, J. ------------------------ W.P.(C).No.12271 Of 2008 ---------------------- Dated this the 23rd day of August, 2011. J U D G M E N T The writ petition is filed for a direction directing the 1st respondent Corporation to settle the loan account of the petitioners in view of Exts.P3 & P5 and to refund Rs.10235/- recovered from the pensionary benefits of the 1st petitioner with interest till date of payment. 2. The petitioners are employees retired from the service of the KSRTC on 30.6.2002 and 30.11.2001 respectively. While in service, the petitioners availed loan from the 6th respondent Society. The mode of repayment of loan was through salary recovery by the KSRTC. The 4th respondent on behalf of the Corporation recovered the loan amount from the salary of the petitioners. 3. After retirement, Corporation sanctioned and disbursed the DCRG and other benefits due to the petitioners. At the time of disbursement of DCRG due to the 1st petitioner, an amount of Rs.10,235/- was deducted from the DCRG towards additional interest claimed by the 6th respondent Society for the belated payment. ::2:: W.P.(C).No.12271 Of 2008 4. The petitioners pointed out that the entire loan amount was recovered from the salary of the 1st petitioner as early as on May, 2001 as per Ext.P3 certificate. It is pointed out that there is no liability outstanding against the 1st petitioner and therefore Rs.10,235/- deducted from the DCRG after three years of his retirement is illegal. The petitioners pointed out that the recovery of the instalemnt was made from the salary of the petitioners as per Section 37 of the Kerala Co-Operative Societies Act. Placing reliance on Section 37, the learned counsel for the petitioner pointed out that it is the duty of the Corporation to deposit the amount recovered from the salary within seven days of such recovery. 5. As regards the 2nd petitioner is concerned, the Corporation deducted the entire loan amount from his salary as per Ext.P5 certificate issued by the 5th respondent District Transport Officer. Though the loan amount was deducted from the salary of the 2nd petitioner, the 1st respondent Corporation has not remitted the loan amount to the 6th respondent Society till date. 6th respondent Society submitted that the amount due is Rs.11,829/-. The learned counsel for the 6th respondent ::3:: W.P.(C).No.12271 Of 2008 submitted that a direction may be issued to the Corporation to remit the loan amount recovered from the salary of the 2nd petitioner immediately. 6. In the said circumstances, the respondent Corporation is bound to refund Rs.10235/- to the 1st petitioner. Therefore, there will be a direction to the 1st respondent to refund Rs.10235/- deducted from the DCRG of the 1st petitioner within two months with interest at 7% per annum from 3.3.2006, the date on which DCRG was disbursed to the petitioner. In case of failure on the part of the Corporation to refund the amount within the stipulated time, the amount will carry interest at 7% per annum from the date of default. There will be a further direction to the respondent Corporation to discharge the liability of the 2nd petitioner towards the 6th respondent Society of Rs.11,829/-, within a period of two months from the date of receipt of a copy of this judgment. The writ petition is disposed of as above. HARUN-UL-RASHID, Judge. bkn/-