THE HON’BLE SRI JUSTICE C.V.RAMULU WRIT PETITION No.4288 of 2005 ORDER: This writ petition is filed for the following substantive relief: “…. To issue a writ, order or direction and more particularly one in the nature of writ of Mandamus declaring that the G.O. Ms. No. 366 Finance ad Planning Department dated 29.10.1993, G.O.Ms.No.369 Finance and Planning Department dated 02.11.1993 and G.O.Ms.No.236 Finance and Planning Department dated 27.10.1998 are not applicable to the respondent factory and bonus/ex- gratia which is being paid to its workers cannot be denied on the basis of the said orders and to issue consequential directions to pay bonus/ex-gratia out of the allocated amounts for payment of bonus/ex-gratia in respect of financial year 2002-2003 and 2003-2004 forthwith.” It is the grievance of the petitioners that though the aforementioned G.Os. are not applicable to the respondent factory, the respondent, on the pretext of a direction from the State Government to stop payment of bonus/ex-gratia to the workers in view of the said G.Os., did not pay the bonus/ex-gratia to its workers for the financial years 2002-2003 and 2003-2004, as was being paid prior thereto. The respondent filed counter-affidavit, denying the allegations made by the petitioner, and it is stated that the respondent society sustained losses to a tune of Rs.34.46 crores during the financial year 2002-2003 and Rs.10.48 crores during the financial year 2003-2004. On account of the losses sustained, the respondent expressed its inability to pay bonus to its employees. In fact, a dispute arose between the management and the union regarding payment of bonus and, after deep and prolonged discussions, it was resolved by the management and the union that the society shall pay bonus/production incentive for the season 2003-04 @ 20% out of which 10% will be paid as advance on the even of Deepavali festival positively and 10% would be paid before 18.02.2005, and that the management has also taken a specific stand that the demand for bonus for the year 2002- 2003 cannot be entertained in view of huge losses incurred by the society during the said year. The unions, who were parties to the agreement, accepted the said terms of compromise and accordingly entered into agreement with the management. As per the terms of compromise, the society has also paid bonus/production incentive, as the case may be, equivalent to 20% for the year 2003-04. The society has also forwarded proposals to the Commissioner and Director of Sugar, for securing exemption from making payment of bonus in terms of Section 36 of Payment of Bonus Act. Thus, having entered into such an agreement with the management, it is not open for the petitioners to file the present writ petition for payment of bonus, contrary to the understanding reached between them and the management. In view of the stand taken by the respondent as stated above, particularly that the petitioner union and the respondent entered into a compromise, as per which the society is not obligated to pay bonus for the year 2002-2003, on account of the losses sustained by the society, no directions as sought by the petitioners can be granted and the writ petition is devoid of merits. The writ petition is accordingly dismissed. No costs. _____________ C.V.RAMULU,J 24.01.2011 ksp/v v