IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) MONDAY, THE TENTH DAY OF MARCH TWO THOUSAND AND EIGHT PRESENT THE HON'BLE SRI JUSTICE C.V.RAMULU WRIT PETITION NO : 19649 of 2005 Between: Sree Hari Rao Dy. General Manager (Retd.) Gurjari, Hyderabad R/o. B-4, Flat.No.608, L&T South City Arakere Mico Layout, Banneraghatta Road Bangalore-76. ..... PETITIONER AND 1 The Gujarat State Handloom & Handicrafts Development Corporation Limited, Udyog Bhavan, Block-17, III floor, Sector-11 Gandhinagar, Gujarat State, Rep.by Chairman. 2 The Gujarat State Hadloom & Handicrafts Development Corporation Limited, Udyog Bhavan, Block.No.17, III floor, Sector-11, Gandhinagar Gujarat State. 3 GURJARI Gujarat State Handicrafts Emporium, Hotel Sarovar Complex, (A Govt. undetaken) Opp: Secretariat , Hyderabad Rep.by its Manager .....RESPONDENT(S) Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Affidavit filed herein the High Court will be pleased to declare and order that the proceedings No. Administrative/AG/Pay fixation/Sreehari Rao/04-05/1359, dt.9-7-2004 issued by the 2nd respondent as null, void and inoperative and violation of principles of natural justice and violative of Art.21 of the Constitution of India and to direct the Respondents to pay the total retirement benefits due to the petitioner with interest at the market rate from the date of retirement of the petitioner, i.e., 31-8-2004 along with compensation of Rs.1.00 Lakh by issuance of a Writ of Mandamus or any other appropriate writ, order or orders or direction as the Hon'ble Court deem fit and proper in the circumstances of the case and to allow the writ petition with costs. Counsel for the Petitioner:MR.D.RAVISHANKAR RAO Counsel for the Respondent Nos.1 to 3: . The Court made the following : ORDER This writ petition is filed seeking a Mandamus to declare the proceedings dated 9.7.2004 issued by the 2nd respondent as arbitrary, illegal and violative of principles of natural justice and consequently to direct the respondents to pay the total retirement benefits due to the petitioner with interest from the date of retirement of the petitioner ie., 31.8.2004 along with compensation of one lakh. It appears that the petitioner was appointed on 1-11-1976 as Marketing Officer in the first respondent Corporation. In view of introduction of new designation, he was redesignated as Assistant Manager (Marketing) since 1.2.1977. Subsequently, the petitioner was promoted to the post of Assistant Manager-Marketing (In- charge, Stores), which was re-designated as Deputy Manager (Stores) vide office order NO.PM/79/12418, dated 23.11.1979. While that being so, the petitioner attained the age of superannuation on 31.8.2004 and was relieved from the services of the respondent-Corporation. However, the respondent-Corporation has not paid retiral benefits such as gratuity, leave encashment, pay arrears due to the petitioner and withheld the same. Aggrieved by the same, the petitioner has filed the present writ petition. The petitioner has categorically asserted that he was promoted to the post of Assistant Manager-Marketing (In-charge Stores) on 13.4.1978 which was created in the time scale of Rs.700-1200 vide proceedings dated 6.4.78, but not to the post of Assistant Manager (Marketing) as alleged in the impugned order dated 9.7.2004. Even prior to 13.4.1978, the petitioner was holding the post of Assistant Manager Marketing and the same is evident from the proceedings of the then Managing Director dated 2.6.1977 whereby after successful completion of his probation period, he was confirmed in the post of Assistant Manager-Marketing with effect from 20.5.1977. Apart from that, the then Assistant Manager (Administration) certified that he was working as Assistant Manager-Marketing as on 7.5.1977. It is for this reason that he was promoted to the post of Assistant Manager-Marketing (In-charge Stores) from the post of Assistant Manager-Marketing by creating such post and his scale was fixed at Rs.700-1200 and there is no error in the same. Therefore, the proceedings of the second respondent dated 9.7.2004 have no basis and the same is liable to be declared as null and void. It is the case of the petitioner that the facts were brought to the notice of the second respondent through various representations. Thereafter, the respondent- Corporation credited an amount of Rs.2,72,290/- into his account on 5.10.2004 by way of three cheques. But no details were given till date in spite of his repeated requests. The Chairman of the respondent-Corporation was requested to release retiral benefits of the petitioner immediately. Though the Chairman received the representations, there was no response. A detailed counter-affidavit has been filed by the respondent-Corporation denying the allegations made by the petitioner. Except stating that there was a mistake in fixing the salary of the petitioner in the scale of 700-1200, no plausible reasons were furnished. Further, the mistake was pointed out by the Accountant General Auditor (died) for the mistake committed by them in the year 1978 while the petitioner was promoted to the post of Assistant Manager-Marketing. It is further stated that the petitioner is not entitled for any relief as sought for. I have given my earnest consideration to the respective submissions made by the learned counsel on either side and perused the impugned order and other material made available on record. In the counter, the respondents have not categorically denied the averments made by the petitioner stating that he was promoted to the post of Assistant Manager-Marketing (In-charge Stores) on 13.4.1978 but not to the post of Assistant Manager-Marketing as alleged in the impugned order dated 9.7.2004. In the said proceedings, the petitioner was promoted to the post of Assistant Manager-Marketing (In-charge Stores) and his pay scale was attached in the scale of 700-1200. This fact was also not denied. Further, it is stated that the petitioner has not produced any evidence though he was given an opportunity to do so. Therefore, as per the instructions of the Industries and Mines, Government of Gujarat vide letter dated 2.12.2003, the respondents were asked to recover the amount from the petitioner. It is unfortunate that such a stand is taken by the respondents without denying the allegation that the petitioner was promoted to the post of Assistant Manager- Marketing (In-charge Stores) and also the pay scale attached to the said post. Apart from this, the allegation that no notice of any kind was issued before passing the impugned order is also not denied. On the other hand, a peculiar stand is taken by the respondent-Corporation that actually the petitioner was entitled for the scale 500-900, but by mistake he was given the scale 700-1200 and as a result, the petitioner was given subsequent promotions erroneously one step more. This is not a case of punishment. The scale which was fixed in the year 1978 is sought to be refixed. It is not the case of the respondents that in view of misrepresentation by the petitioner the said scale was extended. In fact the scale which was fixed against the post of Assistant Manager, Marketing (In-charge Stores) is not denied. After thirty (30) years of such fixing, it is sought to be revised for no fault of the petitioner. Therefore, the stand taken by the respondents cannot be appreciated. Apart from that, there is gross violation of principles of natural justice in passing the impugned order. Therefore, the same is liable to be set aside. Accordingly, the writ petition is allowed and the impugned order is set aside. No costs. ___________ 10-03-2008 rkk ..... REGISTRAR // TRUE COPY // SECTION OFFICER To 1 The Gujarat State Handloom & Handicrafts Development Corporation Limited, Udyog Bhavan, Block-17, III floor, Sector-11 Gandhinagar, Gujarat State, Rep.by Chairman. 2 The Gujarat State Hadloom & Handicrafts Development Corporation Limited, Udyog Bhavan, Block.No.17, III floor, Sector-11, Gandhinagar Gujarat State. 3 GURJARI Gujarat State Handicrafts Emporium, Hotel Sarovar Complex, (A Govt. undetaken) Opp: Secretariat , Hyderabad Rep.by its Manager 4.CD copies