IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.N.RAVINDRAN THURSDAY, THE 7TH JULY 2011 / 16TH ASHADHA 1933 WP(C).No. 37617 of 2010(B) -------------------------------------- PETITIONER(S): -------------------- R.PRATHAPAN,AGED 65 YEARS, S/O.KUNHIRAMAN,GRA-43G,GOUREESAPATTOM,PATTOM.P.O, THIRUVANANTHAPURAM. BY ADV. SRI.K.K.RAJEEV RESPONDENT(S): ------------------------- 1. KERALA STATE ELECTRICITY BOARD, VYDHYUTHI BHAVAN,PATTOM,THIRUVANANTHAPURAM, REPRESENTED BY ITS SECRETARY. 2. CONTROLLING AUTHORITY UNDER THE PAYMENT OF GRATUITY ACT (DISTRICT LABOUR OFFICER, ERNAKULAM). 3. REGIONAL JOINT LABOUR COMMISSIONER, OFFICE OF THE DISTRICT LABOUR OFFICE, CIVIL STATION,KAKKANADU,ERNAKULAM. 4. STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT,DEPARTMENT OF LABOUR AND REHABILITATION,THIRUVANANTHAPURAM. R1 BY ADV. SRI.K.S.ANIL, SC, KSEB R2 TO R4 BY GOVT. PLEADER SRI.P.M.MANOJ THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 07/07/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss W.P.(C) NO.37617/2010 APPENDIX PETITIONER'S EXHIBITS P1:- COPY OF THE ORDER DTD. 24.6.2008 ON THE FILE OF CONTROLLING AUTHORITY UNDER THE PAYMENT OF GRATUITY ACT 1972 AND DISTRICT LABOUR OFFICER, ERNAKULAM. RESPONDENT'S EXHIBITS NIL:- TRUE COPY P.S. TO JUDGE tss P.N. RAVINDRAN, J. ------------------------------- W.P.(C) No.37617 of 2010 ------------------------------- Dated this the 7th day of July, 2011 J U D G M E N T The petitioner is a former employee of the Kerala State Electicity Board (hereinafter referred to as 'the Board' for short). He retired from service on 31.5.1999. Thereupon terminal benefits including the gratuity payable in terms of the provisions contained in Part-III of the Kerala Service Rules were paid to him. Long after his retirement, relying on the decision of this Court in O.P.No.674 of 2002, the petitioner moved the Controlling Authority under the Payment of Gratuity Act, 1972 seeking payment of gratuity in terms of the said enactment. The Board opposed the application on the ground that the petitioner's rights are governed by the Kerala Service Rules and therefore he is entitled to gratuity only in terms of the provisions contained in the Kerala Service Rules. Overruling the contention raised by the Board and relying on the decision of this Court in O.P.No.674 of 2002, the Controlling Authority held that the petitioner is entitled to gratuity in terms of the Act. By Ext.P1 order passed on 24.6.2008, after giving credit to the payment already made under the Kerala Service Rules, the Controlling Authority directed payment of balance sum of Rs.38,442/- with 10% simple interest. This writ petition is filed contending that though Ext.P1 order has attained W.P.(C) No.37617 of 2010 2 finality, till date, the amount payable thereunder has not been deposited or disbursed to the petitioner. 2. When this writ petition came up for admission on 6.1.2011, while admitting the writ petition, this Court had directed the Board to deposit with the Controlling Authority the principal amount of gratuity ordered to be paid in Ext.P1 order within two weeks from the date of production of a copy of that order. It was also directed that upon deposit, the Controlling Authority shall pay over the said amount to the petitioner on the petitioner executing a personal bond. I have by order passed today in I.A.No.10599 of 2011 enlarged the time fixed by this Court in the interim order dated 6.1.2011 by a period of four months from today. In the light of the said development, I dispose of the writ petition with a direction to the Board to pay the interest computed in terms of Ext.P1 order till the date of deposit, within two months from the date of deposit of the principal amount. P.N. RAVINDRAN, JUDGE. nj. P.N. RAVINDRAN, J. ------------------------------- I.A.No.10599 of 2011 in W.P.(C) No.37617 of 2010 ------------------------------- Dated this the 7th day of July, 2011 O R D E R This is an application filed by the Kerala State Electricity Board to enlarge the time fixed by this Court in the interim order passed on 6.1.2011 in W.P.(C) No.37617 of 2010. It is stated that in view of the huge financial commitment involved in the matter of payment of gratuity under the Payment of Gratuity Act, 1972, the Board has not been able to deposit the principal amount of gratuity covered by Ext.P1 order. The learned counsel for the respondent- petitioner opposed the said request. 2. The writ petitioner was a former employee of the Board. He retired from service on 31.5.1999. Upon retirement, he was paid gratuity in terms of Part-III of the Kerala Service Rules. Long after his retirement, relying on the decision of this Court in O.P.No.674 of 2002, the writ petitioner moved the Controlling Authority under the Payment of Gratuity Act, 1972 seeking payment of gratuity in terms of the said enactment. It was in such circumstances that Ext.P1 order was passed on 24.6.2008 directing payment of the sum of Rs.38,442/- towards gratuity in addition to the amount of gratity paid shortly after retirement. I.A.No.10599 of 2011 in W.P.(C) No.37617 of 2010 2 3. It is not in dispute that the Board has now taken a decision to give effect to all such orders, in view of the decision taken by the Board to adope and apply Payment of Gratuity Act, 1972 to the employees of the Board. It is also stated that the Board will have to incur an additional expenditure of approximately Rs.250 Crores in that regard. The writ petitioner was paid gratuity at the time of his retirement in accordance with the provisions contained in the Kerala Service Rules. It is only because of the applicability of Payment of Gratuity Act, 1972 to the employees of the Board that years later, the writ petitioner moved the Controlling Authority and obtained Ext.P1 order. In such circumstances, as a substantial portion of the gratuity was paid to the petitioner even in the year 1999, I am of the opinion that the Board which is now faced with heavy financial commitment should be given further time to comply with the interim order passed by this Court on 6.1.2011. I accordingly allow I.A.No.10599 of 2011 and enlarge the time fixed for payment of gratuity by a period of four months from today. P.N. RAVINDRAN, JUDGE. nj.