High CourtsDivision Bench(2010) 08 MAD CK 0120

Chennai Metropolitan Water Supply and Sewerage Board vs The Assistant Commissioner of Labour, Gratuity-I (Controlling Authority under the Payment of Gratuity Act, 1972), The Joint Commissioner of Labour, Appellate Authority under Payment of Gratuity Act, 1972 and G.T. Padmanabhan

Madras High Court · Decided on 3 August 2010

HON’BLE JUDGES
R. Banumathi, J · G.M. Akbar Ali, J
CASE NUMBER
Writ Appeal No''s. 3917 and 3918 of 2002

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Judgment

24 paragraphs · 470 words

R. Banumathi, J.—These Writ Appeals arise out of the Interlocutory Order passed in W.P.M.P. Nos. 54031 and 54032 of 2002 in W.P.

No. 36001 of 2002 dated 19.09.2002.

2.

Third Respondent-Padmanabhan has been working in Chennai Metropolitan Water Supply and Sewerage Board. By common order in P.G.A.

8/2002 P.G.A. 14/2002, P.G.A. 22/2002 and P.G.A. 23/2002, the competent authority/appellate authority under Payment of Gratuity Act has

confirmed the order of Controlling Authority in respect of the payment of gratuity to employees. Challenging the order of the Appellate Authority,

Appellant-Chennai Metropolitan Water Supply and Sewerage Board has filed W.P. No. 36001/2002.

3.

In the said Writ Petition W.P.M.P. Nos. 54031 and 54032/2002, learned single Judge granted interim stay and injunction on condition that

Appellant should deposit entire amount to the credit of P.G. No. 446/2000 on the file of 1st Respondent and permitted the 3rd Respondent to

withdraw 50% of the amount and directing the balance of 50% to be reinvested in Fixed Deposit in Corporation Bank, Chennai. Being aggrieved

by the interim order in W.P.M.P. Nos. 54031 and 54032/2002, Appellant-Board has filed these Appeals.

4.

When the Writ Appeals came up for hearing, the learned Counsel for Appellants has brought to our notice the order of the First Bench in W.A.

Nos. 1775 and 1776 of 2000 dated 12.2.2001. While considering the similar matter and similarly placed employees, the First Bench of this Court

directed the employees to furnish bank guarantee and the modified order of the First Bench reads as under:

...Under the peculiar facts and circumstances and to safeguard the interest of the Government, we deem it just and proper to modify the order of

the learned single Judge to the extent that the third respondent in each of the appeals shall furnish Bank Guarantee for the amount equivalent to the

sum deposited by the appellant instead of the immovable property as surety. We further direct that the balance of amount be paid to the third

respondent in each of the appeals on furnishing Bank Guarantee to the like sum. The order of the learned single Judge is modified to the extent as

stated above....

5.

Following the order of First Bench of this Court, the order of learned single Judge in W.P.M.P. Nos. 54031 and 54032/2002 in W.P. No.

36001/2002 is modified and the 3rd Respondent is directed to furnish bank guarantee of the amount equivalent to the sum permitted to be

withdrawn by the 3rd Respondent. In so far as direction of learned single Judge to deposit the balance amount of 50% in Corporation Bank shall

holds good. Since the matter is pending for quite some time, we would request the learned single judge to take up the Writ Petition at an early

date.

6.

With the above observation, these Writ Appeals are disposed of. No costs.