Central Administrative Tribunal - Allahabad
Ajay Pal Singh vs O.O The Controller General Of Accounts on 23 August, 2024
Open Court
CENTRAL ADMINISTRATIVE TRIBUNAL
ALLAHABAD BENCH
ALLAHABAD.
Allahabad this, the 23rd day of August, 2024.
Original Application No. 330/349 of 2024
Hon'ble Mr. Rajnish Kumar Rai, Member (Judicial)
1. Ajay Pal Singh, (Ex., P.No. 7201/L) aged about 68 years, S/O Sri,
Chhotey Singh, R/O- 119/47, Chandel Bhawan, Gumti No.5,
Kanpur-208012 P.P.O.No.CFYS11924/2016
2. Shri Nath, (Ex.CM, P No. 7702/L) aged about 72 years, S/O Sri, Ram
Prasad, R/O- 53/2, Saidullapur, Hrjendra Nagar-2, Kanpur- 208007
P.P.O.No.CFYS16095/2012
3. Kishan Chandra Malik (Ex.MCM, P.No.8004), aged about 68 years, S/O
Sri, Jethanand Malik, R/O-340, Balaji Mandir Road, Someshwar Nagar,
Rishikesh, 249201 P.P.O.No.C/FYS/11925/2016.
4. Syed Ishrat Ali, (EX.JWM, P.No.335231), aged about 67 years, S/O Sri,
Hamid Ali, R/O-75-A, Shyam Nagar, COD, Kanpur.208013
P.No.CFYS11806/2017.
5. Satya Devi (Ex. Jargeman-II, P No.835512), aged about 67 years, D/O
Sri, Baboo Lal, R/O-96-U, Chaitanya Vihar, Azad Nagar, Kanpur Nagar-
208002 P.P.O.No.C/EYS/11319/2017
6. Mahendra Kumar Arora, (Ex. P No.7624/L) aged about 64 years, S/O
Sri, Tek Chand, R/O-327- B, Govind Nagar, Kanpur-208006
P.P.O.No.401202001432.
7. Adeel, (Ex, P. No. 8548/L) aged about 63 years, S/O Sri, Talukedar
R/O-230/1, Juhi Lal Colony, Kanpur-208014. P.P.O.No. 807202100666.
8. Baboo Singh Shakya, (Ex. P.No.200075) aged about 77 years, S/O Sri,
Sarju Prasad, R/O- 106/262-C, Gandhi Nagar, Kanpur-208012
P.P.O.No. C/FYS./16811/2007.
ASHISH KUMAR
9. Saraswati Pathak, (Ex.JWM, P.No.835208) aged about 67 years,
W/O-Late Sri, Krishana Chandra Pathak, R/O-303-H, 157 Sarvottam
Enclave, Block E, Shyam Nagar, Kanpur- 208013 P.P.O.No.
C/FYS./11318/2017.
10. Pawan Kumar Dixit, (Ex.JWM, P.No.835355) aged about 62 years,
S/O- Sri, K.M.Dixit, R/O-73-A/15, Dabouli, Udyog Nagar Kanpur-
208022 P.P.O.No. 807202201445.
11.Munnu Lal Srivastava (Ex. P.No.8082/L) aged about 64 years, S/O- Sri,
Durga Prasad, R/O- 125/7, J.K.Colony, Jajmau, Kanpur-208022
P.P.O.No. 401202001589.
12. Om Prakash (Ex P.No.7897/L) aged about 68 years, S/O- Sri, Guru
Prasad, R/O-128/32, Devki Nandan Yashoda Nagar, Kanpur- 208011
P.P.O.No. C/FYS./11863/2016.
13. Sreekant Lal Sharma (Ex., P.No.835451) aged about 67 years, S/O-
Sri, Heera Lal, R/O-158, New P.A.C. Line, Ganga Nagar, Kanpur-
208015 P.P.O.No. C/FYS./17687/2010.
14. Amar Nath Sharma (Ex. P.No.8011/L) aged about 74 years, S/O- Sri,
Mahadev Prasad Sharma, R/O-384, Sahab Nagar, Kalyanpur,
Kanpur-208017 P.P.O.No. C/FYS./11717/2017
15. Ram Swaroop (Ex. P.No.7837/L) aged about 72 years, S/O- Sri,
Sukuru Prasad, R/O-N- 369-B, Mannipurva, Nawabganj, Kanpur-
208002 P.P.O.No. C/FYS/16767/2012.
16. Mohammad Majeed Idrisi (Ex, P.No.8010/L) aged about 66 years,
S/O- Sri, Sirajuddin,R/O-G-1-173/241, Rajeev Nagar, Kidwai Nagar,
Kanpur-208011 P.P.O.No. 401201801696.
17. Arun Kumar Srivastava (Ex, P.No.8084/L) aged about 66 years, S/O-
Sri, Niranjan Kumar, R/O-262/3, S.K.Building, Rail Bazar Cantt.,
Kanpur-208004 P.P.O.No. C/FYS./11862/2016.
18. Virendra Kumar Gupta (Ex.AWM, P.No.835158) aged about 64
years, S/O- Sri, J.P.Gupta, R/O-101, Sharda Apartment- 4, Shyam
Nagar, Kanpur-208013 PPO NO.807202003127
. .Applicants
By Advocate :Shri S. J. Ishtiaque
VERSUS
1. Union of India through Secretary, Ministry of Finance, New Delhi.
2. Union of India through Secretary, Ministry of Defence, Department
of Defence Productions, New Delhi. 110001
3. Government of India Ministry of Personnel, Public Grievances and
Pension (DEPARTMENT OF PERSONNEL AND TRAINING),
North Block, New Delhi.
4. The Controller General of Defence Accounts, Ulan Batar Road,
Palam Colony, New Delhi-110010.
5. The Directorate of Ordinance (Coordination & Services) Ayudh
Bhawan, 10-A, S.K.Bose Road, Kolkata-700001
6. The CMD, Gliders India Limited, Kalpi Road, Kanpur.
7. The General Manager, Ordnance Parachute Factory, Kanpur.
208004
. . .Respondents
By Advocate: Shri Chakrapani Vatsyayan
ORDER
Heard Shri S. J. Ishtiaque, learned counsel for the applicants and Shri Chakrapani Vatsyayan, learned Chief Standing Counsel for the respondents at the admission stage.
2. This O.A. has been filed on 08.04.2024 by the applicants under Section 19 of the Administrative Tribunals Act, 1985 for the following main relief(s):-
(8.1) To issue a writ, order, direction in the nature of whatsoever this Hon'ble Tribunal deem fit to the respondent No. 6 and 7 to allow a notional annual increment for the respective period (Last year) of applicants w.e.f. 1st July to 30th June for the purpose of Pension and other Pensionary benefits and pay the arrears from the date of superannuation after recalculating the amount of such benefits, with interest thereon.
(8.2) To issue such other and further order or direction which this Hon'ble Tribunal may deem fit and proper in the nature and circumstances of the present case.
(8.3) To award cost of the application in favour of the applicants. .
3. It is submitted by the applicants' counsel that the Applicants were retired on 30th June of following years:- Applicant no. 1 retired on 30.06.2016, applicant no. 2 retired on 30.06.2012, Applicant no. 3 retired on 30.06.2016, Applicant no. 4 retired on 30.06.2017, Applicant no. 5 retired on 30.06.2017 Applicant no. 6 retired on 30.06.2020, Applicant no. 7 retired on 30.06.2021, Applicant no. 8 retired on 30.06.2007, Applicant no. 9 retired on 30.06.2017, Applicant no. 10 retired on 30.06.2022, Applicant no. 11 retired on 30.06.2022, Applicant no. 12 retired on 30.06.2016, Applicant no. 13 retired on 30.06.2010, Applicant no. 14 retired on 30.06.2017, Applicant no. 15 retired on 30.06.2012, Applicant no. 16 retired on 30.06.2018, Applicant no. 17 retired on 30.06.2016 and Applicant no. 18 retired on 30.06.2020 . One increment falling due on the very next date i.e. 01st July of the relevant years was not granted to them. He also placed reliance on catena of judgments pronounced by the Hon'ble Supreme Court followed by Hon'ble High Court as well as various Tribunals and submitted that the present case may also be decided by this Tribunal in the light of the aforesaid judgments/orders.
4. On the other hand, learned counsel for the respondents submits that the issue involved in this Original Application has already been set at rest by Hon'ble Supreme Court. However, he submits that all the Applicants except applicant no. 10 and 11 have filed the instant case after the period of three years.
5. As far as the question of granting the notional increment is concerned, the law on the point has already been settled by the Hon'ble Supreme Court in the case of Director (Admn. and HR) KPTCL & Ors. vs. C.P. Mundinamani & Ors., reported in (2023) SCC online S.C. 401 (Civil Appeal No.(s) 2471/2023 decided on 11.04.2023). The Hon'ble Supreme Court considered the divergent views of different Hon'ble High Courts on the issue:-
"Whether an employee who has earned the annual increment is entitled to the same despite the facts that he has retired on the very next day of earning the increment?"
The Hon'ble Supreme Court discussed the manner and importance of increment and observed that denying the benefit of annual increment which he has already earned while rendering a specified period of service with good conduct and efficiency in the last preceding year, would be punishing a person for no fault. The Hon'ble Supreme Court did not approve the contrary view taken by Full Bench of Andhra Pradesh High Court and the view of Kerala and Himachal Pradesh, High Courts and approved the view of Madras, Allahabad, M.P., Orissa, and Gujrat High Courts. In para 6.7, the Hon'ble Supreme Court has observed as under:-
"6.7 Similar view has also been expressed by different High Courts, namely, the Gujarat High Court, the Madhya Pradesh High Court, the Orissa High Court and the Madras High Court. As observed hereinabove, to interpret Regulation 40(1) of the Regulations in the manner in which the appellants have understood and/or interpretated would lead to arbitrariness and denying a government servant the benefit of annual increment which he has already earned while rendering specified period of service with good conduct and efficiently in the last preceding year. It would be punishing a person for no fault of him. As observed hereinabove, the increment can be withheld only by way of punishment or he has not performed the duty efficiently. Any interpretation which would lead to arbitrariness and/or unreasonableness should be avoided. If the interpretation as suggested on behalf of the appellants and the view taken by the Full Bench of the Andhra Pradesh High Court is accepted, in that case it would tantamount to denying a government servant the annual increment which he has earned for the services he has rendered over a year subject to his good behaviour. The entitlement to receive increment therefore crystallises when the government servant completes requisite length of service with good conduct and becomes payable on the succeeding day. In the present case the word "accrue" should be understood liberally and would mean payable on the succeeding day. Any contrary view would lead to arbitrariness and unreasonableness and denying a government servant legitimate one annual increment though he is entitled to for rendering the services over a year with good behaviour and efficiently and therefore, such a narrow interpretation should be avoided. We are in complete agreement with the view taken by the Madras High Court in the case of P. Ayyamperumal (supra); the Delhi High Court in the case of Gopal Singh (supra); the Allahabad High Court in the case of Nand Vijay Singh (supra); the Madhya Pradesh High Court in the case of Yogendra Singh Bhadauria (supra); the Orissa High Court in the case of AFR Arun Kumar Biswal (supra); and the Gujarat High Court in the case of Takhatsinh Udesinh Songara (supra). We do not approve the contrary view taken by the Full Bench of the Andhra Pradesh High Court in the case of Principal Accountant-General, Andhra Pradesh (supra) and the decisions of the Kerala High Court in the case of Union of India Vs. Pavithran (O.P.(CAT) No. 111/2020 decided on 22.11.2022) and the Himachal Pradesh High Court in the case of Hari Prakash Vs. State of Himachal Pradesh & Ors. (CWP No. 2503/2016 decided on 06.11.2020)."
6. Therefore, the controversy has been settled by the Hon'ble Supreme Court and it has been held that the increment payable from 01st July of the relevant years will also be payable to the applicants who were retired on 30th June of the relevant years because the increment is payable for the service, already rendered by the applicants.
7. The respondents' counsel cited the case of "Union of India and Others v. Tarsem Singh, (2008) 8 SCC 648" and submitted that if the claim is allowed then, the arrears will not be payable for the period exceeding of three years. The arrears can be paid only for a period of three years before the date of filing of the OA.
8. Whether the arrears for the whole period can be granted or the arrears should be restricted only for the period of three years before filing the present O.A.?
9. In the case of Rushibhai Jagdish bhai Pathak Vs. Bhavnagar Municipal Corporation, 2022[3] AISLJ 45 [Supreme Court] [18.5.2022] the 'continuing' cause of action and 'recurring' cause of action has been considered in the light of M.R. Gupta v. Union of India and Others,[ (1995) 5 SCC 628] and Union of India and Others v. Tarsem Singh, (2008) 8 SCC 648 = 2009[1] SLJ 371 [SC]. The question of arrears in service matter was also considered.
10. In Tarsem Singh (supra), the delay of 16 years in approaching the courts affected the consequential claim for arrears and thus, this Court set aside the direction to pay arrears for 16 years with interest. The Court restricted "the relief relating to arrears to only three years before the date of writ petition, or from the date of demand to date of writ petition, whichever was lesser". Further, the grant of interest on arrears was also denied.
11. The aforesaid ratio in Tarsem Singh (supra) has been followed in State of Madhya Pradesh and Others v. Yogendra Shrivastava [(2010) 12 SCC 538] and Asger Ibrahim Amin v. Life Insurance Corporation of India[(2016) 13 SCC 797].
12. Therefore, it can be said that the matter regarding arrears has already been settled by the Hon'ble Supreme Court and the case of Tarsem Singh (supra) also defined in the case of Rushi bhai (supra). Hence, the arrears cannot be granted for the period of more than three years.
13. Therefore, looking to the aforesaid certain positions of law, the OA is allowed and ordered:-
(i) Applicants are entitled for one notional increment falling due on the very next date i.e. 01st July of the relevant years.
(ii) The respondents are directed to issue the revised PPOs within a period of four months and will pay the arrears thereof in favour of the applicants, within the aforesaid period of four months from the date of receiving the certified copy of this order, otherwise the simple interest will also be payable at the rate of 6% per annum from the date of filing of this O.A. till the date of actual payment. However, the arrears of all the Applicants except applicant no. 10 and 11 will be payable only for the period of three years just before the date of filing of this O.A. i.e. on 08.04.2024.
16. All pending M.As, if any, shall be treated as disposed of. The registry will take appropriate action in this regard for removing the M.As.
(Rajnish Kumar Rai) Member (Judicial) Ashish/