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Rajasthan High Court - Jodhpur

Rsmm Limited Employees Welfare Society vs Union Of India on 22 April, 2019

Author: Arun Bhansali

Bench: Arun Bhansali

     HIGH COURT OF JUDICATURE FOR RAJASTHAN AT
                      JODHPUR
              S.B. Civil Writ Petition No. 15688/2018

RSMM     Limited    Employees          Welfare        Society,    Through     its
President - Dr. P.C. Purohit S/o Shri Amar Nath Purohit, Aged
About 64 Years, Resident Of 10/607, Chopasni Housing Board,
Jodhpur (Raj.).
                                                                   ----Petitioner
                                   Versus
1.      Union Of India, Through Its Secretary, Ministry Of Labour
        And Employment, Government Of India, Bhavishya Nidhi
        Bhawan, 14-Bhikaji Kama Place, New Delhi- 110066.
2.      Regional    Provident       Fund       Commissioner-I         (Pension),
        Government Of India, Bhavishya Nidhi Bhawan, 14-
        Bhikaji Kama Place, New Delhi- 110066.
3.      Regional Provident Fund Commissioiner, Chitrakoot Nagar,
        Bhuwana, Udaipur (Raj.).
4.      Assistant Provident Fund Commissioner (Law), Regional
        Office, 130 Pashchim Pal Vistar Yojna, Jodhpur.
5.      Rajasthan State Mines And Minerals Ltd., Through Its
        Managing Director, 4, Meera Marg, Udaipur.
6.      Rajasthan State Mines And Minerals Ltd. Cpf Trust,
        Through Trustee Secretary, 4, Meera Marg, Udaipur.
                                                                ----Respondents


For Petitioner(s)     :    Mr. M.R. Singhvi, Sr. Advocate assisted by
                           Mr. Bhavit Sharma.
For Respondent(s)     :    Mr. U.S. Gehlot for respondent Nos.2 to 4.
                           Mr. Pradhuman Singh for respondent
                           Nos. 5 & 6.



            HON'BLE MR. JUSTICE ARUN BHANSALI

                                    Order

22/04/2019


     This writ petition has been filed by the petitioner aggrieved

against the circular dated 31.05.2017 (part of Annex.-8), order



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dated 20.08.2018 (Annex.-9) and notification dated 22.04.2014

(Annex.-11).

     The relief qua the notification dated 22.08.2014 (Annex.-11),

is 'not pressed' by the petitioner.

     It is submitted by learned counsel for the petitioner that the

issue raised in the present writ petition is squarely covered by

judgment of this court in Dashrath Singh Hada & Ors. v. Union of

India & Ors.: S.B. Civil Writ No. 17639/2016, decided on

19.05.2017 at Jaipur Bench and Alok Verma & Ors. v. Union of

India & Ors.: S.B. Writ Review No. 276/2017, decided on

11.12.2018 at Jaipur Bench.

     Further submissions have been made that identical matter

was decided by Kerala High Court in P. Sasikumar & Ors. v. Union

of India & Ors.: Writ Petition (C) No. 13120/2015 on 12.10.2018,

against which, Special Leave Petition No. 9610/2019 has been

rejected by Hon'ble Supreme Court on 01.04.2019 and, therefore,

the present writ petition may be allowed in light of the judgment

in the case of Dashrath Singh Hada (supra) and Alok Verma

(supra) and similar directions be issued.

     Learned counsel appearing for the respondents No. 2, 3 and

4 is not in a position to distinguish the judgments in the case of

Dashrath Singh Hada (supra) and Alok Verma (supra).

     Learned counsel appearing for the respondents No. 5 and 6

does not oppose the prayer made by the petitioner.

     This Court in the case of Dashrath Singh Hada (supra), inter

alia observed and directed as under:-

        "1. Heard learned counsel for the parties.




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2. Counsel for both the parties agree that the issue is
no more res-integra in view of the judgment passed
by the Apex Court in the case of R.C. Gupta & Ors.
Etc. Vs. Regional Provident Fund Commissioner
Employees Provident Fund Organization & Ors. Etc.
(Civil Appeal Nos. 10013-10014/2016), decided on
04.10.2016 wherein it was held as under:

     "10. We do not see how exercise of option
     under paragraph 26 of the Provident Fund
     Scheme can be construed to estop the
     employee from exercising a similar option
     under paragraph 11(3). If both the
     employer and the employee opt for deposit
     against the actual salary and not the ceiling
     amount, exercise of option under paragraph
     26 of the Provident Scheme is inevitable.
     Exercise of the option under paragraph
     26(6) is a necessary precursor to the
     exercise of option under clause 11(3).
     Exercise of such option, therefore, would
     not foreclose the exercise of a further
     option under Clause 11(3) of the Pension
     Scheme      unless     the    circumstances
     warranting such foreclosure are clearly
     indicated.

     11. The above apart in a situation where
     the deposit of the employer's share at 12%
     has been on the actual salary and not the
     ceiling amount, we do not see how the
     Provident Fund the L.P.A. before the
     Division Bench of the High Court. All that
     the Provident Fund Commissioner is
     required to do in the case is an adjustment
     of accounts which in turn would have
     benefited some of the employee. At best
     what the Provident Commissioner could do
     and which we permit him to do under the
     present order is to seek a return of all such
     amounts that the concerned employees
     may have taken or withdrawn from their
     Provident Fund Account before granting
     them the benefit of the proviso to Clause
     11(3) of the Pension Scheme. Once such a
     return is made in whichever cases such
     return is due, consequential benefits in
     terms of this order will be granted to the
     said employees."

3. For the reasons noted above the writ petitions are
allowed.

4. The petitioners are granted liberty to submit option
before the Provident Fund Commissioner under
Clause 11(3) of the Pension Scheme and the
Provident Fund Commissioner shall thereafter release
all consequential benefits accordingly in terms of and
as directed by the Apex Court hereinabove. The

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        exercise may be undertaken within period of two
        months from the date of submission of certified
        copy."

     In the review petition filed raising the issue pertaining to

exempted establishments, which has been made the basis by the

respondents for denying the benefit to the petitioner as well, in

the case of Alok Verma (supra), it has been inter alia observed

and directed as under:-

        "18.      The SLP No.7074/2014 preferred was
        rejected by the Supreme Court vide its order dated
        31/03/2016 and the aforesaid direction were upheld
        and the said aspect was noticed while delivering the
        judgment in the case of R.C. Gupta & ors. (supra).
        Thus, merely because the amount of PF is deposited
        in the PF Trust of the Exempted Organization and not
        with the EPFO, the ratio of the judgment passed in
        the case of R.C. Gupta & ors. (supra) would not alter
        and has to be applied equally to all the employees
        who may be either depositing their share in the PF
        Trust of an exempted organization or with the EPFO
        directly. Accordingly, the claim of the review
        petitioners in the aforesaid review petitions that the
        order should be reviewed on the ground of the
        aforesaid distinction is not made out. It is not a case
        where a different judgment would be applicable to
        the facts of the case and this Court finds that the
        judgment passed in the case of R.C. Gupta & ors.
        (supra) would be squarely applicable to the facts of
        the present cases also.
        ........................................

........................................

24. All the petitioners would have to submit an application for seeking of an option for receiving pension on the full salary and only after their depositing the PF amount which they have received from their concerned trust to the extent of 8.33% and the benefit of this judgment would be subject to their depositing the amount already received by them from PF Account of the PF Trust. Upon their depositing the said amount of 8.33 as calculated by the PF Trust, the PF Trust shall accordingly transfer the same to the EPFO Pension Fund and the pension shall accordingly be calculated and released. The exercise in this regard shall be completed by the respondents within a period of four months.

25. One other argument has been raised by learned counsel in relation to the existing employees i.e. those who are still in service and have not retired. It is submitted that proviso to Clause 11(3) of the Pension Scheme was deleted vide notification dated 22/08/2014 w.e.f. 01/09/2014 and therefore, (Downloaded on 28/06/2019 at 12:06:00 AM) (5 of 5) [CW-15688/2018] the benefit of proviso cannot be extended to any employee after 01/09/2014 if he had not exercised the option earlier. In the opinion of this Court, such a notification will not apply in view of the judgment passed by the Supreme Court in the case of R.C. Gupta & ors (supra). It is also noted that the Division Bench of High Court of Kerala vide its judgment dated 12/10/2018 has also set aside the Employees Pension Amendment Scheme, 2014 issued vide notification dated 22/08/2014 whereby the aforesaid proviso was deleted. Even otherwise, the same could not have been applied to the existing employees who are already members of the Scheme and could only apply if at all to employees who become members of the Scheme after 2014 notification. In view thereof, the benefit of this judgment would also be applicable to the existing employees who are yet to retire."

In view of the above factual and legal position, the writ petition filed by the petitioner is allowed in terms of the judgments in the case of Dashrath Singh Hada (supra) and Alok Verma (supra) with similar directions.

The needful be done by the respondents within a period of two months from the date of this order.

(ARUN BHANSALI),J 244-PKS/-

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