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Neyveli Lignite Corporation Ltd vs The Appellate Authority And on 25 March, 2010

He has stated that vide O.M dated April 21, 2009 the Ministry of Agriculture was conscious of the fact that the employees of the petitioner organization are entitled to other benefits in terms of the recommendations dated November 26, 2008. It is precisely for that reason, the presidential directive dated April 21, 2009 has observed that the same shall be in terms of the aforesaid O.Ms. The O.M does not stipulate any pre-condition for grant of enhanced gratuity. He had further stated that the financial implication, if the benefit of enhanced gratuity is given to the employees who retired as on January 01, 2007 and thereafter, is around Rs.25 Lakhs which would be within the limit permissible in terms of the O.M dated November 26, 2008. He would rely upon the judgment of the Madras High Court in the case decided on March 25, 2010 in Writ Appeal No.1341/2007 and connected writ petitions Neyveli Lignite Corporation Ltd. vs. Appellate Authority & Ors. in support of his contentions. He would also submit that other Central Public Sector Enterprises have granted the benefit of enhanced gratuity with effect from January 01, 2007. In this regard, he named W.P.(C) 907/2013 Page 7 of 14 National Seeds Corporation Ltd., Food Corporation of India.
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