Balbir Singh vs State & Ors

Petitioner was appointed as Bus-washer in January, 1996 in Government Transport Undertaking (hereinafter to be referred to as 'GTU') and thereafter was promoted as Conductor and Junior Assistant in the year 1986 and retired from the said post on 31.08.2009. After the appointment of the petitioner in 1976, Jammu and Kashmir State Road Transport Corporation (hereinafter to be referred to as 'J&KSRTC') and the GTU employees including the petitioner opted for deputation to J&KSRTC but retaining all the benefits such as pension.

Petitioner, thus, being a Government employee was covered under the General Provident Fund Rules, and as such General Provident Fund (GPF) was deducted from the salary of the petitioner. It is submitted that GPF was being deducted from the salary of the petitioner prior to June, 1999 till date of retirement, an amount of Rs.1,36,000/- has been deducted as GPF but the same was not deposited on month-to-month basis with the concerned office and despite repeated requests, it was only vide Cheque No.081552 dated 04/2013 drawn on J&K Bank Ltd., amounting to Rs.1,36,000/- and the principal amount was paid to the petitioner but no interest which otherwise would have accrued on GPF from time to time from June, 1999 till the payment of the same was included, thus, this amount was illegally withheld by the respondents/Corporation.

Petitioner submits that he requested the Manager Passenger Service JKSRTC, Jammu to forward his application for release of interest on the ground of GPF deposited by the petitioner with the respondents/Corporation from June, 1999 to March, 2009, this application was forwarded in original vide No.JKSRTC/MPS/J/3783 dated 12.02.2013.

Petitioner submits that vide Cabinet Decision No.23/3/2009 dated 19.02.2009 and Government Order No.92-F of 2009 dated 24.04.2009, sanction was accorded to the "Adoption of the revised pay structure in respect of employee of J&K Public Sector Undertakings as shown in Annexure-I to this Government Order. In the Annexure-I of this Government Order, existing pay scale of State PSUs (as per revised Pay Rules 1998) and the Revised version w.e.f. from 01.01.2006 i.e., the date of implementation of 6th Pay Commission Recommendations. It is stated that decision to grant Cost of Living allowance (COLA) which was taken in full Board meeting of JKSRTC. Thus vide Government Order dated 24.04.2009, it is stated that left over installment of COLA, if any, all at the existing slabs/rates on the basis of notional pay, that they would have received in the existing pay scale. It was also provided that all other matters not covered under the aforesaid Government Order were to be the same would be contained in J&K Civil Service (Revised Pay) Rules 2009.

Thus, the petitioner has approached this Court seeking direction to the respondents to release the interest on GPF deducted from the salary of the petitioner from June, 1999 till date of retirement on 31.08.2009 as also to release the arrears of salary of the petitioner after fixing the same on the basis of the recommendations of 6th Pay Commissioner w.e.f., 01.01.2006 till the date of his retirement and all such retiral benefits on the revised salary which may have accrued after his retirement.

Learned counsel for the petitioner has also placed a judgment of this Court rendered in SWP No.1413/2009 titled All J&K SRTC versus State & ors. wherein this Court had quashed Communication dated 29.01.2008 to the extent it subjects the payment of COLA to the availability of the own resources of J&K SRTC and this Court had held that respondents irrespective of the financial condition of the respondent Corporation shall ensure release of the said benefits in favour of the petitioners within eight weeks from today. Petitioner, thus, seeks release of the interest on the GPF as well as revised pay on the basis of 6th Pay Commission with effect from 01.01.2006 for all Public Sector Undertakings vide Order dated 24.04.2009 as the petitioner is also an employee of Public Sector Undertakings.

Respondents/JKSRTC have filed their objections to the petition and submitted that GPF used to be deducted from the salary of the petitioner, however, due to constrained financial position of the answering respondents, it could not be deposited in the office in time and on the availability of funds, answering respondents deposited the same in office concerned. Respondents further submitted that although vide Order No.92-F of 2009 dated 24.04.2009, the pay scale of Public Sector Undertakings was revised from 01.01.2006, however, the Board of Directors of J&KSRTC adopted the revised pay structure in respect of the JKSRTC employees w.e.f. 01.04.2012 prospectively vide order No.JKSRTC/MD/PS/J/172 dated 19.04.2012. Thus, the answering respondents had fixed the pay scale of its employees as per 6th Pay Commission w.e.f., 01.01.2006 on notional basis upto 31.03.2012 and arrears w.e.f., 01.01.2006 upto 31.03.2012 have not been paid to any employee, as such, the petitioner is also not entitled for the same. It is further stated by the answering respondents that COLA arrears w.e.f., June 1999 to August, 2009 amounting to Rs.2,00,343/- have been paid to the petitioner and an amount of Rs.80,050/- as Leave Salary difference has also been paid to the petitioner.

Respondents further stated that the petitioner has retired on 31.08.2009 whereas JKSRTC had adopted the revised pay structure for its employee w.e.f., 01.04.2012 prospectively and the said order has not been challenged by the petitioner in this petition, as such, the writ petition without any merit requires to be dismissed.

In view of the aforesaid discussion so far as COLA arrears is concerned, the respondents have stated that the petitioner has been paid the same even Leave Salary difference has also been paid to him. However, with regard to 6th Pay Commission, respondents have stated that the arrears w.e.f., 01.01.2006 to 31.03.2012 have not been paid to any employee as they were only granted notionally. Since the petitioner has retired on 31.08.2009, he cannot be treated on different footing than that of the other employees of the Corporation.

Lastly, with regard to the interest on GPF which was deducted from the salary of the petitioner, respondents have admitted the fact that the GPF was deducted from the petitioner's salary but have stated that they could not deposit the same in the office of GPF due to constrained financial position. This plea of the respondents cannot be accepted since the deduction of GPF made from the salary of the employees as per his choice was to be deposited before the Office of GPF and which is due and the interest which accumulate on the said amount is that of the employee. The employee deposits the amount deducted from his salary on the assurance that the said amount would be refunded to him with interest either when he demands the same as per rules or on his retirement, therefore, the same being due to him, the petitioner is entitled to interest on the GPF deducted by the respondents from the period which was deducted till the date, the same was released in his favour.

This writ petition alongwith connected IA(s), if any, stands disposed of in the above terms.