K. Vasudevan Nair vs The Managing Director, Hindustan Aeronautics Limited, The General Manager (P and A), Hindustan Aeronautics Limited and The Director (Personnel), Hindustan Aeronautics Limited

A.N. Venugopala Gowda, J.—The Petitioner and his wife Smt. A.G. Subhadramma are employed in Hindustan Aeronautics Limited,

Bangalore Complex. The Petitioner''s wife having made a request, was provided a rent-free quarter, under an allotment order dated 08.08.1985 of

the Respondents. She was permitted to change the said quarter as per her request, wherein she was residing with her husband and other family

members. The Petitioner constructed a house in a nearby locality and the Petitioner''s wife submitted a letter dated 25.11.1991, seeking permission

to surrender the rent-free quarter, with the desire to reside in the house constructed by the Petitioner. The request was turned down and the

Petitioner''s wife filed W.P.14184/1992 to quash certain communications of the Respondents. In the said writ petition, it was found that, the

insistence on the part of the Respondents, that the Petitioner''s wife should necessarily reside in the company quarter was wholly unwarranted and

unauthorised. The writ petition was allowed in part. The Petitioner''s wife was directed to handover the keys of rent-free quarter to the Welfare

Manager (Township) of the Respondent-company. The question regarding the entitlement of House Rent Allowance payable was left open to be

decided by the Respondents, taking into consideration the service conditions, the standing orders and the rules having a bearing on the issue. W.A.

1788/1997 filed by the Respondents was dismissed on 20.06.1997. Civil petition filed by the Respondents was disposed of with a clarification.

The staff quarter having been vacated thereafter by the Petitioner''s wife on 14.03.2001, was allotted to an eligible employee of the employer, on

30.03.2001. The Petitioner''s wife has filed W.P. 17885/2011, claiming House Rent Allowance from 1991.

Respondents having not paid the House Rent Allowance to the Petitioner effective from 01.11.1991 to 31.01.2001, representations having

been made, the Respondents informed the Petitioner of their inability to accede to the request, on the ground that, the Petitioner is not entitled for

the HRA. Seeking quashing of the said decision of the Respondents, as at Annexure-R and to direct them to pay the withheld House Rent

Allowance for the period from 01.11.1991 to 31.01.2001, with interest, this writ petition has been filed.

Heard the learned Counsel on both sides and perused the record.

Indisputedly, Petitioner''s wife was a staff nurse in the Medical and Health Department of the Respondents and at her request, she was provided

a rent-free quarter as per an allotment order dated 03.08.1985, which was permitted to be changed as per her request and that, the Petitioner, his

wife and other family members resided in the staff quarters. The possession of the quarter, which was allotted to the Petitioner''s wife having

become vacant on 14.03.2001, was allotted by the Respondents to an eligible employee on 30.03.2001. Even though the Petitioner constructed a

house at Malieshpalya Extension, New Thippasandra, Bangalore, the staff quarter, which was allotted to his wife had remained in her possession

till 14.03.2001. The Petitioner had submitted representation dated 25.11.1991 with regard to he having constructed a house and shifting from the

shared accommodation of Staff Quarter No. FA-110 w.e.f. 01.11.1991 and for payment of house rent allowance. The request having been

considered and finding that, the Petitioner had not shifted to the new house at Malleshpalya Extension, his request for payment of house rent

allowance from 01.11.1991 was held as not permissible under the Rules. The Respondents on examination, informed the Petitioner as follows:

In this connection we would like to inform you that we have carefully examined your representation and observed that your claim for the arrears is

not justified. Since the co''s quarters allotted to your wife who is an employee in the organization was in her possession till 14.03.2001, no HRA is

payable to you before the said date. Under these circumstances, we regret to inform you that no arrears towards HRA is payable to you. Please

note that no further representation will be entertained by us on the same issue.

Indisputedly, the Respondent has issued Personnel Bulletin No. 2473 dated 13.05.1982, the relevant portion of which reads as follows:

In accordance with Personnel Bulletins quoted above, employees who are residing in the quarters either by virtue of the relationship with the other

employee such as father and son, husband and wife, brother and sister or any other employee of the company and sharing the accommodation with

the employee who is allotted the quarter are also deemed to have been provided with residential accommodation by the company and

consequently such employees are not eligible for payment of House Rent Allowance.

(Underlining is by me)

On 25.02.1983, Personnel Bulletin No. 2556 was issued with regard to Sharing of Accommodation in Company''s quarters - vis-a-vis House

Rent Allowance to employees, wherein, it was clarified that, the quarters are allotted for the occupation of the employee and his family, meaning,

allottee''s wife or husband and dependent members of the family, parents, brothers and sisters, who are solely dependent on the employee. An

amendment of the House Allotment Procedure was notified in Personnel Bulletin No. 2009 dated 31.07.1976, wherein, it was made dear as

follows.

According to sub-paras (b) and (c) of para 4 of Head Office Personnel Circular No. 157, dated 13th May. 1970, an employee who is allotted a

quarter of his/her entitlement in the township, but refuses to accept it and prefers to stay outside, is not eligible for HRA, so long as any quarter of

the type refused by the employee remains vacant in the township. Similarly, an employee who was allotted quarter of the entitled type, but later, on

his own, decides to vacate the same and live outside the township, is also not entitled to HRA, so long as any quarter of the type vacated by the

employee remains vacant in the township.

(Underlining is by me)

In view of the above, the Respondents are justified in turning down the request of the Petitioner for payment of house rent allowance from

01.11.1991 till the Petitioner''s wife delivered the key of the staff quarter to the Welfare Manager (Township) of the Respondent-company on

14.03.2001. It is not the case of the Petitioner that, he did not share the accommodation in the staff quarter allotted and held by his wife. The

Petitioner''s wife having held the staff quarter and both the spouses being employees of the Respondent, the Petitioner is not entitled to payment of

House Rent Allowance till 14.03.2001.

Though Annexure-R is bald and does not contain the reasons with regard to ineligibility of Petitioner for House Rent Allowance from

01.11.1991 to 31.01.2001, the facts noticed supra being not in dispute, Annexure-R is not liable to be quashed.

In the result, the writ petition being devoid of merit stands dismissed.

However, the parties are directed to bear their respective costs.