Mahender Singh vs Commissioner (North Dmc) And Ors

The applicant has filed the present OA, seeking the following reliefs:-

"a) To direct the respondents to release remaining amount of retirement benefits etc. as per details furnished in Annexure A-1.

b) To direct the respondents to grant interest @12% or as deemed fit in respect of all delayed payments of retirement benefits including pension as per details furnished in Annexure A-1.

c) Any other relief or direction which this Hon‟ble Tribunal deems fit and proper in view of the facts and circumstances of the case may be granted/passed in favor of the applicant and against the respondents."

During the arguments, counsel for the applicant has submitted that pursuant to the notice issued by the Tribunal in this matter, the respondents have released all the retiral benefits of the applicant and the only relief now sought by the applicant in this OA is to issue direction to the respondents to grant interest on all the delayed payment of retiral benefits from the due dates as shown in the Annexure A-1 of the OA.

In the reply to the aforesaid averments of the applicant, the respondents have enclosed a letter No.DDH/ADH/CLZ/2019- 20/431 dated 03.07.2019 (Annexure „A‟) issued by the Asstt. Director (Hort), regarding payment of retirement benefits to the applicant which reads as under:-

Description of Retirement Benefits

Payment Due & Paid

Date of Payment

Leave Encashment

320000.00

25.11.2016

Death-cumRetirement Gratuity (DCRG)

432480.00

29.05.2018

Pension Commutation

629300.00

29.05.2018

GPF

554549.00

10.01.2019

GIS

5594.00

27.03.2019

Total

1941923.00

The respondents have also conceded the fact that the delay in payments of Gratuity and Commutation of Pension to the applicant had occurred due to financial crises in NDMC but the same has now been paid immediately on availability of funds..

After hearing both the counsel and perusing the pleadings on record, we do not find any material on record showing the date of submission of pension papers by the applicant nor was he orally made any submission to this effect at the time of arguments. However, it is also a fact that the MCD is facing financial crisis, though they have released the retiral benefits of their employees, including the applicant herein on availability of funds and on the basis of the procedure/system adopted by them. We have also dealt with a similar situation in many cases, particularly in the case of Brahampal Singh Dholyan vs. East Delhi Municipal Corporation (OA No. 886/2018) in which the following observations were made on 08.07.2019:-

"4. ....However, as regards demand for payment of gratuity and computation of pension have also been sent to HQ vide demand No.281/11/16/01/2017, but the same shall not be paid on account of non-availability of funds from HQ. They have further submitted that the EDMC have made a procedure/system by which they are releasing the pensionary benefits to their employees and according to this procedure the employees who were retired till October, 2015 have only been paid DCRG & Commutation of pension. Hence, the remaining payment could not be released to the applicant due to paucity of funds.

The respondents have mainly contended that the respondent - EDMC does not have the financial resources to pay all dues of all employees at one time and in view of the paucity of funds in the respondent - organization, they are paying employees as and when they have funds. At present, only employees, who have retired till October, 2015 have been paid."

Hence, in view of the precarious financial position of the Corporation, the claim of the applicant for interest on the delayed payment of retiral dues is not feasible at present. However, if in future the financial position of the NDMC also improves and they pay interest to any employee on delayed payments of retiral dues, then the same interest shall be given to the applicant of this OA also.

In view of the above factual position, nothing remains to be decided in this OA and the same is dismissed accordingly. No order as to costs.