State of Gujarat and Others vs PWD Employees Union and Others

V.M. Sahai, J.—We have heard learned Assistant Government Pleader Mr. N.J. Shah for the Appellants and learned Counsel Mr. Shalin Mehta for the Respondents.

The learned Counsel agree that this matter may be disposed of finally at the admission stage, without calling for affidavit-in-reply. Therefore, we have taken this matter for final disposal.

The Respondents filed Special Civil Application No. 1048 of 2010 for the following reliefs:

14A) Your Lordship be pleased to issue a writ of mandamus or any other appropriate writ, order or direction, commanding the Respondents herein to implement Government Resolution dated 24.8.2009 so as to award the Petitioners 2 to 74 herein of benefits payable thereunder.

B) Your Lordship be pleased to issue a writ of mandamus or any other appropriate writ, order or direction, commanding the Respondents herein to fix the pay of the Petitioners 2 to 74 herein in the revised pay scale of Rs. 4440-7440 with grade pay of Rs. 1300/- with effect from 1.1.1996 and to award all arrears payable on such fixation in consonance with Government Resolution dated 24.8.2009;

C) Your Lordships be pleased to declare the action of the Respondents herein of denying the benefits of the Sixth Pay Commission recommendations to the Petitioners 2 to 74 herein as arbitrary, discriminatory and violative of the Petitioners'' fundamental rights guaranteed under Articles 14, 16 and 21 of the Constitution of India.

D) Pending admission and final hearing of the present petition, Your Lordship be pleased to direct the Respondents herein to implement Government Resolution dated 24.8.2009 for the Petitioners 2 to 74 herein; and

E) Your Lordship be pleased to pass any other appropriate order, as deemed fit, in the interest of justice.

When the matter came up before the learned Single Judge, officer of the Appellant Mr. Kishore Modi made a statement before the Court that arrears as per 6th Pay Commission shall be made to the Respondents within a period of eight months, which was accepted by the Court. However, the Court, on its own, has imposed interest of 8% per annum on the amount to be paid to the Respondents due to delayed payment with effect from 1.10.2009 till the date of payment.

Having heard the learned Counsel for the parties, we find that the Respondents had not claimed any relief of interest in their Special Civil Application. Further, interest is not payable as per the Scheme of the 6th Pay Commission. Award of 8% interest with effect from 1.10.2009 was not warranted in the facts of the instant case.

The learned Assistant Government Pleader has placed documents before us, which show that 6th Pay Commission amount has been paid to the Respondents in cash as also, it has been deposited in GPF accounts. These documents placed by the learned Assistant Government Pleader shall form part of the record of this matter.

Mr. Shalin Mehta, learned Counsel for the Respondents has made a statement that the Respondents are not pressing for any payment of interest. Therefore, interest of 8% p.a., as directed by the learned Single Judge to be paid to the Respondents, cannot be maintained.

In the result, the appeal succeeds and and is allowed. Order of the learned Single Judge dated 8.2.2010 in Special Civil Application No. 1048 of 2010, directing payment of 8% interest to the Respondents with effect from 1.10.2009 till the date of payment is set aside. Parties shall bear their cost.

ORDER IN CIVIL APPLICATION:

In view of the judgment and order passed in the main Appeal, no order is passed on the Civil Application. Civil Application stands disposed of.