Chennai Metropolitan Water Supplyand Sewerage Board v. Gratuity-I (Controlling Authorityunder the Payment of Gratuity Act

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED :03.08.2010CORAM :THE HONOURABLE Mrs.JUSTICE R.BANUMATHIandTHE HONOURABLE Mr.JUSTICE G.M.AKBAR ALIWrit Appeal Nos.3917 and 3918 of 2002 Chennai Metropolitan Water Supplyand Sewerage Board, rep. by itsManaging Director, Chennai-2... Appellants in both the Appeals. Vs.

The Assistant Commissioner of Labour, Gratuity-I (Controlling Authorityunder the Payment of Gratuity Act,1972)Chennai-6.

The Joint Commissioner of Labour, Appellate Authority under Paymentof Gratuity Act, 1972, Chennai-6.

G.T.Padmanabhan.. Respondents in both the Appeals. Prayer: Writ Appeal Nos.3917 & 3918 of 2002 are filed under Clause 15 of Letters Patent against the common Order of the learned single Judge of this Court dated 19.09.2002 in WP.MP.Nos.54031 &54032 of 2002 in W.P.No.36001 of 2002. This petition filed under article 226 of the constitution of India to issue a Writ ofcertiorari or direction by calling for the records of the first respondent in P.G.No.446/2000 dated 4.4.2001 as confirmed by the second respondent in PGA.No.22 of 2002 dt.10.7.2002 and quash the same. For Appellants : Mr.S.RajendranFor Respondent : Mr.Dhandapani for R1 and R2 Spl. Government Pleader. https://hcservices.ecourts.gov.in/hcservices/ COMMON JUDGMENT(Order of the Court was made by R.BANUMATHI,J)These Writ Appeals arise out of the Interlocutory Order passed in WP.MP.Nos.54031 and 54032 of 2002 in W.P.No.36001 of 2002 dated19.09.2002.2. Third Respondent-Padmanabhan has been working in ChennaiMetropolitan Water Supply and Sewerage Board. By common order inP.G.A.8/2002 P.G.A.14/2002, P.G.A.22/2002 and P.G.A.23/2002, the competent authority/appellate authority under Payment of Gratuity Acthas confirmed the order of Controlling Authority in respect of the payment of gratuity to employees. Challenging the order of the Appellate Authority, Appellant-Chennai Metropolitan Water Supply and Sewerage Board has filed W.P.No.36001/2002.3. In the said Writ Petition WP.MP.Nos.54031 & 54032/2002,learned single Judge granted interim stay and injunction on condition that Appellant should deposit entire amount to the credit ofP.G.No.446/2000 on the file of 1st Respondent and permitted the 3rdRespondent to withdraw 50% of the amount and directing the balance of50% to be reinvested in Fixed Deposit in Corporation Bank, Chennai. Being aggrieved by the interim order in WP.MP.Nos.54031 & 54032/2002,Appellant-Board has filed these Appeals.

When the Writ Appeals came up for hearing, the learned counsel for Appellants has brought to our notice the order of the First Bench in W.A.Nos.1775 and 1776 of 2000 dated 12.2.2001. Whileconsidering the similar matter and similarly placed employees, the First Bench of this Court directed the employees to furnish bank guarantee and the modified order of the First Bench reads as under:-" .... Under the peculiar facts and circumstances and to safeguard the interest of the Government, we deem it just and proper to modify the order of the learned single Judgeto the extent that the third respondent in each of the appeals shall furnish Bank Guarantee for the amount equivalent to the sum deposited by the appellant instead of the immovable property as surety. We further direct that the balance of amount be paid to the third respondent in each of the appeals on furnishing Bank Guarantee to the like sum. The order of the learned single Judge is modified to the extent as stated above. ..."

Following the order of First Bench of this Court, the order of learned single Judge in WP.MP.Nos.54031 & 54032/2002 inW.P.No.36001/2002 is modified and the 3rd Respondent is directed to furnish bank guarantee of the amount equivalent to the sum permitted to be withdrawn by the 3rd Respondent. In so far as direction of https://hcservices.ecourts.gov.in/hcservices/ learned single Judge to deposit the balance amount of 50% in Corporation Bank shall holds good. Since the matter is pending for quite some time, we would request the learned single judge to take up the Writ Petition at an early date.

With the above observation, these Writ Appeals are disposed of. No costs. Sd/Asst. Registrar/true copy/Sub Asst. RegistrarbbrTo1.The Assistant Commissioner of Labour, Gratuity-I (Controlling Authorityunder the Payment of Gratuity Act,1972)Chennai-6.2.The Joint Commissioner of Labour, Appellate Authority under Paymentof Gratuity Act, 1972, Chennai-6.1 cc To Mr.S.Rejendiran, Advocate, SR.56971 W.A.Nos.3917 & 3918/2002SGL(CO)sra 16/08/2010