High Court · 2025

Petitioner :- Rajendra Kumar Chaubey Respondent :- U.P. Cooperative Federation Ltd. Thru. M.D. And Another Counsel for Petitioner :- Rakesh Chandra Tewari,Gyan Prakash Srivastava Counsel for Respondent :- Akhilesh Kumar Srivastava Hon'ble Rajesh Singh Chauhan,J.

1. Heard Sri Rakesh Chandra Tewari (R.C. Tewari), learned counsel for the petitioner and Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties.

2. This Court has passed the order dated 17.04.2025, which reads as under:- "1. Heard Sri R.C. Tewari, learned counsel for the petitioner and Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties.

2. By means of this petition, the petitioner has prayed following main reliefs:- "i) Issue a writ, order or direction in the nature of Certiorari thereby quashing the impugned order dated 5.12.2024 passed by opposite party No.2 as contained in Annexure No.1 to the writ petition. ii) Issue a writ, order or direction in the nature of Mandamus commanding/directing the opposite parties to make the payment of post retiral dues of the petitioner like Gratuity, Earned Leave Encashment, Security Deposit etc. with admissible interest.

3. Sri Tewari has submitted that the petitioner retired from the post of Accountant on 30.06.2019 and at the time of his retirement, neither any departmental inquiry was pending nor any charge sheet was given to him. He retired having unblemished service record. After about six years from his retirement, no impugned action can be taken against him and even if the department finds any audit objection as indicated in the impugned order dated 05.12.2024, such amount cannot be recovered from him as there is no statutory prescription to that effect in the department.

4. So as to reply the aforesaid short question/ submission, Sri Akhilesh Kumar Srivastava is given fifteen days' time to file short counter affidavit.

5. List on 05.05.2025 as fresh.

6. This matter may be taken up after fresh cases."

3. Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties has filed the short counter affidavit, today in the Court, the same is taken on record.

4. One letter dated 02.11.2020 has been enclosed with the short counter affidavit which has been addressed to the Commissioner- cum-Registrar, Cooperative U.P., Lucknow preferred by the Managing Director, U.P. Cooperative Federation Ltd. relating to conduct the departmental inquiry against the retired employees. One chart has been indicated in the aforesaid letter having names of 19 employees, against whom some allegations have been indicated, and the name of the petitioner finds place at Serial No.8. In the aforesaid chart, the name, post, date of retirement and the allegations against the employees have been indicated. In the chart, the date of retirement of the petitioner has been indicated as 30.06.2019 and the allegations against the petitioner are of the year 2017-2018 when he was in service serving at Siddharthnagar. In the aforesaid letter itself, it has been indicated that the departmental inquiry against the retired employee may be conducted regarding the incident, which took place within a period of four years, after the retirement of the petitioner.

5. Sri R.C. Tewari has stated that the alleged incident is relating to the year 2017-2018, so the said departmental inquiry in the issue in question could be conducted on or before 2023, but no departmental inquiry of any kind whatsoever has been initiated against the petitioner.

6. Sri Tewari has also drawn attention of this Court towards one judgment passed by this Court in the case in re: Dr. Ashok Kumar vs. State of U.P. and others reported in [2019 (37) LCD 1388] (Annexure No.14) wherein the fact was considered by this Court that though there was no provision under the Rule to conduct any departmental inquiry against the retired employee of the Cooperative Societies but in terms of amendment dated 27.08.2018 such departmental inquiry may be conducted against an employee under the provisions of Article 351 of C.S.R.

7. Learned counsel for the petitioner has further submitted that even if the department was willing to conduct any departmental inquiry, the same could have been conducted after his retirement as per mandated provision but within a period of four years from the alleged incident in question. Therefore, after lapse of the aforesaid period, no such departmental inquiry may be conducted against the petitioner.

8. Sri Akhilesh Kumar Srivastava has also submitted that the Managing Director, U.P. Cooperative Federation Ltd. could not receive any reply/ clarification on the letter dated 02.11.2020. He has however submitted that since No Dues Certificate of the petitioner could not be received in the department, therefore, the payment of the post retiral dues could not be paid.

9. On that, Sri R.C. Tewari has stated that No Dues Certificate is issued by the department and in the last about six years after the retirement of the petitioner no reasons have been assigned by the department as to why No Dues Certificate has been issued. Therefore, as per Sri Tewari, it may be presumed that there is no dues outstanding against the petitioner.

10. Having considered the submissions of learned counsel for the parties, having perused the material available on record and the letter dated 02.11.2020 (supra), I find that the impugned order dated 05.12.2024 (Annexure No.1) issued by the Managing Director. U.P. Cooperative Federation Ltd. is patently illegal, arbitrary and unwarranted inasmuch as the reasons so indicated in the impugned order would not be applicable in the case of the petitioner and on account of incomplete audit report the post retiral dues of the petitioner may not be withheld as about six years period have passed since the date when the petitioner superannuated. At this stage, no departmental inquiry may be initiated against the petitioner as the same is not permissible under the law, though no such decision has yet been taken by the Competent Authority.

11. Accordingly, the impugned order dated 05.12.2024 is hereby set aside/ quashed. The direction is issued to the opposite party No.2 i.e. the Managing Direcctor, U.P. Cooperative Federation Ltd. 32 Station Road, Lucknow to make payment of post retiral dues of the petitioner i.e. gratuity, leave encashment and the security deposit etc. with expedition preferably within a period of three months from the date of presentation of a certificated copy of this order and the petitioner may be entitled for interest on the delayed payment, which is permissible under law. If the aforesaid dues are not paid to the petitioner within the aforesaid stipulated time, he shall be entitled for interest at the rate of 8% per annum on the delayed payment.

12. It is needless to say that if the department is wishes to take any action against the petitioner, the same may only be taken if the same is permissible under the law.

13. Accordingly, the writ petition is allowed.

14. No order as to cost. [Rajesh Singh Chauhan,J.] Order Date :- 9.5.2025 Suresh/ SURESH CHANDRA High Court of Judicature at Allahabad, Lucknow Bench

Petitioner :- Rajendra Kumar Chaubey Respondent :- U.P. Cooperative Federation Ltd. Thru. M.D. And Another Counsel for Petitioner :- Rakesh Chandra Tewari,Gyan Prakash Srivastava Counsel for Respondent :- Akhilesh Kumar Srivastava Hon'ble Rajesh Singh Chauhan,J.

1. Heard Sri Rakesh Chandra Tewari (R.C. Tewari), learned counsel for the petitioner and Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties.

2. This Court has passed the order dated 17.04.2025, which reads as under:- "1. Heard Sri R.C. Tewari, learned counsel for the petitioner and Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties.

2. By means of this petition, the petitioner has prayed following main reliefs:- "i) Issue a writ, order or direction in the nature of Certiorari thereby quashing the impugned order dated 5.12.2024 passed by opposite party No.2 as contained in Annexure No.1 to the writ petition. ii) Issue a writ, order or direction in the nature of Mandamus commanding/directing the opposite parties to make the payment of post retiral dues of the petitioner like Gratuity, Earned Leave Encashment, Security Deposit etc. with admissible interest.

3. Sri Tewari has submitted that the petitioner retired from the post of Accountant on 30.06.2019 and at the time of his retirement, neither any departmental inquiry was pending nor any charge sheet was given to him. He retired having unblemished service record. After about six years from his retirement, no impugned action can be taken against him and even if the department finds any audit objection as indicated in the impugned order dated 05.12.2024, such amount cannot be recovered from him as there is no statutory prescription to that effect in the department.

4. So as to reply the aforesaid short question/ submission, Sri Akhilesh Kumar Srivastava is given fifteen days' time to file short counter affidavit.

5. List on 05.05.2025 as fresh.

6. This matter may be taken up after fresh cases."

3. Sri Akhilesh Kumar Srivastava, learned counsel for the opposite parties has filed the short counter affidavit, today in the Court, the same is taken on record.

4. One letter dated 02.11.2020 has been enclosed with the short counter affidavit which has been addressed to the Commissioner- cum-Registrar, Cooperative U.P., Lucknow preferred by the Managing Director, U.P. Cooperative Federation Ltd. relating to conduct the departmental inquiry against the retired employees. One chart has been indicated in the aforesaid letter having names of 19 employees, against whom some allegations have been indicated, and the name of the petitioner finds place at Serial No.8. In the aforesaid chart, the name, post, date of retirement and the allegations against the employees have been indicated. In the chart, the date of retirement of the petitioner has been indicated as 30.06.2019 and the allegations against the petitioner are of the year 2017-2018 when he was in service serving at Siddharthnagar. In the aforesaid letter itself, it has been indicated that the departmental inquiry against the retired employee may be conducted regarding the incident, which took place within a period of four years, after the retirement of the petitioner.

5. Sri R.C. Tewari has stated that the alleged incident is relating to the year 2017-2018, so the said departmental inquiry in the issue in question could be conducted on or before 2023, but no departmental inquiry of any kind whatsoever has been initiated against the petitioner.

6. Sri Tewari has also drawn attention of this Court towards one judgment passed by this Court in the case in re: Dr. Ashok Kumar vs. State of U.P. and others reported in [2019 (37) LCD 1388] (Annexure No.14) wherein the fact was considered by this Court that though there was no provision under the Rule to conduct any departmental inquiry against the retired employee of the Cooperative Societies but in terms of amendment dated 27.08.2018 such departmental inquiry may be conducted against an employee under the provisions of Article 351 of C.S.R.

7. Learned counsel for the petitioner has further submitted that even if the department was willing to conduct any departmental inquiry, the same could have been conducted after his retirement as per mandated provision but within a period of four years from the alleged incident in question. Therefore, after lapse of the aforesaid period, no such departmental inquiry may be conducted against the petitioner.

8. Sri Akhilesh Kumar Srivastava has also submitted that the Managing Director, U.P. Cooperative Federation Ltd. could not receive any reply/ clarification on the letter dated 02.11.2020. He has however submitted that since No Dues Certificate of the petitioner could not be received in the department, therefore, the payment of the post retiral dues could not be paid.

9. On that, Sri R.C. Tewari has stated that No Dues Certificate is issued by the department and in the last about six years after the retirement of the petitioner no reasons have been assigned by the department as to why No Dues Certificate has been issued. Therefore, as per Sri Tewari, it may be presumed that there is no dues outstanding against the petitioner.

10. Having considered the submissions of learned counsel for the parties, having perused the material available on record and the letter dated 02.11.2020 (supra), I find that the impugned order dated 05.12.2024 (Annexure No.1) issued by the Managing Director. U.P. Cooperative Federation Ltd. is patently illegal, arbitrary and unwarranted inasmuch as the reasons so indicated in the impugned order would not be applicable in the case of the petitioner and on account of incomplete audit report the post retiral dues of the petitioner may not be withheld as about six years period have passed since the date when the petitioner superannuated. At this stage, no departmental inquiry may be initiated against the petitioner as the same is not permissible under the law, though no such decision has yet been taken by the Competent Authority.

11. Accordingly, the impugned order dated 05.12.2024 is hereby set aside/ quashed. The direction is issued to the opposite party No.2 i.e. the Managing Direcctor, U.P. Cooperative Federation Ltd. 32 Station Road, Lucknow to make payment of post retiral dues of the petitioner i.e. gratuity, leave encashment and the security deposit etc. with expedition preferably within a period of three months from the date of presentation of a certificated copy of this order and the petitioner may be entitled for interest on the delayed payment, which is permissible under law. If the aforesaid dues are not paid to the petitioner within the aforesaid stipulated time, he shall be entitled for interest at the rate of 8% per annum on the delayed payment.

12. It is needless to say that if the department is wishes to take any action against the petitioner, the same may only be taken if the same is permissible under the law.

13. Accordingly, the writ petition is allowed.

14. No order as to cost. [Rajesh Singh Chauhan,J.] Order Date :- 9.5.2025 Suresh/ SURESH CHANDRA High Court of Judicature at Allahabad, Lucknow Bench