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Thursday, 6 April 2017

Chhattisgarh HC judgement on Gratuity

I have gone through the judgment .
The sum and substance of the judgment as  based on a number of Supreme Court judgments is that  interest on gratuity cannot be denied(1) except when the delay is attributable to the  fault of the retired employee & (2) permission for such withholding  is obtained from the controlling authority..Overstay in  staff quarters is not deemed to be a fault of the employee after retirement unless it is unauthorised..
In LIC except PF benefits & GSLI benefits like gratuity,commuted pension & pension are not released till  the employee/officer concerned vacates the staff quarters  and no interest on gratuity is paid  where payment is made beyond  30 days.
Arising out of this judgment, I am of the view that LIC Pensioners who were denied  interest on gratuity  on account of overstay in staff quarters beyond 30 days  can join together and file a Writ Petition in High Courts in their jurisdiction.Mostly this situation happens for  officers at Mumbai and other Metropolitan cities.The cost -benefit  of litigation has to be assessed before resorting to litigation.
Kind regards.
C H Mahadevan 

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