Full Judgment Text
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PETITIONER:
ANIRUDH PANDEY
Vs.
RESPONDENT:
THE BIHAR STATE ROAD TRANSPORT CORPORATION & ANR.
DATE OF JUDGMENT07/12/1994
BENCH:
AGRAWAL, S.C. (J)
BENCH:
AGRAWAL, S.C. (J)
FAIZAN UDDIN (J)
CITATION:
1995 AIR 1129 1995 SCC Supl. (1) 212
JT 1995 (1) 407 1994 SCALE (5)190
ACT:
HEADNOTE:
JUDGMENT:
1. Leave granted.
2. We have heard learned counsel for the parties.
3. Anirudh Pandey, the appellant herein, was employed with
the Bihar State Road Transport Corporation,respondent No.1
[hereinafter referred to as ’the Corporation’. While he was
thus employed, he was allotted House No. 32772-2 on Road No.
26 at Adityapur Colony in Jamshedpur on June 7, 1970. The
said house belongs to the Bihar State Hosing Board
[hereinafter referred to as ’the Board’]. The appellant
retired on attaining the age of superannuation on January
31, 1992. Since he was not paid his post retiral benefits,
viz., provident fund, gratuity, etc. by the Corporation he
filed a writ petition (C.W.J.C. no 3038/92) in the Patna
High Court. The said writ petition was contested by thee
Corporation. The stand of the Corporation was that the
appellant had not vacated the house which was allotted to
him while he was in service of the Corporation and that the
Corporation was ready to pay all the legal dues of the
appellant after he vacates the said quarter. The writ
petition was disposed of by the High Court by order dated
April 21, 1993 on the view that unless the house was vacated
by the appellant he was not entitled to his post-retiral
benefits. The High Court directed the Appellant to vacate
the house and hand over the vacant possession of the same to
the Corporation and that the Corporation, after taking the
vacant possession of the house would pay the post-retiral
benefits to the appellant within a period of three weeks
from the date of the vacation of the house. Feeling
aggrieved by the said order of High Court the appellant has
filed this appeal.
4. While the matter was pending before this Court, it was
pointed out that the allotment of the house which was in oc-
cupation of the appellant has been house which was in
occupation of the appellant
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has been cancelled by the Board and allotment of the house
has been made by the Board in favour of Shradha Kumar
Pandey, son of the appellant. Notice was, therefore issued
to the Board to explain the circumstance in which the said
allotment was made. In response to the said notice an
affidavit of Shobha Kant Mishra was filed on behalf of the
Board. From the said affidavit filed on behalf of the Board
it appears that House No. 327/2-2 has been constructed by
the Board under the Subsidised Industrial Housing meant for
industrial workers. The said scheme envisages (i) sale of
houses on hire purchase basis to workers; and (ii) letting
out of the houses on rent to the workers. For letting out a
house on rent the Scheme provides for allotment of the house
to the worker who is required to submit an application
through his employer. Although, under the Scheme, the
allottee, i.e., the worker, is liable to pay the rent of the
house and other rates ans taxes payable to the municipality
or the Government but thee same are required to be paid
every month by the employer after deducting the same from
the monthly wages of the worker under the Payment of Wages
Act. In the affidavit of Shobha Kant Mishra, it is stated
that at the end of June, 1992 a sum of Rs. 9,231.85p was due
as rent for the house in question ans that the Divisional
Manager of the Corporation was required to pay the amount
but the same having not been paid, the Executive Engineer of
the Board, on July 3,1992, cancelled the allotment of the
said house and,thereafter, by letter dated July 31,1992 the
said house was allotted in favour of M/s Ambika Rubber
Product, Adiyapur for the residence of their employee,
Shradha Kumar Pandey, on rental basis. It is further stated
that the said allotment is subject to the condition that the
allottee will have to pay the sum of Rs.9,231.85p, the total
arrear against rent till June 1992.
5. The learned counsel for the appellant has submitted
that rent of the house was deducted from the salary of the
appellant by the Corporation from July 1,1970 to December
31,1990 and in spite of such deduction the Corporation
failed to deposit the rent with the Board and on account of
the said default on the part of the corporation in
depositing the rent the allotment of the house was cancelled
by the Board and that the appellant cannot be held re-
sponsible for the same ans the that the Corporation cannot
withhold the post-retiral benefits of the appellant on the
ground on the ground that the appellant had failed to vacate
and surrender the house to the Corporation.
6. In our opinion, the said submission of learned counsel
for the appellant must be accepted. Since the allotment of
the house which was in occupation of the appellant has been
cancelled by the Board on account of the failure on the part
of the Corporation to pay the rent and other charges for
thee same it is not open to the Corporation to blame the
appellant for not having surrendered the house to the Cor-
poration. In the circumstance the Corporation was not
justified in withholding the post-retiral benefits of the
appellant on the ground that he has failed to surrender the
possession of the house to the Corporation.
7. The appeal is, therefore, allowed, the order passed by
the High Court is set aside and the writ petition filed by
the appellant is allowed with the direction that the
Corporation will pay the post-retiral
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benefits legally payable to the appellant as well as the
amount of the house rent deducted from the salary of the
appellant which was not paid to the Board. The said dues
shall be paid by the Corporation to pay the said dues within
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this period, the Corporation would be liable to pay interest
@ 15% per annum on the same from the date of expiry of the
said period of four months till the said dues are paid. The
appellant will be entitled to his costs which is assessed at
Rs. 5,000/-.
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