Ashok Kumar Sinha, S/o Late Krishna Nath Sinha v. State of Jharkhand
2017-08-11
PRAMATH PATNAIK
body2017
DigiLaw.ai
JUDGMENT : Pramath Patnaik, J. In the accompanied writ application, the petitioners who are retired employees of Ranchi Municipal Corporation, having putting in more than 30 years of service, have sought for direction upon the respondents to release the pension of the petitioners in terms of Patna Municipal Corporation Officers and Service Pension Rules, 1986, which was adopted by the officers/employees of the Ranchi Municipal Corporation specially in consonance with Rule 44 of the said Rule and for direction upon the respondents restraining them to provide the amount of pension to the petitioners in terms of Rule 19 of Patna Municipal Corporation Officers and Servant Pension Rules as adopted for Ranchi Municipal Corporation since fixation under Rule-19 was made in the year 1987 and in the meantime, 5th Pay Revision and Pay Revision have been effected for the State Government Employees with effect from 01.01.1996 to 01.01.2006 respectively. Further, prayer has been made for issuance of writ of mandamus commanding upon the respondents to calculate and fix the pension of the petitioners as provided under Rule 43 and 44 of the said Rules and the same should be paid to the petitioners with interest. 2. The brief facts, as depicted in the writ petition, is that the petitioners who have been holding different posts under Ranchi Municipal Corporation retired on attaining the age of superannuation by rendering more than 30 years of service. The Ranchi Municipal Corporation was constituted in the year, 1979 and the Patna Municipal Corporation Act, 1951 has been adopted by Ranchi Municipal Corporation. Patna Municipal Corporation has constituted Patna Municipal Corporation Officers and Servant Pension Rules, 1986 (hereinafter called Pension Rule, 1986) and the said Pension Rule has been adopted by the Ranchi Municipal Corporation in the year, 1987. As per Rule 19 of the said Rule, the pension of the employees of Corporation was determined based on the existing pay scale as well as the total emoluments in the year, 1987 in accordance with 4th Pay Revision Committee Report and the maximum ceiling of the pension of Rs.1500/-per month was fixed. As per the Rule 44 of the Pension Rule, 1986, it has been provided that the amount of pension when revised in the case of the Government servant be admissible to corporation employees. Under Rule 45 of the Pension Rules, 1986, the method of calculation of pension has been given.
As per the Rule 44 of the Pension Rule, 1986, it has been provided that the amount of pension when revised in the case of the Government servant be admissible to corporation employees. Under Rule 45 of the Pension Rules, 1986, the method of calculation of pension has been given. Since, the petitioners were not getting pension till date filed representation for payment of pension in accordance with the calculation made on the basis of last pay drawn, but the said representation did not evoke any responses from the respondents. Being aggrieved by inaction on the part of the respondents in not paying the pension from time to time, the petitioners left with no other alternative remedy have knocked the doors of this Court under Article 226 of the Constitution of India for redressal of their grievances. 3. Counter-affidavit dated 19.03.2013 has been filed on behalf of respondent no.2, wherein it has been stated that Ranchi Municipal Corporation in its meeting held on 18.07.2012 had taken a decision to pay its employees gratuity and pension equivalent to the State Government Employees. The Chief executive officer, Ranchi Municipal Corporation vide letter dated 24.07.2012 requested the Urban Development Department for sanction of the resolution of the board with regard to payment of gratuity, pension etc. to the officers and employees equivalent to employees of the State of Jharkhand. Further, it has been stated that Urban Development Department has prepared the draft of Local Bodies Employees Service, Cadre (Appointment, Promotion & Service Condition Rule-2012) and also the Urban Development Department constituted a committee under the Chairmanship of Secretary, Urban Development Department for examination & verification of the Rule, 2013. Further, it has been submitted that Jharkhand Municipal Act, 2011 (Act 07/2012) under section 58 (1) of (2) and 614 confers the State to make rules which is in process. Until and unless the rule is framed by the State Government, liabilities of pension and other retiral benefits would be the subject of the concerned Urban Local Bodies as per office memo dated 17.12.2008 from the beginning as per Annexure-A to the counter-affidavit. 4. Counter-affidavit dated 29.01.2013 has been filed on behalf of respondent nos. 3 and 4 (Ranchi Municipal Corporation).
4. Counter-affidavit dated 29.01.2013 has been filed on behalf of respondent nos. 3 and 4 (Ranchi Municipal Corporation). It has been inter alia stated in the counter-affidavit that presently the salaries and allowances of officers and other employees of Ranchi Municipal Corporation are governed by Section 58 of the Jharkhand Municipal Corporation Act. The Section 58(2) of Jharkhand Municipal Corporation Act, 2011 provides: “Section 58(2) The municipality may also provide for pension, gratuity, provident fund, incentive, bonus, reward or penalty for its officers and other employees in accordance with such rules, norms, scales and conditions as prescribed by the State Government.” 5. A supplementary affidavit dated 25.07.2013 has been filed on behalf of the petitioners wherein it has been submitted that in view of the decision of the State Government communicated by Urban Development Department vide letter no.1323 dated 19.04.1991 (Annexure-S/1 to the affidavit) it has provided the consent of the State Government even for the employees of the Corporation that they will get their pension in terms of State Government Employees and when it is being enhanced, therefore petitioners are claiming that they are entitled to get their pension fixed on the basis of last pay drawn in the same manner as is being fixed and given to State Government employees in terms of Rule 44 of the Pension Rule, 1987. 6. A supplementary counter affidavit dated 11.05.2016 has been filed on behalf of respondent no.2 wherein it has been stated that Jharkhand Municipality Service Cadre Rules, 2014 has been notified on 17.07.2014. In Section 58 of Jharkhand Municipal Act, 2011 following provisions have been made: (i) All officers and other employees of a municipality including the officers has referred to in Section 55 shall receive salaries and allowances out of the municipal fund. (ii) The municipality may also provide for pension, gratuity, provident fund, incentive, bonus, reward and penalty for its officers and other employees in accordance with such rules, norms, scales and conditions as may be prescribed by the State Government. It has further been submitted that it is responsibility of the concerned Urban Local Bodies to make provision for pension of the employees in accordance with such Rules, Norms & Conditions as may be prescribed by the State Government. 7.
It has further been submitted that it is responsibility of the concerned Urban Local Bodies to make provision for pension of the employees in accordance with such Rules, Norms & Conditions as may be prescribed by the State Government. 7. Counter affidavit dated 06.12.2016 has been filed on behalf of respondent nos.3 and 4-Ranchi Municipal Corporation, wherein it has been mentioned that annual income and expenditure statement for the year 2013-14 and 2014-15 clearly shows that Ranchi Municipal Corporation is running at a huge deficit and is unable to meet its expenditures. The deficit for the year 2013-14 was around Rs.38 Crores and for the year 2014-15 deficit was around 47 Crores. RMC is cash strapped and resources strapped even to meet its obligatory duties. The forecast for the year 2015-16 is also of deficit. Therefore, RMC is not in a position to bear the burden of pension payment without help and funding from Government. 8. A counter affidavit dated 07.02.2017 has been filed on behalf of respondent nos.3 and 4-Ranchi Municipal Corporation, wherein it has been submitted that vide letter dated 18.01.2017 the Municipal Commissioner, Ranchi has addressed to the Principal Secretary, Urban Development Department, Government of Jharkhand and reiterates that the Corporation can make payment to its retired officers and servants equivalent to that being paid to State Government employees, only if State Government provides 70% assistance as per Annexure-B to the said affidavit. However, the State Government by letter dated 28.01.2017 has stated that the entire burden of pension has to be borne by the Corporation from its own funds as evident from Annexure-C to the affidavit. 9. A counter affidavit dated 07.02.2017 has been filed on behalf of respondents-State. In the said affidavit Section 58 of the Jharkhand Municipal Act, 2011 and Rule 6.2 of the Jharkhand Municipal Service Cadre Rule, 2014 have been referred to. The aforesaid rule stipulates that if the concerned local bodies are unable to pay salary, allowance and pension of their employees, in that case State Government may release compensatory grant on the basis of the self discretion of Government. As per decision vide notification dated 06.02.2017 it has been provided that pension and gratuity of the employees of municipality will be paid by the concerned bodies as per Annexure-C to the said affidavit. 10. Heard Mr. Rajendra Krishna, learned counsel for the petitioners, Mr.
As per decision vide notification dated 06.02.2017 it has been provided that pension and gratuity of the employees of municipality will be paid by the concerned bodies as per Annexure-C to the said affidavit. 10. Heard Mr. Rajendra Krishna, learned counsel for the petitioners, Mr. Rajesh Kumar (G.P.V) for the respondents-State and Mr. Ray Rajat Nath, learned counsel for the respondent nos.3 and 4 & perused the affidavits filed by the respective parties and documents on record. 11. After bestowing my anxious consideration to the various affidavits filed on behalf of respective parties, this Court feels it expedient to direct the respondents to calculate and fix the pension of the petitioners on the basis of last pay drawn and release the pension and arrears in accordance with Jharkhand Municipal Corporation Act read with Jharkhand Municipal Service Cadre Rule, 2014 and other relevant circulars as expeditiously as possible, preferably within a period of six months from the date of receipt of a copy of the order. 12. With the aforesaid direction, the writ petition stands allowed.