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2020 DIGILAW 2066 (MAD)

. v. .

2020-11-04

R.SURESH KUMAR

body2020
JUDGMENT : 1. This writ petition has been filed by Bharathiya Puducherry Co-operative Sugar Mills Employees Union represented by its Secretary and another against the respondents ie., Government of Puducherry represented by its Secretary, Labour Department, the Managing Director of Pondicherry Co-operative Sugar Mills Ltd., and the Registrar of Co-operative Societies, Government of Puducherry. The relief sought for in this writ petition is for a Writ of Mandamus directing the first and second respondents, the State Government of Puducherry as well as the second respondent Mill, to consider and grant the service benefits sought for by the petitioner in their representation dated 16.04.2020 and 20.07.2020. 2. In this context it is to be noted that, the petitioner is the Employees Union representing several employees, who are the employees of the second respondent Mill and the Mill has been closed sometime back due to various reasons and the Management decided to retrench these employees and therefore, in order to get the retrenchment benefit as well as the other statutory dues payable to these employees, they seems to have given representation after representation to the Mill as well as the State Government and since the same have not been considered, they have approached this Court by filing the present writ petition with the aforesaid prayer. 3. In this context, when this writ petition came up for hearing on 13.10.2020, Mr. M. Nirmal Kumar, learned counsel for the second respondent Mill as well as Mrs.V.Usha, learned Additional Government Pleader appearing for the first and third respondents viz., State Government of Puducherry and the Registrar of Cooperative Societies wanted time till 04.11.2020 to get instructions and to file a status report touching upon the stand of the State Government vis-a-vis the Mill to explore the possibility of making an interim solatium to the employees from out of the entire dues payable to them, which comes to more than Rs.23 Crores. Only in that context, this Court on 13.10.2020 passed the following order. Only in that context, this Court on 13.10.2020 passed the following order. “ Mr.M.Nirmal Kumar, learned counsel for the second respondent Mill and Mrs.V.Usha, learned Additional Government Pleader appearing for respondents 1 and 3 want time till 04.11.2020 to file the status report touching especially the grievance of the petitioner's Union for giving some interim solatium for the purpose of their survival as of now since they have been admittedly not paid any salary even Section 25 benefits, as the Mill has been closed or laid off for the past more than two years, and admittedly there has been a salary due or wages due payable to the employees to the extent of more than 23 Crores. 2. Post the matter on 04.11.2020.” 4. Accordingly, the matter has come up for hearing today. On behalf of the second respondent Mill, Mr.M.Nirmal Kumar appeared and has filed a Status Report dated 02.11.2020. In the said Status Report, the second respondent Mill traces out the chronological events that had taken place towards the retrenchment of the workers and to close the Mill and also the further efforts taken by the Mill Management as well as the State Government to revive the Mill and accordingly they seems to have gone for a tender to give the Mill by way of lease to third parties. However, since the said attempt has failed, they further decided to either revive the Mill or to go for a fresh tender to lease out the Mill to third parties. Accordingly it seems that, on 09.09.2020 a high level meeting was convened in the presence of Honourable Chief Minister of Puducherry and other Honourable Ministers with Officials and ultimately they seem to have decided that, the Mill can be revived and accordingly it is claimed in the Status Report of the second respondent that a proposal has been sent to the first respondent Puducherry Government through the Registrar of Cooperative Societies ie., the third respondent, suggesting commencement of crushing operations of the Mill with the financial assistance from the Government of Puducherry, apart from other suggestions like issuing re-tender with existing liabilities and fresh tender without liabilities, to revive the financial condition of the second respondent Mill. 5. The relevant portion of the Status Report is quoted hereunder for easy reference. “11. 5. The relevant portion of the Status Report is quoted hereunder for easy reference. “11. However, on 09.09.2020, a High Level Meeting was convened in the presence of the Hon'ble Chief Minister of Puducherry, Hon'ble Minister for Co-operation, with Secretary to Government (Co-operation), Development Commissioner, Director of Agriculture-cum-Cane Commissioner, Registrar of Co-operative Societies and other officials to discuss the status and revival of the 2nd respondent Co-operative Sugar Mills. Representatives of the Sugarcane Growers Associations also participated in the High Level meeting with suggestions to revive the 2nd respondent Sugar Mills. 12. It is stated that based on the proceedings of the High Level Meeting, the 2nd respondent has submitted a proposal to the Government of Puducherry, the 1st respondent herein through the Registrar of Co-operative Societies, the 3rd respondent herein suggesting commencement of crushing operations of the Mill with the Financial Assistance from the Government of Puducherry, apart from other suggestions like issuing re-tender with existing liabilities and fresh tender without liabilities to revive the financial health of the 2nd respondent Mill. 13. The decision is now awaited from the Government of Puducherry with respect to the measures to be taken to revive the sugar mills and settle all their liabilities. Since the 2nd respondent Mills do not have any revenue, they are unfortunately not in a position to provide even interim relief to their employees. However, the 2nd respondent is absolutely willing to co-operate with whatever proposal/recommendation/measures that the Government of Puducherry makes to clear all liabilities, including provision of any interim relief/solatium to the petitioners.” 6. However, the learned counsel appearing on behalf of the first respondent and third respondent viz., Government of Puducherry and Registrar of Cooperative Societies, on instructions would submit that, the Mill is an independent entity which is headed by the Managing Director and if at all the Mill becomes sick or not in a position to pay salary or wage due or retrenchment compensation payable to the employees and other dues under various heads, it is the look after of the second respondent Mill to work out its remedy and to pay the employees. The learned counsel for the Puducherry Government, on instructions would further submit that, insofar as the running of the Mill or paying the dues payable to the employees are concerned, the Government of Puducherry does not have any role to play. 7. The learned counsel for the Puducherry Government, on instructions would further submit that, insofar as the running of the Mill or paying the dues payable to the employees are concerned, the Government of Puducherry does not have any role to play. 7. If we look at the stand taken by the Puducherry Government as well as the second respondent Mill and if it is positioned in juxtaposition, this Court is wondering whether the Puducherry Government can take such a decision or stand, as has been projected before this Court today that, it does not have any role in the running of the second respondent Mill or the dues payable by the Mill to the employees. In the context of the Status Report filed by the second respondent Mill as has been extracted herein above, it is to be noted that on 09.09.2020, a high level meeting was conducted headed by the Honourable Chief Minister of Puducherry and in that meeting, some decision has been taken to revive the Mill and accordingly a proposal has been sent by the second respondent Mill, of course through the third respondent. The said proposal is pending with the State Government and it is for the State Government to take action in this regard as to whether any interim solatium can be paid to these employees, who are struggling to meet both ends and it can be decided only by the Puducherry Government. When that being the position, when such a stand is taken now before this Court, it has become ridiculous to note and to ascertain that the State Government through the responsible officer, whether has given any such instructions to the counsel to make such a contention before this Court as to the stand of the State Government. 8. In this regard, written instructions or counter or Status Report on behalf of the State Government, either by the concerned Secretary of the Department of Labour or Department of Cooperation of Puducherry Government, shall be filed. 9. Hence, post the matter on 09.11.2020. A copy of this order shall also be communicated to the Chief Secretary to the Government of Puducherry, Secretary incharge of the Department of Labour and Cooperation, for prompt compliance as indicated above.