M. Balamurugan v. Indian Overseas Bank Rep. by its Chief Executive
2025-01-31
J.SATHYA NARAYANA PRASAD
body2025
DigiLaw.ai
ORDER : 1. The present writ petition has been filed challenging the impugned order dated 30.04.2020 and quash the same and for a consequential direction to the respondents to consider the claim of the petitioner for providing ex-gratia payment in lieu of compassionae appointment as per the Scheme notified vide Circular dated 28.09.2015 to the petitioner 2. The brief facts of the case are as follows:- The case of the petitioner is that his father was working as Shroff/Godown Keeper in the first respondent Bank at Chockikulam Branch, Madurai and he died while in service on 10.05.2006. The petitioner applied for appointment on compassionate grounds in the year 2006 itself. However, the same was not considered on the ground that there is no provision for compassionate appointment. Again, the petitioner applied for compassionate appointment in the prescribed format on 25.02.2019 and the same was rejected by the second respondent by its letter dated 04.03.2019. Aggrieved by the order of rejection of the Compassionate appointment, the petitioner earlier filed writ petition in W.P.No.15471 of 2019 challenging the said order for a favourably consideration of his claim for compassionate appointment and this Court directed the respondent to consider the representation of the petitioner afresh for ex-gratia amount in lieu of compassionate appointment in accordance with the scheme. However, the second respondent Bank passed the impugned letter dated 30.04.2020 stating that the application for ex-gratia amount should be submitted within one year from the date of death of the deceased employee viz., Mr.P.Muthuraj. Aggrieved by the order of rejecting the claim for ex- gratia payment , the petitioner has come forward with the present writ petition. 3. The learned Senior counsel appearing for the petitioner would submit that only in the year 2014 as per the Government of India instructions, the respondent bank has evolved Scheme for compassionate appointment. The new Scheme floated by the respondent bank provides for either compassionate appointment or payment of lumpsum ex-gratia amount in lieu of compassionate appointment. In the case of clerical staff, the ex- gratia payment fixed at Rs.7,00,000/- ( Rupees seven lakhs only).
The new Scheme floated by the respondent bank provides for either compassionate appointment or payment of lumpsum ex-gratia amount in lieu of compassionate appointment. In the case of clerical staff, the ex- gratia payment fixed at Rs.7,00,000/- ( Rupees seven lakhs only). The second respondent has rejected the application for compassionate appointment by its letter dated 04.03.2019 stating that “ in this connection, you made a request for compassionate appointment for yourself , on demise of your father, cannot be considered favourably since the Scheme for compassionate appointment was not in vogue at the time of death of Mr.C.Muthuraj, the father of the petitioner. 4. The learned Senior counsel appearing for the petitioner further submitted that the petitioner's mother has given a representation as early as 20.08.2006 to the respondent bank requesting for appointment to her son on the compassionate ground since she is not a position to work in the bank. As per circular issued by the respondent bank dated 28.03.2015 vide Reference No.EST/95/2014-2015 dated 28.03.2014, in regard to payment of ex gratia amount it reads as under : - Category Maximum Amount Officers Rs.8 lacs Clerical Staff Rs.7 lacs Sub-ordinate staff Rs.6 lacs. 5. The learned Senior counsel further referred to the scheme for compassionate appointment /payment of ex-gratia lumsump amount in lieu of compassionate appointment. In which, the cadre wise ceiling of ex-gratia amount payable at present is as follows:- Category Maximum Amount Officers Rs.8 lacs Clerical Staff Rs.7 lacs Sub-ordinate staff Rs.6 lacs. 6. It is evident from the Income Certificate of the petitioner vide No.TN-4201912065372 dated 09.12.2019 issued by the Zonal Deputy Tahsildar, Madurai North which evidences that the "financial condition and indigent circumstances has not changed and he is eligible ex-gratia in lieu of compassionate appointment. 7. A Counter affidavit filed on behalf of the second respondent dated 30.012021. 8. The learned counsel appearing for the respondents would submit that father of the petitioner, namely, Mr.C.Muthuraj died on 10.05.2006 and the petitioner filed application for compassionate appointment dated 07.09.2006. Since the scheme for compassionate appointment was not in operation in the bank during that period, Bank sent a letter dated 13.09.2006 informing him to apply for payment of ex-gratia amount and a copy of the application for the payment of ex-gratia was also sent to the petitioner. 9.
Since the scheme for compassionate appointment was not in operation in the bank during that period, Bank sent a letter dated 13.09.2006 informing him to apply for payment of ex-gratia amount and a copy of the application for the payment of ex-gratia was also sent to the petitioner. 9. He would further submit that the compassionate appointments /ex- gratia payment schemes are to assist the dependents of the deceased employees to tide over the immediate financial distress. Bank vide its letter dated 13.09.2006 advised the petitioner to submit application for payment of ex-gratia amount. The same opportunity was not utilized by the petitioner. Now after a lapse of 14 years has filed this case claiming benefits under a scheme which was introduced 10 years after the demise of his father. This scheme is in operation only from 05.08.2014 which is not applicable in the case of the petitioner. The failure of the petitioner to submit application for ex-gratia payment for all these years, even after called for by the bank to do so vide its letter dated 13.09.2006 proves that there is no financial distress. 10. The learned counsel appearing for the respondents would further submit that new scheme introduced in 2014 is applicable to dependents of the employees who die in harness after 05.08.2014. The petitioner cannot claim benefits to scheme which is not applicable to him, as per clause 5 of the Scheme, " the request" should have made within 3 years from the date of the death of the employee. 11. Heard both sides and perused the materials available on records. 12. In the case on hand, the petitioner's father died on 10.05.2006 while he was in service in the respondent bank. Thereafter, the mother of the petitioner /wife of the deceased employee made a representation to the bank as early as 20.08.2006 and the same was rejected by the respondent bank. Again, the petitioner made a representation in December 2019 to the respondent bank by enclosing the income certificate issued by the Zonal Deputy Tahsildar , Madurai North which evidences the financial conditions and indigent circumstances of the petitioner's family. The respondent sent a letter dated 13.09.2006 advising him to submit his application for payment of ex-gratia amount and the same is stated in paragraph 8 of the counter affidavit filed by the second respondent on 30.01.2021.
The respondent sent a letter dated 13.09.2006 advising him to submit his application for payment of ex-gratia amount and the same is stated in paragraph 8 of the counter affidavit filed by the second respondent on 30.01.2021. But the copy of the same was not furnished by the respondent bank. Hence, this Court by order dated 17.12.2024 directed the learned counsel appearing for the respondent bank to furnish the copy of the letter dated 13.09.2006 sent to the petitioner along with proof of acknowledgment that the same was received by the petitioner. 13. The learned counsel would further submit that letter dated 13.09.2006 will be available only in bank records. It is pertinent to mention that in the Annexure-1 which has been filed by the learned counsel appearing for the bank, wherein it is stated that "PRESERVATION PERIOD OF RECORDS - FOR DEPARTMENTS AT CENTRAL OFFICE, ZONAL OFFICE, REGIONAL OFFICES, BRANCHES AND OTHER ADMINISTRATIVE OFFICES, the records will be maintained for 3 years. Hence, this Court by order dated 09.01.2025 directed the second respondent to file a counter affidavit stating that a letter dated 13.09.2006 is not available or traceable or destroyed by the bank. Thereafter, an additional counter affidavit was filed on behalf of the second respondent dated 23.01.2025. The relevant portion of the additional counter affidavit is extracted hereunder:- "6. It is submitted that the documents handling and retention policy 2019 - Annexure -1 preservation period of records - for department of Central office, Zonal Office, Regional Office, Branches and other Administrative Offices, it is stated that preservation of records as per section. A records to be maintain for 3 years. The General Correspondence records are maintained for 3 years only. At present proof of sending letter dated 13.09.2006 to the legal heirs of late Mr.Muthuraj is not available on records." 14. According to the above statement in the counter affidavit, the records are maintained only for three years, at present, proof of letter dated 13.09.2006 sent to the legal heirs of late Mr.Muthuraj is not available on records. 15. It is pertinent to mention that as per Circular vide Reference No.EST/36/2004-05 dated 04.10.2004 issued by the Department of Industrial Relations wherein it is stated as follows:- "Branches are aware that request for compassionate appointment is considered by the bank in the case of employees/officers who die in harness.
15. It is pertinent to mention that as per Circular vide Reference No.EST/36/2004-05 dated 04.10.2004 issued by the Department of Industrial Relations wherein it is stated as follows:- "Branches are aware that request for compassionate appointment is considered by the bank in the case of employees/officers who die in harness. Our Board of Directors has approved a scheme for payment of ex-gratia amount in lieu of appointment on compassionate grounds, as suggested by Indian Bank's Association on 11.09.2004. Details of the scheme are furnished in the Annexure." 16. Even as per the subsequent circular vide EST-95-2014-15 dated 28.03.2015 issued by the Department of Industrial Relations and the respondent bank, the cadre wise ceiling on ex-gratia amount payable at present is reads as under :- Category Maximum Amount Officers Rs. 8 lacs Clerical Staff Rs. 7 lacs Sub-ordinate Staff Rs. 6 lacs 17. It is pertinent from the above facts that the scheme for appointment of ex-gratia amount was available as early as 04.10.2004 and the petitioner's mother has given the application for payment of ex- gratia lumpsum amount to her son in lieu of compassionate ground vide representation dated 20.08.2006. 18. The main contention and the only contention of the respondent bank is that the petitioner who was the legal heir of the deceased employee, namely Mr.Muthuraj, and did not respond to the letter dated 13.09.2006, issued by the bank requesting for submitting the application for payment of ex-gratia amount and the same was not utilized by the petitioner is unsustainable for the reasons that there is no single document available to substantiate that the respondent has already intimated to the petitioner or the legal heirs of the deceased employee and the copy of the letter dated 13.09.2006 is also not available with the respondent bank as per the Additional Counter Affidavit. 19. In the counter affidavit, it is stated that the respondent bank sent a letter dated 13.09.2006 informing and advising the legal heirs of the deceased employee to apply for ex-gratia amount, clearly shows that the petitioner is eligible for the said payment and the fact that the scheme for compassionate appointment was also in operation in the bank during that period. 20. In view of the above factual matrix of the case, the impugned letter bearing reference No.HRMD/178-CL/(T)/2020-21 dated 30.04.2020 is liable to be quashed and accordingly the same is quashed. 21.
20. In view of the above factual matrix of the case, the impugned letter bearing reference No.HRMD/178-CL/(T)/2020-21 dated 30.04.2020 is liable to be quashed and accordingly the same is quashed. 21. The respondents are directed to consider the claim of the petitioner for providing ex-gratia amount in lieu of compassionate appointment as per the scheme notified vide Circular dated 28.03.2015 to the petitioner, within a period of twelve weeks ( 3 months) from the date of receipt of a copy of this order. 22. This writ petition is allowed with the above observation and direction. No costs.