Case Note & Summary
The petitioner, Biswadip Bose, a retired Sub-Inspector of the Railway Protection Force, challenged an order dated 24.11.2021 passed by the respondents (Union of India and Senior Divisional Security Commissioner) directing recovery of Rs.2,41,519/- from his gratuity on the ground of overpayment of additional increments, and refixing his basic salary from Rs.52,000/- to Rs.50,500/-. The petitioner had initially been appointed as a Constable on 04.04.1987, later promoted to Assistant Sub-Inspector, and voluntarily superannuated on 20.10.2021 after over 34 years of service. Without any show cause notice, the respondents issued the impugned order post-retirement. The petitioner made representations on 01.02.2022 and 14.06.2022 but received no redressal. The court considered whether the recovery and refixation without notice were sustainable. The petitioner argued that no notice was served during his entire service, and the recovery from gratuity after retirement without show cause was illegal. The respondents contended that the recovery was justified due to excess payment. The court held that the impugned order was passed in gross violation of principles of natural justice as no show cause notice was given. Relying on the principle that recovery from retired employees without notice is impermissible, especially when the employee was not at fault, the court quashed the order dated 24.11.2021 and directed the respondents to refund the recovered amount of Rs.2,41,519/- to the petitioner within four weeks, along with restoring his basic pay to Rs.52,000/-. The writ petition was allowed with no order as to costs.
Headnote
A) Service Law - Recovery of Excess Payment - Natural Justice - Show Cause Notice - The respondents passed an order directing recovery of Rs.2,41,519/- from the petitioner's gratuity and refixed his basic pay from Rs.52,000/- to Rs.50,500/- without issuing any show cause notice, which is violative of principles of natural justice. (Paras 2-3) B) Service Law - Recovery from Retired Employee - Gratuity - Recovery of excess payment made to a retired employee after superannuation without notice is impermissible, especially when the employee had no role in the alleged overpayment. (Paras 3-4) C) Service Law - Refixation of Pay - Last Pay Drawn - The respondents unilaterally reduced the petitioner's last basic pay from Rs.52,000/- to Rs.50,500/- after his retirement, which is arbitrary and without authority of law. (Paras 2-3)
Issue of Consideration
Whether the impugned order directing recovery of excess payment made to the petitioner towards additional increments and reducing/refixing the basic salary from Rs.52,000/- to Rs.50,500/- without issuing any show cause notice is sustainable in law.
Final Decision
The writ petition is allowed. The impugned order dated 24.11.2021 is quashed and set aside. The respondents are directed to refund the recovered amount of Rs.2,41,519/- to the petitioner within four weeks and restore his basic pay to Rs.52,000/-. No order as to costs.
Law Points
- Natural justice
- show cause notice
- recovery from retired employees
- excess payment
- gratuity
- refixation of pay
- Railway Protection Force
- writ petition
