Case Note & Summary
The petitioner, Dattatraya s/o Kalu Patil, was appointed as Extension Officer (Statistics) by the Zilla Parishad, Jalgaon on 19.10.1994. He was granted higher pay scale and increments as per government policy. Upon his retirement on 31.05.2018, the respondent no.5 forwarded his pension proposal. However, the respondent no.3 passed an order dated 11.06.2018 recovering Rs.1,35,513/- from his pension towards alleged excess payment. The petitioner challenged this recovery order and the earlier order dated 15.01.2018 passed by the Block Development Officer. The court noted that the recovery was made without any show-cause notice or opportunity of hearing to the petitioner. The respondents argued that the recovery was based on audit objections and that the petitioner had given an undertaking. However, the court found that no such undertaking was on record. The court held that recovery from pension without affording an opportunity of hearing is violative of principles of natural justice. The court quashed the recovery order dated 11.06.2018 and directed the respondents to refund the recovered amount within four weeks. The court also clarified that if the respondents wish to recover the amount, they may issue a show-cause notice and proceed in accordance with law.
Headnote
A) Service Law - Recovery of Excess Payment - Natural Justice - Recovery from pension without prior notice and opportunity of hearing is violative of principles of natural justice - The petitioner, a retired Extension Officer, was sought to be recovered Rs.1,35,513/- from his pension without any show-cause notice - Held that such recovery without affording opportunity of hearing is unsustainable and quashed (Paras 4-6).
Issue of Consideration
Whether the recovery of excess payment from the pension of a retired employee without giving any opportunity of hearing is sustainable in law.
Final Decision
The writ petition is allowed. The order dated 11.06.2018 passed by respondent no.3 is quashed and set aside. The respondents are directed to refund the recovered amount of Rs.1,35,513/- to the petitioner within four weeks. If the respondents wish to recover the amount, they may issue a show-cause notice and proceed in accordance with law.
Law Points
- Recovery of excess payment from pension without prior notice and opportunity of hearing is violative of principles of natural justice
- Recovery from retired employees requires show-cause notice and opportunity
- No recovery if excess payment was not due to misrepresentation by employee
