Case Note & Summary
The petitioner, Jayshri w/o Sanjay Chandode, is the widow of Sanjay Bhagirath Chandode, a government employee who worked as a peon in the office of Respondent No. 3, Regional Deputy Director, Groundwater Survey and Development Agency, Aurangabad. He died in service on 11.03.2022 due to cardiac arrest. After his death, a proposal for pension and death gratuity was forwarded to the Accountant General, which was sanctioned vide family pension payment order dated 21.04.2023, entitling the petitioner to a monthly family pension of Rs.15,850/- and gratuity of Rs.8,71,750/-. However, on 20.03.2023, Respondent No. 3 forwarded a proposal to the Accountant General stating that an excess payment of Rs.3,11,194/- had been made to the deceased employee for the period from 01.01.2006 to 11.03.2022 due to wrong pay fixation. Consequently, recovery was initiated by office order dated 11.05.2023, and the amount was deducted from the death gratuity payable to the petitioner. Aggrieved, the petitioner filed the present writ petition seeking quashing of the recovery order and refund of the deducted amount. The court considered the legal issue of whether recovery of excess payment can be made from the gratuity of a deceased employee without following principles of natural justice. The petitioner argued that no opportunity of hearing was given before the recovery, and the excess payment was not due to any misrepresentation or fraud by the employee. The respondents contended that the recovery was justified as per rules. The court held that the recovery order was passed in violation of principles of natural justice as no notice or opportunity was given to the petitioner. The court also noted that the excess payment was made due to an error by the department, not by the employee. Relying on precedents, the court quashed the recovery order and directed the respondents to refund the deducted amount within four weeks. The writ petition was allowed.
Headnote
A) Service Law - Recovery from Gratuity - Excess Payment - Recovery of excess payment made to a deceased government employee during his lifetime cannot be deducted from death gratuity payable to his widow without following principles of natural justice - The court held that the recovery order was passed without giving any notice or opportunity of hearing to the petitioner, and the excess payment was not due to any misrepresentation or fraud by the employee - Held that the impugned recovery is unsustainable and quashed (Paras 1-17).
Issue of Consideration
Whether recovery of excess payment made to a deceased government employee can be effected from the death gratuity payable to his widow without affording an opportunity of hearing and in violation of principles of natural justice.
Final Decision
The writ petition is allowed. The impugned recovery order dated 11.05.2023 is quashed and set aside. The respondents are directed to refund the deducted amount of Rs.3,11,194/- to the petitioner within four weeks from the date of the order.
Law Points
- Recovery from gratuity
- excess payment
- government employee
- widow
- natural justice
- Maharashtra Civil Services (Pension) Rules
- 1982
- Rule 27



