dofp2024_00821 — Delayed payment of final settlement dues when the settlement dues are kept back due to a pending disciplinary case which was closed dropping the charge-sheet attracts interest on the delayed payment of settlement dues. The delayed payment attracts interest at the rate payable on GPF for delayed payment of retiral benefits

Delayed payment of final settlement dues when the settlement dues are kept back due to a pending disciplinary case which was closed dropping the charge-sheet attracts interest on the delayed payment of settlement dues. The delayed payment attracts interest at the rate payable on GPF for delayed payment of retiral benefits — This chunk discusses an OA (Original Application) filed by an Applicant challenging a memorandum of charge-sheet. The charge-sheet was dropped by the Respondents after a prolonged delay, during which... — Facts: The Applicant herein filed this OA challenging the memorandum of charge-sheet, dated 27-9-2007. The Applicant retired from service on 28-2-2010 when charge-sheet is pending. Hence no final settlement dues are paid except provisional pension, that too after a long delay at the rate of ₹ 6,820 with effect from 1-3-2010 on July, 2011. Even though the Enquiry Officer was nominated to enquire into the charges levelled against him, it was not started. On 31-5-2013, the Superintendent of Police instructed the Enquiry Officer to complete the enquiry in a month's time. But no action was taken. The Respondents, namely R-3, Deputy Inspector-General of Police by the Order, dated 23-7-2014 dropped the charges and hence the disciplinary action ended. That order is reproduced verbatim. Since the departmental enquiry is dropped, suspension period is treated as spent on duty for all purposes. The Tribunal considered the abnormal delay in the disciplinary proceeding which was dropped finally. Respondents are also aware of the delay as seen from the order, dated 23-7-2014. No specific reason is assigned for delay. The repeated representations of the Applicant to conclude the enquiry, the Respondents failed to take any steps. The Applicant prayed for interest on delayed payment of final settlement dues as the charges levelled against him was dropped. Under Rule 68 of CCS (Pension) Rules regarding payment of gratuity, the Government passed orders on admissibility of interest on delayed gratuity. Delayed payment of gratuity on administrative reasons necessitates interest on the payment with interest applicable to GPF deposit. The two orders, dated 11-7-1979 and 10-1-1983 on payment of interest due to delay is reproduced in the judgment. In the case of Sri N.D. Dwivedi v. Union of India and another in O.A. No. 238 of 2010 in regard to payment of interest is dealt with. But that case was dropped expressing strong displeasure of the Government to the Applicant therein. The Tribunal held that there was abnormal delay in that case and displeasure is not a punishment. Relying on the case of Vijay L. Mehrotra v. State of U.P. and others [ 2002 SCC (L&S) 278 ], the Tribunal directed the Respondents to pay interest prevalent in GPF and it should be paid in 3 months. Relevant para. of the judgment in O.A. No. 238 of 2010 is reproduced for clarity. The order passed by Tribunal in that OA was also upheld by the higher courts.