Thursday, April 23, 2026
Latest:
2024April 2024High CourtLatestLegal

Interest on withheld Gratuity on acquittal in criminal case – Sections 7(3A) and 14 of Payment of Gratuity Act 1972

legaldeli

The petitioner – Carpenter in Railways was appointed on 6.3.1983 and retired on superannuation on 31.12.2006.  On retirement, he was given retiral benefits.  However, the gratuity and commutation of pension was withheld on account of pendency of criminal case.

By the memo dated 7.5.2007, the petitioner was informed that payment of withheld gratuity amount would depend on the result of criminal case.

By the judgment dated 30.6.2018, the petitioner was acquitted.

The gratuity amount of Rs.1,00,926/- was paid on 19.4.2019  but without interest.  The Central Administrative Tribunal rejected the claim for interest on withheld interest.

The gratuity was withheld without any fault of the petitioner. Therefore, the petitioner is entitled to interest. The respondents on their own withheld gratuity.   The High Court directed to pay simple interest at 10% from the date of retirement till actual payment.

Judgment dated 21.3.2024 in WP CT No.154 of 2023 – Md. Farid Vs. Union of India and others

 

You May Also Like

Bombay HC Reinforces MOFA disclosures and sanctioned plans govern conveyance scope

legaldeli

Bombay High Court – Important questions on Sections 40, 41A and 50 of the Code of Criminal Procedure

legaldeli

Accident – Liability Only Policy – Doctrine of Pay & Recover

legaldeli

Leave a Reply

Your email address will not be published. Required fields are marked *

I HAVE READ THE DISCLAIMER AND AGREE TO IT.

User Acknowledgement

By proceeding further and clicking on the "AGREE" button herein below, I acknowledge that I of my own accord wish to know more about LegalDeli for my own information and use. I further acknowledge that there has been no solicitation, invitation or inducement of any sort whatsoever from LegalDeli or any of its members to create an Attorney-Client relationship through this knowledge site. I further acknowledge having read and understood the Disclaimer below.

Disclaimer
About: This knowledge-site (www.LegalDeli.in) is owned and operated by LegalDeli (“NDA”), and is a resource for your informational and educational purposes only.

No Warranty: NDA does not warrant that any content or information contained on this knowledge-site is accurate, correct, complete or up-to-date, and hereby disclaims any and all liability to any person for any actual or threatened loss or damage caused by errors or omissions, whether such errors or omissions result from negligence, accident or otherwise. NDA assumes no liability for the interpretation and/or use of the content and/or information contained on this knowledge-site, nor does it offer any warranty of any kind, either expressed or implied in relation to such content or information.

Third-Party Links: NDA does not intend that links / URLs contained on this knowledge-site re-directing users to third party websites be considered as referrals to, endorsements of, or affiliations with any such third party website operators. NDA is not responsible for, and makes no representations or warranties, express or implied, about the content or information contained on such third party websites to which links may be provided on this knowledge-site.

No Legal Advice: By clicking ‘I agree’ and proceeding further, you acknowledge, represent and undertake that you on your own accord wish to know more about NDA, its capabilities and research content and information contained on the knowledge-site, for your own knowledge and personal use. The content and information contained on this knowledge-site should not be construed as nor relied upon as legal advice. You as a reader or recipient of content or information contained in this knowledge-site should not act, nor refrain from acting, based upon any or all of such content or information, but should always seek the advice of competent legal counsel licensed to practice the relevant law in the appropriate jurisdiction.

No Attorney-Client Relationship: This knowledge-site is not intended to be and you should not consider the content or information contained therein to be an advertisement, solicitation, inducement or invitation for an Attorney-Client relationship. Transmission, receipt or use of this knowledge-site, including content and information contained therein, does not constitute nor create an Attorney-Client relationship between NDA and you.

I Agree