Smt Anuradha Bhati vs FOREST AND ENVIRONMENT on 8 October 2026

ORDER

Per : Hon’ble Mr Justice Rameshwar Vyas

Being aggrieved by the recovery of Rs 5,22,968/- from the admissible amount of Leave Encashment assessed at the time of her retirement, the applicant has filed the instant OA with a prayer to quash and set aside the above recovery intimated vide letter dated 30.07.2024 (Annex. A/1) & 15.11.2022 (Annex. A/2). The applicant has also prayed for interest on belated release of an amount of Rs 3,83,026/- @ 18% p.a. and for imposing an exemplary cost upon the respondents for deliberately flouting the interim order dated 27.09.2021 passed in OA No. 142/2014 whereby the respondents was allowed to pay retiral benefits to the applicant withholding only Rs 1,60,063/- proposed to be recovered from the applicant in pursuance of order dated 21.01.2014.

2. Facts of the case in brief are as under : 2.1 The applicant retired on attaining the age of superannuation from the post of Librarian AFRI, Jodhpur on 30.06.2021. The admissible leave encashment amount was calculated Rs 9,06,594/- which was paid to her as follows:

(i) Rs 3,83,626/- at initial stage;

(ii) Rs 3,62,905/- through RTGS dated 24.03.2026;

(iii) Rs 1,60,063/- adjusted against excess payment made inadvertently to the applicant while making the payment of arrears pursuant to order dated 01.04.2019.

Location:

SUDESH SHAKHI

2.2 As per the case of the applicant, the respondents wrongly withheld Rs 5,22,968/- from the admissible leave encashment to the applicant. The respondents cannot recover Rs 1,60,063/- also from the retiral benefits of the applicant as per the judgment of Hon’ble Supreme Court in the matter of State of Punjab v Rafiq Masih (White Washer), (2015) 4 SCC 334.

2.3. As per the case of the respondents, while revising the pay of the applicant from her initial appointment vide order dated 01.04.2019, the earlier recovery raised against the applicant on account of wrong revision of her pay under CCS (Revised Pay) Rules, 2008 has been foregone by the respondents. Consequent upon the revision of pay vide order dt.01.04.2019, the arrears payable to the applicant were worked out to be Rs 11,05,523/-. After deduction of income tax liability, net amount of Rs 7,60,163/- was payable to the applicant. But alongwith above payable net amount, an amount of Rs 1,60,063/- was also paid inadvertently. It is pertinent to mention that on account of the currency of the interim order dated 11.04.2014 staying the recovery proposed vide letter dated 21.01.2014 passed by this Tribunal in OA No. 142/2014, recovery of Rs 1,60,063/- was not made from the applicant. Thus, Rs 9,20,616/- against an admissible amount of Rs 7,60,553/- was paid to the applicant vide order dated 13.11.2019.

3. In view of the above, we find no illegality in adjusting the said excess paid amount to the applicant while paying her admissible leave encashment after her retirement. The contention of learned counsel for the applicant that excess payment of Rs 1,60,063/- made to the applicant cannot be

Location:

SUDESH SHAKHI

recovered from her in view of the judgment of Hon’ble Supreme Court in the matter of Rafiq Masih (supra) is not sustainable in the facts and circumstances of the present case. In the present case, an amount of Rs 1,60,063/-, being not recovered from her pay, was inadvertently paid to her along with arrears on 13.11.2019. The judgment of the Hon'ble Supreme Court in Rafiq Masih (supra) does not restrain the employer from correcting the calculation mistake by adjusting the excess payment made from the retirement benefits. Therefore, the respondents were within their right to adjust Rs 1,60,063 while paying to the applicant the amount of leave encashment.

4. However, the respondents failed to justify the withholding of an amount of Rs 3,62,905/- which was subsequently paid to her vide RTGS dated 24.03.2026. Withholding the above amount while paying retirement benefits has not been justified by the respondents. Inefficient working and non-application of mind on the part of the Accounts Section may be the reasons behind withholding part of the retirement benefits. In the absence of any valid reasons, the respondents were not bonafide in withholding the amount of RS 3,62,905/- of retirement benefits payable to the applicant; therefore, the respondents are liable to pay interest to the applicant on the aforesaid admissible amount from the date when it was withheld until the date of its payment i.e 24.03.2026.

5. Resultantly, while partly allowing the instant OA, the respondents are directed to pay the applicant simple interest @ 6% p.a. on the amount of Rs 3,62,905/- from the date when it was withheld until 24.03.2026. This exercise shall be completed within a period of six months from the date of this order.

Location:

SUDESH SHAKHI

6. In terms of the above directions, OA is partly allowed with no order as to costs.

(Hukum Singh Meena) (Rameshwar Vyas) MEMBER (A)

MEMBER (J)

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Location:

SUDESH SHAKHI