BEFORE THE APPELLATE AUTHORITY

UNDER PAYMENT OF GRATUITY ACT, 1972 AND

THE DY. CHIEF LABOUR COMMISSIONER (CENTRAL),
GOVERNMENT OF INDIA, MINISTRY OF LABOUR AND EMPLOYMENT
4TH FLOOR, JEEVANDEEP BUILDING, PARLIAMENT STREET,
NEW DELHI-110001.

In the matter of Gratuity Appeal No: 36(37)/2018 P.A.DYC

Claim Application Number: ALC-II//36(33)/2016
Between:

The Principal
SGBT Khalsa College,
Delhi University,
Delhi-110007. ....Appellant

Vs

Dr. Vaneeta Aggarwal

R/o P2C-106, Princeton Estate,
DLF Ph-5, Gurugram. ...Respondent

Present:
Sri Sunil Suri and Sri Jarnail Singh for the Appellant.
Written submission received from Respondent on her request.

Decision

This memorandum of appeal was filed on 09/07/2018 under sub section (7) of Section
(7) of the P.G. Act, 1972 (hereinafter referred to as ‘Act’) by The Principal SGBT Khalsa
College, Delhi University, Delhi-110007 (hereinafter referred to as ‘Appellant’) against Dr.
Vaneeta Aggarwal, R/o P2C-106, Princeton Estate, DLF Ph-5, Gurugram. (Here-in-after
referred to as ‘Respondent’) assailing the order dated 22.05.2018 of the Controlling Authority
& Assistant Labour Commissioner (C), Delhi-II (hereinafter referred to as ‘CA’) in Claim
Application No. ALC-II/36(33)/2016 directing the appellant to pay the gratuity amount of Rs
10,00,000/- along with simple interest @ 10% per annum for delayed payment w.e.f.
06.01.2015 till the date of actual payment.
 The hearing in the above appeal was held on several dates and finally on 28.09.2018.
The appellant has stated that the respondent was appointed as Lecturer in Physics w.e.f.
17.07.1995 against a substantive post. The respondent was sanctioned five years of
extraordinary leave during her service that is maximum a teacher can avail in the entire service.
The last extraordinary leave was sanctioned on medical grounds for the period from 5/12/2102
to 4/1/2015. The respondent submitted joining report on 5/1/2015 with a fitness certificate and
on 06.01.2015 submitted an application for voluntary retirement w.e.f. 06.01.2015 which was
not accepted as per CCS Pension Rules and the respondent was informed accordingly vide
letter dated 11-13/4/2105. The respondent failed to resume duty and tendered her resignation
vide letter dated 22.06.2015 which was accepted wef 6/1/2015, the date of her unauthorised
absence from duty. On respondent’s request for payment of gratuity on 20.02.2016, the
University of Delhi vide letter dated 05.07.2016 informed the appellant that the respondent was
eligible for payment of gratuity on her resignation. The appellant college released amount of
Rs. 10,00,000/- vide cheque dated 31.08.2016 to the respondent towards payment of gratuity.
There is no delay on their part in the payment of gratuity. Thus order passed by the CA is
arbitrary, illegal and delayed that failed to appreciate the element of moral turpitude and is a
result of non-application of mind, hence, the same is liable to be set aside.

The Respondent has submitted that the order of the CA is just and fair as he is entitled
for gratuity as determined by the CA as per provisions of the Act. The respondent has further
stated that The Appellant intentionally delayed the payment. The claim of interest on late
payment of Gratuity is well within rules. The appeal has been filed on false and frivolous
grounds and without any cause of action, hence, liable to be dismissed on this ground alone.

It is evident from the perusal of relevant records submitted by both the parties during
the hearing of appeal and arguments thereto along with the original file ALC-II//36(33)/2016
that there is no dispute wrt the date of resignation to be 6/1/2105. The appellant has himself
admitted that the respondent is entitled to gratuity on the basis of her resignation wef 6/1/2015
in view of University of Delhi’s letter dated 5/7/2016. Subsequently an amount of Rs ten lakh
being the maximum amount under the provisions of the Act was paid to the respondent 0n
31/8/2016. The CA has rightly held that respondent is also entitled to the simple interest @10
percent per annum for the delayed period as per provisions of the Act. I am of the considered
opinion that since the gratuity amount was paid to the respondent on 31/8/2106, therefore the
respondent is also entitled to the simple interest @10% per annum on the amount of gratuity
from 6/1/2015 to 30/8/2106. The order of the CA dated 24/5/2108 is clarified accordingly. The
appeal is thus disposed off.
Given under my hand and seal this on 12th October, 2018 and parties are informed
accordingly.

(Yashpal Tyagi)
Appellate Authority
Under Payment of Gratuity Act, 1972 &
Dy. Chief Labour Commissioner (Central)
New Delhi

Copy to the Controlling Authority and Asstt. Labour Commissioner (Central), Delhi-I.(By
name) for information w.r.t. his file No ALC-II//36(33)/2016.

Dy. Chief Labour Commissioner (Central)

New Delhi