Complaint is filed on 3-3-2009
Compliant disposed on 10-6-2011
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM::AT:: KARIMNAGAR
PRESENT: HON’BLE SRI K. DEVI PRASAD, B.Sc., LL.B., PRESIDENT
SMT. E. LAXMI, M.A.,LL.M.,PGDCA (CONSUMER AWARENESS), MEMBER
SRI. K. CHANDRA MOHAN RAO, B.Com., LL.B., MEMBER
FRIDAY, THE TENTH DAY OF JUNE, TWO THOUSAND ELEVEN
CONSUMER COMPLAINT NO. 104 OF 2009
Between:
K. Rajamallu, S/o. K. Lingaiah, Age 60 years, Oc: Pensioner, R/o. Flat No. 302, H.No.1-2-365/20/D, Pankajanilayam, Gaganmahal, Domaaiguda, Hyderabad – 500 029.
… Complainant
AND
The Regional Commissioner, Office of Coal Mines Provident Fund, Godavarikhani, District Karimnagar – 505 209.
…Opposite Party
This complaint is coming up before us for final hearing on 8-6-2011, in the presence of complainant and Sri K.Prakash, Advocate for complainant and Sri P. Ashok, Advocate for opposite party, and on perusing the material papers on record, and having stood over for consideration this day, the Forum passed the following:
:: ORDER::
1. This complaint is filed under Section 12 of C.P. Act, 1986 praying this Forum to direct the opposite parties to pay Rs.10,458/- to the complainant with interest and costs.
2. The brief averments of the complaint are that the complainant joined M/s.Singareni Colleries Co. Ltd. On 16.5.1975 and retired on 1.2.2009 from service on attaining the age of 60 years on superannuation. After retirement from service, the opposite party has computed the service benefits of the complainant and issued a cheque bearing no. 496020 Dt: 2.2.2009 in favour of the complainant towards the post retirement service benefits for a sum of Rs.14,76,445/- vide letter Dt: 3.2.2009. The complainant retired on 1.2.2009 but the opposite party has calculated interest on the Coal Mines Provident Fund upto 31.12.2008 which is illegal, arbitrary and void-ab-initio. The opposite party ought to have calculated the interest on Coal Mines Provident Fund upto the date of retirement of complainant i.e. upto 31.1.2009. Hence, there is a short fall of Rs.10,458/- while arriving the post retired benefits. Thus the complainant is entitled for the balance interest on CMPF amounting to Rs.10,458/-. For that the complainant submitted representation Dt: 6.3.2009 to the opposite party stating that he was paid less amount than the lawful initiated by the opposite party. The same was also published in various News Papers on 20.2.2009. Therefore, the complainant filed this complaint against the opposite party.
3. The opposite party sent their written statement through register post with acknowledgement due submitting that the complainant was retired from the services of the Singareni Collaries Co. Ltd., w.e.f. the afternoon on 31.1.2009 under superannuation as per the letter No.CRP/Per/C/035A/2866, Dt: 5.11.2008 of the Chairman & Managing Director of the Singareni Collaries Co. Ltd. Accordingly his Provident Fund account was settled upto the month ending of January, 2009 and P.F. Refund Cheque was issued to him, taking into the consideration of interest upto the end of January 2009, as per the para – 61 (2) of Coal Mines Provident Fund Scheme, which is reproduced hereunder for information,
“Interest for the period of currency of the card shall be credited with effect from the last day of the period on the opening balance at the credit of the member on the first day there of;
(Provided that when the amount standing at the credit of the member has become payable, interest shall thereupon be credited under this sub-paragraph for the period upto the end of the month preceding the date of the tender of the payment)”
4. Further informed that earlier on representation Dt: 6.3.2009 of the complainant, he was informed the above procedure regarding the payment of interest vide letter No.CPF/Gdk/32/ Genl/Greviance/ Misc/10532, Dt: 30.3.2009 and prayed this Forum for further necessary action.
5. The complainant filed Proof Affidavit reiterating the averments made in the complaint and filed documents which are marked as Ex.A1 to A5. Ex.A1 is the photo copy of notice for retirement on superannuation Dt: 5.11.2008 issued by opposite party to the complainant. Ex.A2 is the photo copy of cheque for Rs.14,76,445/- in favour of complainant issued by complainant Dt: 2.2.2009. Ex.A3 contains 2 paper publications about the less payment of interest on CMPF. Ex.A4 is the copy of letter from complainant addressed to opposite party Dt: 6.3.2009. Ex.A5 is the reply from opposite party addressed to complainant Dt: 30.3.2009.
6. The documents filed by opposite party are marked as Ex.B1 & B2. Ex.B1 is the statement showing the CMPF Contributions of Sri K.Rajamallu A/c.No.H/7/104/33 Dt: 16.5.2010 issued by opposite parties. Ex.B2 is the photo copy of Pay Order of complainant issued by opposite parties Dt: 3.12.2010.
7. The point for consideration is whether there is any deficiency of service on the part of opposite party, if so, what relief can be awarded to the complainant?
8. The complainant sought amount of damages of Rs.50,000/- for not paying the interest accrued upto the end of January 2009, in which month the complainant said to have been retired, though actually his retirement was on 1st February 2009. The complainant sought for payment of above said amount with interest @ 18% P.A. It is clear from the contents of the complaint and the reply filed by the opposite party that there is no dispute that the complainant was the employee of the Singareni Collaries Company Ltd., and retired on 31.1.2009 from service on attaining the age of 60 years. It is also not in dispute about the payment of Rs.14,76,445/- toward the post retirement service benefits. The only dispute is with regard to the payment of an amount of Rs.10,458/-, as per the complainant interest is to be paid on the CMPF contribution for the month of January 2009.
9. The opposite parties opposed this contention of payment of interest for the month of January on the ground that as per the para 61 (2) of CMPF Scheme the interest will be paid to the member for the period upto the end of the month preceding the date of tender of the payment. For the clear understanding of the provision para 61 (2) of CMPF Scheme is reproduce here under:
Para -61 (2):
“Interest for the period of currency of the card shall be credited with effect from the last day of the period on the opening balance at the credit of the member on the first day there of;
(Provided that when the amount standing at the credit of the member has become payable, interest shall thereupon be credited under this sub-paragraph for the period upto the end of the month preceding the date of the tender of the payment)
10. Thus from the above proviso it is clear that when the amount outstanding to the credit of the member has become “payable” interest shall there upon be credited by calculating the period up to the end of the month preceding the date of tender of payment. Thus the word “payable” referred above arises only when the employee retires or takes voluntary retirement i.e. after his relinquishing the office as employee. Thus it is clear that the amount cannot be paid in the middle of the service.
11. It appears that the intention of introducing this para is that because in the month in which the employee is retiring in that month all the benefits which he is entitled to receive will be paid and the amount collected towards subscription of CMPF amount for that month would be paid along with the benefits which are required to be paid to him. Therefore, the question of payment of interest for that month does not arise. As rightly contended by the learned counsel for the opposite parties that because the amount was paid in the month in which the employee is retired, the question of payment of interest for that month does not arise.
12. The complainant issued notice under Ex.A4 to the Regional Commissioner for payment of interest up to the end of January amounting to Rs.10,458/-. The Regional Commissioner replied through Ex.A5 that the interest is payable up to the end of the month preceding the date of tender of the payment under para 61 (2) date of tender of payment. Even inspite of such reply the complainant filed this complaint. Assuming without admitting even if there is any admission of the opposite parties with regard to the payment of such interest, the same cannot be ordered to be paid because the above rule position i.e. para 61 (2) of CMPF Scheme prohibits such payment for the month in which the complainant retired and clearly speaks about the payment of interest is upto the end of the month preceding the date of tender of payment.
13. Absolutely there is no dispute with regard to any other amounts except the interest claimed for the month of January. As per the service rules if an employee’s date of retirement is on 1st of next calendar month the employee’s retirement date will be considered as 30th /31st of previous month. Therefore, there is no force in the complaint ad contention of the learned counsel for the complainant seeking payment of interest for the month of January.
14. In the result the complaint is dismissed but in the circumstances without costs.
Dictated to Stenographer (DUR) and transcribed by her after correction, the orders pronounced by us in the open court this the 10th day of June, 2011.
Sd/- Sd/- Sd/-
MEMBER MEMBER PRESIDENT
NO ORAL EVIDENCE HAS BEEN ADDUCED ON EITHER SIDE
FOR COMPLAINANTS:
Ex.A1 is the photo copy of notice for retirement on superannuation Dt: 5.11.2008 issued by opposite party to the complainant.
Ex.A2 is the photo copy of cheque for Rs.14,76,445/- in favour of complainant issued by complainant Dt: 2.2.2009.
Ex.A3 contains 2 paper publications about the less payment of interest on CMPF.
Ex.A4 is the copy of letter from complainant addressed to opposite party Dt: 6.3.2009.
Ex.A5 is the reply from opposite party addressed to complainant Dt: 30.3.2009.
FOR OPPOSITE PARTY:
Ex.B1 is the statement showing the CMPF Contributions of Sri K.Rajamallu A/c.No.H/7/104/33 Dt: 16.5.2010 issued by opposite parties.
Ex.B2 is the photo copy of Pay Order of complainant issued by opposite parties Dt: 3.12.2010.
Sd/- Sd/- Sd/-
MEMBER MEMBER PRESIDENT
