Central Provident Fund Commissioner, Employees Provident Fund Organisation and others v M K Abdul Hameed and others

# _`IN THE HIGH COURT OF KERALA AT ERNAKULAM`_ ## _`PRESENT`_ ``` THE HONOURABLE MR. JUSTICE AMIT RAWAL ``` ``` & ``` ``` THE HONOURABLE MRS. JUSTICE C.S. SUDHA MONDAY, THE 12[TH] DAY OF FEBRUARY 2024 / 23RD MAGHA, 1945 ``` ``` WA NO. 181 OF 2021 ``` ``` AGAINST THE ORDER/JUDGMENT WP(C) 16408/2019 OF HIGH COURT OF KERALA ``` ## _`APPELLANTS/RESPONDENTS:`_ ``` 1CENTRAL PROVIDENT FUND COMMISSIONER EMPLOYEES PROVIDENT FUND ORGANISATION, BHAVISHYA NIDHI BHAVAN, 14-BHIKAJI CAMA PLACE, NEW DELHI - 110 066. 2REGIONAL PF COMMISSIONER - 1 (PENSION), EMPLOYEES PROVIDENT FUND ORGANISATION, BHAVISHYA NIDHI BHAVAN, 14-BHIKAJI CAMA PLACE, NEW DELHI - 110 066. 3REGIONAL PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND ORGANISATION, NO.36/685-A, BHAVISHYANIDHI BHAVAN, PB NO.1895, KALOOR, ERNAKULAM, - 682 017. 4THE ASSISTANT PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND SUB REGIONAL OFFICE, NO.36/685-A, BHAVISHYANITHI BHAVAN, P.B.1895 KALOOR, ERNAKULAM - 682 017. BY ADV SAJEEV KUMAR K.GOPAL ``` ## _`RESPONDENTS/WRIT PETITIONERS & RESPONDENTS 1, 6 & 7 IN WP(C):`_ ``` 1M K ABDUL HAMEED AGED 46 YEARS FOOD CORPORATION OF INDIA, FOOD STORAGE DEPO-KUTTIPPURAM, DIRECT PAYMENT SYSTEM, HEAD LOAD WORKER, DPS-9, CPF ROLL-NO-41187, UAN 100208085342, KUTTPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` WA NO. 181 OF 2021 ``` ``` 2 ``` - _`2 A.ABDUL LATHEEF, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW) DPS-10, CPF ROLL NO.41188, UAN 100261574604, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571.`_ - _`3 P.K.ABDURAHIMAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW)-DPS-II, CPF ROLL NO.41189, UAN - 100261883515, KUTTIPPURAM (P.O.), MALAPPURAM - 679571`_ - _`4 C.P.MOIDEENKUTTY, FOOD CORPORATION OF INDIA, FCI, FSD-KUTTIPPURAM, DPS (HLW) ,-DPS-12, CPF ROLL NO.41190, UAN - 100120400397, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571.`_ ``` 5P.VELAYUTHAN, FOOD CORPORATION OF INDIA, FCI, FSD-KUTTIPPURAM, DPS (HLW), DPS-20 (MONDAL), CPF ROLL NO.41198, UAN - 100262786686, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` 6P.UNNIKRISHNAN, FOOD CORPORATION OF INDIA, FCI, FSD-KUTTIPPURAM, DPS(HLW),DPS-22, CPF ROLL NO.41200, UAN - 100262727701, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` 7P.SUNIL KUMAR, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW)-DPS-24, CPF ROLL NO.41202, UAN - 100262636063, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` 8K.P.MOIDEEN BAVA, FOOD CORPORATION OF INDIA, FCI, FSD-KUTTIPPURAM, DPS, DPS 24(LAW), CPF ROLL NO.4203, UAN 100181723833, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` 9C.V.MOHANAN, FOOD CORPORATION OF INDIA, FCI, FSD-KUTTIPPURAM, DPS(HLW), DPS-26, CPF ROLL ``` ``` WA NO. 181 OF 2021 ``` ``` 3 ``` ``` NO.41204, UAN - 100120551285, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 10T.AMEER ALI, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-27, CPF ROLL NO.41205, UAN - 100386953784, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 11P.SURESH BABU, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW),-DPS-28, CPF ROLL NO.41206, UAN - 100262646026, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571 12N.HARI GOVINDAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-37, CPF ROLL NO.41215, UAN - 100245629117, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 13T.DEVADASAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-38, CPF ROLL NO.41216, UAN - 100387019761, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 14N.KUNHIPOCKER, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-39, CPF ROLL NO.41217, UAN - 100245699974, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 15C.KOYA, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW),DPS-41, CPF ROLL NO.41219, UAN – 100120320101 KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 16K.SUDARSANAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW), DPS-42, CPF ROLL NO.41220, UAN - 100182302741 KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. ``` ``` WA NO. 181 OF 2021 ``` ``` 4 ``` ``` 17P.MANI, FOOD CORPORATION OF INDIA, FCI FSD KUTTIPPURAM, DPS(HLW),DPS-43, CPF ROLL NO.41221, UAN - 100262066943 KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 18C.HAMZA, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW), DPS-51, CPF ROLL NO.41229, UAN - 100120284106 KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 19C.ABOOBACKER, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW),DPS-52, CPF ROLL NO.41230, UAN - 100120204522 KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 20K.P.HAMZA, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW)-DPS-53, CPF ROLL NO.41231, UAN - 100181719259, KUTTIPPURAM (P.O.), MALAPPURAM - 679 571. 21P.P.HAMZA, (PENSIONOR) PPO NO.KR/KKD/00066514, FOOD CORPORATION OF INDIA, FCI,FSD KUTTIPPURAM, DPS(HLW), DPS-54, CPF ROLL NO.41232, UAN- 100262205040, KUTTIPPURAM (PO), MALAPPURAM - 679 571 22S.SULAIMAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS.55, CPF ROLL NO.41233, UAN - 100387399402, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 23K.K.MANOJ, FOOD CORPORATION OF INDIA, FCI, FSD .KUTTIPPURAM, DPS(HLW), DPS-56, CPF ROLL NO.41234, UAN-1001812990424, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 24K.ABOOBACKER, FOOD CORPORATION OF INDIA, FCI, ``` ``` WA NO. 181 OF 2021 ``` ``` 5 ``` ``` FSD KUTTIPPURAM, DPS(HLW) DPS-57, CPF ROLL NO.41235, UAN - 100180876056, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 25M.K.HAMEED, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-58, CPF ROLL NO.41236, UAN - 100208092472, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 26K.K.SUNIL KUMAR, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-59, CPF ROLL NO.41237, UAN - 100181311743, KUTTIPPURAM (PO), MALAPPURAM - 679 571 27N.SIVADASAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-65 (SARDAR), CPF ROLL NO.41243, UAN - 100246002833, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 28K.PRAKASAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW), DPS-68 (SARDAR), CPF ROLL NO.41246, UAN - 100181789349, KUTTIPPURAM (PO), MALAPPURAM DIST - 679 571. 29A.K.PRADEEP KUMAR, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW),DPS-70(MONDAL), CPF ROLL NO.41248, UAN - 100069544272, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 30P.V.SAIDALAVI KOYA, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW),DPS-71, CPF ROLL NO.41249, UAN - 100262758532, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 31T.K.SURESH KUMAR, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW) DPS-72, CPF ROLL NO.41250, UAN - 100387089284, ``` ``` WA NO. 181 OF 2021 ``` ``` 6 ``` ## _`KUTTIPPURAM (PO), MALAPPURAM - 679 571.`_ ``` 32K.PRAVEESAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-73, CPF ROLL NO.41251, UAN - 100181803362, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 33K.SURESH, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-74, CPF ROLL NO.41252, UAN - 100182336690, KUTTIPPURAM (PO), MALAPPURAM - 679 571. 34P.AHAMMED KUTTY, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW) DPS-75, CPF ROLL NO.41253, UAN - 100261578324, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 35T.RAVEENDRAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-77, CPF ROLL NO.41255, UAN - 100387298891, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 36E.SIVADASAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-79, CPF ROLL NO.41257, UAN - 100144418417, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 37C.IBRAHIM, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-81, CPF ROLL NO.41259, UAN - 100120287637, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 38C.RAJAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-82 (MONDAL), CPF ROLL NO.41260, UAN - 100120438085, KUTTIPPURAM P.O., MALAPPURAM - 679 571. ``` - _`39 P.MOHANAN,`_ ``` WA NO. 181 OF 2021 ``` ``` 7 ``` ``` FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-83, CPF ROLL NO.412611, UAN - 100262092876, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 40P.AHAMMED KUTTY, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW) DPS-85, CPF ROLL NO.41236, UAN - 100261578311, KUTTIPPURAM P.O., MALAPPURAM -679571 41C.ABDURAHIMAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS(HLW) DPS-86, CPF ROLL NO.41264, UAN - 100120204243, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 42K.P.MOHIDEEN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DPS (HLW) DPS-87, CPF ROLL NO.41265, UAN - 100181723814, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 43C.SUNDARAN, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, DIPS (HLW) DPS-88, CPF ROLL NO.41266, UAN - 100120522374, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 44T.K.KOYAMU, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, ANCILARY LA BOUR-DPS-14(A/L), CPF ROLL NO.41282, UAN - 10038702184, KUTTIPPURAM P.O., MALAPPURAM - 679 571. 45K.K.VINOD, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, ANCTLARY LABOUR-DPS-16(A/L), CPF ROLL NO.41284, UAN-100181314867, KUTTIPPURAM P.O., MALAPPAURAM - 679 571. 46C.P.KUNHIMOHAMMED, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, ANCTLARY LABOUR-DPS-17(A/L), CPF ROLL NO.41285, UAN-100120399676, ``` ``` WA NO. 181 OF 2021 ``` ``` 8 ``` ``` KUTTIPPURAM P.O., MALAPPAURAM - 679 571. ``` ``` 47P.MOHAMMED, FOOD CORPORATION OF INDIA, FCI, FSD KUTTIPPURAM, ANCTLARY LABOUR-DPS-20(A/L), CPF ROLL NO.41287, UAN-100262088286, KUTTIPPURAM P.O., MALAPPAURAM - 679 571. 48UNION OF INDIA REPRESENTED BY SECRETARY TO GOVT OF INDIA, MINISTRY OF LABOUR AND EMPLOYMENT, DEPARTMENT OF EMPLOYMENT, NEW DELHI - 110 001. 49FOOD CORPORATION OF INDIA, REPRESENTED BY CHAIRMAN-CUM-MANAGING DIRECTOR, NO.1620, BARAKHAMBA LANE, NEW DELHI - 110 001. 50THE GENERAL MANAGER (CPF)/SECRETARY, FCI CPF TRUST, FOOD CORPORATION OF INDIA 16-20, BARAKHAMBA LANE, NEW DELHI - 110 001. ``` ``` BY ADVS. PREMSANKAR R JOSE KURIAKOSE (VILANGATTIL) K.KRISHNAKUMAR N.SATHEESH ``` ``` THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 12.02.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ``` ``` WA NO. 181 OF 2021 ``` ``` 9 ``` ## **JUDGMENT** ## **Amit Rawal, J.** ## 1. Assessee had approached the Single Bench vide W.P.(C)No.16408/2019 by claiming the following reliefs: - “(i) to declare that the petitioners are similarly situated as the petitioners in Exts. P1 judgment and are entitled to the same reliefs as allowed therein; - (ii) to declare that the petitioners are entitled to get pension on the basis of pensionable salary reckoned in accordance with their actual salary from the dates of their joining the Pension Scheme under the employees Provident Funds and Miscellaneous Provisions Act, 1952; - (iii) to issue a writ in the nature of mandamus directing 7[th] respondent to transfer such percentage of the employers contribution from the respective Provident Fund Account of the petitioners to their respective Employees Pension Fund with the arrears of contribution payable by them, based on their actual salary ie. Basic + DA, ignoring the ceiling prescribed in Paragraph 11(3) of the Employees Pension Scheme, and directing respondents 2 to 5 to accept the same when thus transfer along with joint option; - (iv). to issue a writ in the nature of mandamus directing respondents 2 to 5 to pay to the petitioners, pension reckoning their actual salary as pensionable with ``` WA NO. 181 OF 2021 ``` ``` 10 ``` retrospective effect, accepting from the petitioners the excess amount of contribution they ought to have paid to the Pension Fund as contribution calculating the same on the basis of their actual salary. (v) to issue any other writ, declaration, order or direction appropriate in the circumstances of the case” 2. Learned Single Bench vide judgment dated 06.07.2020 allowed the writ petition in terms of prayer clauses (i) to (iv) by issuing direction to the respondents to do the needful within a period of four months. 3. Learned counsel appearing on behalf of the appellants submitted that the matter is covered by the judgment of the Supreme Court in **Employees Provident Fund Organisation** v. **Sunil Kumar** [2022 (6) KLT 234 (SC)] wherein it has been held as follows: ## “ 44. We accordingly hold and direct:- (i) The provisions contained in the notification no. G.S.R.609(E) dated 22nd August 2014 are legal and valid. So far as present members of the fund are concerned, we have read down certain provisions of the scheme as applicable in their cases and we shall give our findings and directions on these provisions in the subsequent sub- ``` WA NO. 181 OF 2021 ``` ``` 11 ``` paragraphs. (ii) Amendment to the pension scheme brought about by the notification no. G.S.R.609(E) dated 22nd August 2014 shall apply to the employees of the exempted establishments in the same manner as the employees of the regular establishments. Transfer of funds from the exempted establishments shall be in the manner as we have already directed. (iii) The employees who had exercised option under the proviso to paragraph 11(3) of the 1995 scheme and continued to be in service as on 1st September 2014, will be guided by the amended provisions of paragraph 11(4) of the pension scheme. (iv) The members of the scheme, who did not exercise option, as contemplated in the proviso to paragraph 11(3) of the pension scheme (as it was before the 2014 Amendment) would be entitled to exercise option under paragraph 11(4) of the post amendment scheme. Their right to exercise option before 1st September 2014 stands crystalised in the judgment of this Court in the case of R.C.Gupta (supra). The scheme as it stood before 1st September 2014 did not provide for any cut-off date and thus those members shall be entitled to exercise option in terms of paragraph11(4) of the scheme, as it stands at present. Their exercise of option shall be in the nature of joint options covering pre-amended paragraph 11(3) as also the amended paragraph 11(4) of the pension scheme. ``` WA NO. 181 OF 2021 ``` ``` 12 ``` There was uncertainty as regards validity of the post amendment scheme, which was quashed by the aforesaid judgments of the three High Courts. Thus, all the employees who did not exercise option but were entitled to do so but could not due to the interpretation on cut-off date by the authorities, ought to be given a further chance to exercise their option. Time to exercise option under paragraph 11(4) of the scheme, under these circumstances, shall stand extended by a further period of four months. We are giving this direction in exercise of our jurisdiction under Article 142 of the Constitution of India. Rest of the requirements as per the amended provision shall be complied with. (v) The employees who had retired prior to 1st September 2014 without exercising any option under paragraph 11(3) of the pre-amendment scheme have already exited from the membership thereof. They would not be entitled to the benefit of this judgment. (vi) The employees who have retired before 1st September 2014 upon exercising option under paragraph 11(3) of the 1995 scheme shall be covered by the provisions of the paragraph 11(3) of the pension scheme as it stood prior to the amendment of 2014. (vii) The requirement of the members to contribute at the rate of 1.16 per cent of their salary to the extent such salary exceeds `15,000/- per month as an additional contribution under the amended scheme is held to be ``` WA NO. 181 OF 2021 ``` ``` 13 ``` ultra vires the provisions of the 1952 Act. But for the reasons already explained above, we suspend operation of this part of our order for a period of six months. We do so to enable the authorities to make adjustments in the scheme so that the additional contribution can be generated from some other legitimate source within the scope of the Act, which could include enhancing the rate of contribution of the employers. We are not speculating on what steps the authorities will take as it would be for the legislature or the framers of the scheme to make necessary amendment. For the aforesaid period of six months or till such time any amendment is made whichever is earlier, the employees’ contribution shall be as stop gap measure. The said sum shall be adjustable on the basis of alteration to the scheme that may be made. (viii) We do not find any flaw in altering the basis for computation of pensionable salary. (ix) We agree with the view taken by the Division Bench in the case of R.C.Gupta (supra) so far as interpretation of the proviso to paragraph 11(3) (pre-amendment) pension scheme is concerned. The fund authorities shall implement the directives contained in the said judgment within a period of eight weeks, subject to our directions contained earlier in this paragraph.” 4. Learned counsels appearing on behalf of the respondents/petitioners do not deny this fact. In this view of the matter, judgment of the learned Single Bench is set ``` WA NO. 181 OF 2021 ``` ``` 14 ``` aside and the writ appeal is allowed in terms of the operative part of the judgment of the Hon'ble Supreme Court extracted hereinabove. **Sd/-** **AMIT RAWAL JUDGE** **Sd/C.S. SUDHA JUDGE** nak