High Court of KeralaDivision BenchWrit petition allowed; Ext.P1 order set aside; ...

Director of Collegiate Education v. K. J. Mathew

Case / Petition Number:WP(C) No. 34121/2014

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • S. Manikumar
  • Murali Purushothaman
Judgment Date
2023-03-31
Court Decision / Holding
Writ petition allowed. Ext. P1 order of the Lok Ayukta set aside. There will be no order as to costs.
Final Disposition
Writ petition allowed; Ext.P1 order set aside; No costs.

Parties to the Case

Appellants / Petitioners

  • Director of Collegiate Education, Vikas Bhavan, Thiruvananthapuram

Respondents

  • K. J. Mathew (Retired Lecturer, Selection Grade)

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri Tek Chand V., Senior Government Pleader

Counsels for Respondents

  • • Sri Jobby Cyriac, Advocate

Case Synopsis & Summary

This writ petition by the Director of Collegiate Education challenges Ext. P1 of the Kerala Lok Ayukta in Complaint No. 1452/2010-B, which held that the complainant, a Lecturer with Selection Grade at Sree Narayana College, Cherthala, was entitled to interest on Provident Fund (PF) amounts delayed in closure and on a missing credit eventually disbursed. The complainant retired on 31 March 2008; the Director authorized partial disbursement of Rs 1,37,261 on 18 November 2008 to cover PF balance, including missing March 1997 credit of Rs 47,043; this amount, plus interest, was calculated as Rs 1,29,943 and sanctioned on 25 March 2009. The complainant claimed interest from the retirement date up to the date of actual payment. The Director contended that the PF closure application was received late (31.12.2007) and rectified only on 11.08.2008, and the missing credit details were supplied only on 12.12.2008; hence delays were due to the complainant’s and college’s procedural deficiency. The Lok Ayukta relied on Subraya v. State of Kerala and ordered interest at 8.75% on the relevant sums from specified dates. The petitioner argues the delay was not due to maladministration and the University Statute did not mandate one-year prior submission. The High Court ultimately found the delay resulted from defect rectification and verification without establishing maladministration, and accordingly set aside Ext. P1 and allowed the writ petition with no costs.

Provisions of Law Cited

Kerala Lok Ayukta Act, 1999, Section 2(k) (definition of maladministration)University Statutes (re Provident Fund closure for teachers)

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioner contends that the delay in disbursing PF amounts resulted from rectification of a defective closure application and verification processes, not from maladministration. The PF closure was submitted late and returned for defects; rectification and additional details were provided later, leading to delays that cannot be attributed to the Government. They submit that University Statutes do not compel a one-year advance closure filing and that there is no mandatory mandate for maladministration in the circumstances. They rely on the absence of maladministration under Section 2(k) of the Lok Ayukta Act to oppose liability for interest.

Contentions of Respondents

The respondent argues that the delay stemmed from the incompleteness of the PF closure application and the time taken to rectify defects and obtain missing credits, all attributable to procedural deficiencies at the college level, and not to maladministration. They contend that the government should not be held liable for interest for delays caused by incomplete submissions and verification issues. They rely on the factual sequence showing late submission and rectification before sanction of disbursement.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Subraya v. State of Kerala1999(2) KLT 362PositiveCited by Lok Ayukta and relied upon by the High Court to justify payment of interest; court follows this precedent in examining maladministration and liability for interest.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE THE CHIEF JUSTICE MR.S.MANIKUMAR** ## **&** **THE HONOURABLE MR.JUSTICE MURALI PURUSHOTHAMAN FRIDAY, THE 31[ST] DAY OF MARCH 2023 / 10TH CHAITHRA, 1945 WP(C) NO. 34121 OF 2014** ## **PETITIONER:** DIRECTOR OF COLLEGIATE EDUCATION VIKAS BHAVAN, THIRUVANANTHAPURAM BY SR. GOVERNMENT PLEADER SRI. TEK CHAND V ## **RESPONDENT:** K.J.MATHEW RETIRED LECTURER(SELECTION GRADE),KUNNUMURAM HOUSE, C M C 27, CHERTHALA P O BY ADV SRI.JOBY CYRIAC THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 31.03.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: **WP(C) NO. 34121/2014 ..2..** ## **JUDGMENT** ## **MURALI PURUSHOTHAMAN, J.** This writ petition is preferred by the Director of Collegiate Education, challenging Ext.P1 order passed by the Kerala Lok Ayukta in complaint No.1452 of 2010-B. 2. Short facts leading to the filing of complaint No.1452 of 2010-B are as follows: The complainant, the respondent herein, was a Lecturer (Selection Grade) in Sree Narayana College, Cherthala, an aided college affiliated to the University of Kerala and he retired from service on 31.03.2008. According to the complainant, prior to his retirement, he stopped contribution to the Provident Fund and submitted an application for closure of Provident Fund Account. The Director of Collegiate Education, vide proceedings dated 18.11.2008, authorized partial disbursement of an amount of Rs.1,37,261/- from the Provident Fund Account of the **WP(C) NO. 34121/2014 ..3..** complainant. There was a missing credit of Rs.47,043/and the details of the missing credit were furnished. That missing credit was for the month of March, 1997. The said amount along with interest due thereon amounting to Rs.1,29,943/- was also authorized to be paid to the complainant vide proceedings dated 25.03.2009. Accordingly, he filed Ext. P1 complaint before the Lok Ayukta Lok contending that he has been paid interest only till the date of his retirement and no interest up to the date of actual payment of the amounts which stood to his credit in the Provident Fund Account has been granted. He claimed interest for the amount of Rs.1,37,261/disbursed vide proceedings dated 18.11.2008, from 31.03.2008, the date on which he retired, up to 18.11.2008 and on the subsequent amount disbursed vide proceedings dated 25.03.2009, from 31.03.2008 till 25.03.2009. 3. On behalf of the Director of Collegiate Education, **WP(C) NO. 34121/2014 ..4..** it was contended that the Provident Fund closure application in respect of the complainant was received in the office of the Director of Collegiate Education on 31.12.2007 and the same had to be returned to the Principal of the College for curing defect and the rectified application was received only on 11.08.2008 and therefore, as regards the interest on Rs.1,37,261/-, the complainant would be entitled to interest only from 11.08.2008 to 18.11.2008 and in relation to the missing credit of Rs.47,043/-, the details whereof were furnished only on 12.12.2008, the complainant would be entitled to interest on the amount of Rs.1,29,943/- only from 12.12.2008 till 25.03.2009. 4. On the basis of the contentions advanced by both sides, the Lok Ayukta found that the complainant is entitled for interest for the delay in closure of Provident Fund account. The relevant portion of Ext.P1 order of the Lok Ayukta reads as follows: **WP(C) NO. 34121/2014 ..5..** “2........................The contention advanced by the Senior Government Pleader has necessarily to be accepted and upheld as without details being furnished to the Director of Collegiate Education, the Director would not be able to sanction disbursement of amounts that lie to the credit of the complainant’s P.F.A/c. As regards the liability of the Government to pay interest till the amount that lies in the P.F.A/c. to the credit of the subscriber as being from the date when it became payable under the Rules till the date of actual payment it is not disputed before us in the light of the decision of the Honourable High Court of Kerala in Subraya v. State of Kerala reported in 1999(2) KLT 362. Consequently, therefore, the complainant shall be entitled to interest at the rate of 8.75% on Rs.1,37,261/- from 11.08.2008 till 18.11.2008 and on the subsequent disbursement of the missing credit with interest namely Rs.1,29,943/- from 12.12.2008 till 25.03.2009 (date of Ext.P2). Held accordingly.” 5. Ext.P1 order of the Lok Ayukta is challenged in this writ petition on the ground that the delay in sanctioning the amount in the credit of the complainant’s Provident Fund account is attributable to the complainant, as well as the College. It is contended that the complainant retired from service on 31.03.2008 and he stopped his monthly subscription to the Provident Fund **WP(C) NO. 34121/2014 ..6..** account from 01.04.2007 onwards. He submitted his closure application only on 23.11.2007 to the Principal of the College. The University Statute stipulates that a teacher who is due to retire from service can submit his Provident Fund closure application well in advance of one year prior to the date of retirement. The complainant filed closure application after 7 months consequent on stopping of monthly subscription to his Provident Fund account and only 4 months before retirement. It is stated that the Provident Fund application of the complainant forwarded the was through Principal incomplete. Schedules showing the pay fixation areas, DA arrears, promotion arrears etc. were not produced along with the application. Therefore, the closure application was returned to the Principal vide letter dated 10.04.2008. The proposal was resubmitted by the Principal rectifying the defects partially, which was received in the office of the Director of Collegiate Education on 11.08.2008. **WP(C) NO. 34121/2014 ..7..** Accordingly, the closure was allowed in part on 18.11.2008 and sanctioned an amount of Rs.1,37,261/with interest as on the date of retirement. Thereafter, on receipt of the details of remaining missing credits from the Principal of the College on 12.12.2008, the application of the complainant was closed finally on 25.03.2009 and an amount of Rs.1,29,943/- was sanctioned with interest as on the date of retirement of the complainant. It is stated that the Provident Fund amount was paid to the respondent in two instalments only for the reason of submission of incomplete, incorrect and partially rectified application. 6. Heard Sri.Tek Chand V., learned Senior Government Pleader for the petitioner and Sri.Joby Cyriac, learned counsel for the respondent. 7. Learned Senior Government Pleader contends that the delay in disbursement of the amounts in the credit of the complainant’s Provident Fund account cannot be **WP(C) NO. 34121/2014 ..8..** attributed to the petitioner or the Government. The Provident Fund application of the complainant forwarded through the Principal was incomplete and therefore, it was returned to the Principal vide letter dated 10.04.2008 and the rectified application was received only on 11.08.2008 and the missing credit details were furnished only on 12.12.2008. It is contended by the learned Senior Government Pleader that the delay in disbursement of the amounts in the credit of the complainant’s Provident Fund account was due to furnishing of incorrect, incomplete and rectified as well as non partially application production of sufficient documents. 8. Sri.Joby Cyriac, learned counsel for the complainant, on the other hand, contends that there is no mandate in the University Statutes that the provident fund closure application has to be submitted one year prior to the date of retirement and the delay cannot be attributed to the complainant and the amount becomes payable on **WP(C) NO. 34121/2014 ..9..** his retirement from service. 9. We find that the delay in disbursement of the amounts standing to the credit of the complainant in the Provident Fund Account was due to the time taken for rectifying defects in the closure application and for verifying the proposal. The Principal of the college is not a party before the Lok Ayukta. The delay has been properly explained by the Director of Collegiate Education and the Lok Ayukta has rightly found that without details being furnished to the Director of Collegiate Education, the Director would not be able to sanction disbursement of amounts that lies to the credit of the Provident Fund account. We also note that, there is no finding by the Lok Ayukta that the complainant sustained injustice or undue hardship in consequence of maladministration on the part of the petitioner. Section 2(k) of the Kerala Lok Ayukta Act, 1999 defines "maladministration" to mean action taken or purporting to have been taken in exercise of **WP(C) NO. 34121/2014 ..10..** administrative function in any case where such action or the administrative procedure was unreasonable, unjust, oppressive or improperly discriminatory or that there was willful negligence or undue delay in taking such action. In the absence of any finding regarding maladministration on the part of the petitioner, the petitioner or the Government cannot be mulcted with liability to pay interest. Accordingly, the order of the Lok Ayukta is set aside. Writ petition is allowed. There will be no order as to costs. Sd/- **S. MANIKUMAR CHIEF JUSTICE** Sd/- **MURALI PURUSHOTHAMAN JUDGE** **spc/** **WP(C) NO. 34121/2014 ..11..** ## **APPENDIX OF WP(C) 34121/2014** PETITIONER EXHIBITS P1:-TRUE COPY OF THE ORDER OF THE HONOURABLE LOK AYUKTHA DTD 3/9/2014 IN COMPLAINT NO 1452/10