High Court of KeralaSingle JudgeDismissed
Sunny Jose and Others v. State of Kerala and Others
Case / Petition Number:W.P.(C).No.21637/2009-Y
Case Details & Bench
- Court
- High Court of Kerala
- Hon'ble Judges
- V. Chitambaresh
- Judgment Date
- 2012-02-07
- Court Decision / Holding
- Writ petitions dismissed; no costs.
- Final Disposition
- Dismissed
Parties to the Case
Appellants / Petitioners
- SUNNY JOSE
- SUNNY SEBASTIAN VADASSERIL
- GOPALAKRISHNAN NAIR K. S
- P.J.JAMES
- ANNIE JOSEPH
- THOMAS MATHEW
- PHILOMA THOMAS
- MAREENA THOMAS
- V.N.RAJAGOPALAN NAIR
- MINI JOSEPH VADAKKEL
- TEJENDRAPRASA
- JOSE THOMAS
- JASMIN ALEX
- BINCY REMASH
- SANEESH S.PUTHENPURACKAL
- MINIMOL P. G
- ABRAHAM SEBASTIAN
- MADHU M. K
- SUNNY AUGUSTINE
- BIJU ANTONY
- AUGUSTINE THOMAS
- BIJU JACOB
- KURIAN V. M
- P.S MATHEW
- NOBLE V.A
- LIZY P.M
- BABU P.K
- SANI K .VARGHESE
- JEETHI MOHAN
- DANEY THOMAS
- JOHNSON SAMUEL
- JOBY SEBASTIAN
- JUBI V .JOSE
- SHIBU VARKEY
- MANIKUTTY MATHEW
- NIRMALA GEORGE
- REJI JOSEPH
- GRACY M. T
- THRESIAMMA P. J
- TOM MATHEW
- SHEEJA P .M
- MUHAMMED NOUSHAD P. P
- RUBY ANTONY
- JASMINE T. THEKKEKANDAM
- MUMTAZ MOL P.M
- SINI CHACKO
- MARYKUTTY MATHEW
- JAMES ABRAHAM
- JAYASREE P. T
- ISAMMA P.J
- V M JOSEPH
- ANNAKUTTY JOSEPH
- SOMARAJ K.S
- MANUSHA M. M
- K.V.KURICHAN
- TOMY THOMAS
- PYARY JOSE
- SHANTY JOSEPH
- MATHEW P. M
- PRAMOD KUMAR P .G
- JOHNY XAVIOUR
- JOSEPH VARGHESE
- JOSEPH Raju
- MATHEWKUTTY SEBASTIAN
- RADHAKRISHNAN NAIR N.D
- SOYMOL THOMAS
- MEERA T.N
- JOSE V.J
- SINDHU V.P
- SHYBU JOSE
- GEORGE K.J
- EM MATHEW
- SAJA JAMES
- SINI MATHEW
- REGI MATHEW
- VIJAYAN P.A
- V N MOHANAN
- BENNY MATHEW
- ANILKUMAR M.K
- THOMAS JOSEPH
- TUSHAR ALEX
- SUNNY GEORGE
- BENNY JOSEPH
- M.J.VARKEY
- N N PONNAMMA
- N.M.GEORGE
- MURALI V. N
- MOHANDAS P.B
- LIJO GEORGE
- JOSEPH VARGHESE
- JOBY MICHAEL
- BABU K.G
- E.N.MANIKUTTY
- KERALAKUMAR A.R
- VIMALKUMAR T.S
- SREEDEVI.S
- JOSEPH V.V
- ARAVINDAKSHAN NAIR V.G
- JOSEPH ZACHARIAH
- K.J JOSE
- M.D THOMAS
- SHAJI GEORGE
- ROSAMMA GEORGE
- SONIA GEORGE
- GEGI K.S
- JOY JOSEPH
Respondents
- STATE OF KERALA represented by its Secretary to Government, Cooperation Department
- KERALA STATE CO-OPERATIVE EMPLOYEES PENSION BOARD
- STATE OF KERALA represented by its Secretary to Government, Labour and Rehabilitation (E) Department
- THE REGIONAL PROVIDENT FUND COMMISSIONER, Employees' Provident Fund Organisation
- THE MEENACHIL EAST URBAN CO-OPERATIVE BANK LTD.
- THE EMPLOYEES PROVIDENT FUND ORGANISATION (EPFO)
Legal Representation & Advocates
Counsels for Petitioners
- • SRI.SHAJI THOMAS PORKKATTIL
- • SRI.BINU PAUL
- • SRI.T.V.VINU
Counsels for Respondents
- • SMT. K.T. LILLY
- • SRI K.R. SUNIL, S.C.
- • SRI P.V.MOHANAN, S.C
- • SRI N.N. SUGUNAPALAN, SENIOR ADVOCATE, S.C
- • SRI JOY THATTIL ITOOP, S.C
- • SRI M.A.THOMAS KUTTY
- • SMT. ASHA CHERIAN
Case Synopsis & Summary
This batch of connected writ petitions challenges Ext.P2, a notification issued under Section 17(1C) of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, exempting primary cooperative societies in Kerala from operation of the Employees Pension Scheme, 1995. The state argues that the pension benefits under the Kerala State Co-operative Employees Self Financing Pension Scheme, 1994 (State Pension Scheme) are at par or more favourable than the EPF Pension Scheme, thus justifying exemption of the establishments concerned. The petitioners contend that exemptions should be granted under Section 17(2) of the Act, which covers individual exemptions, and criticize the unilateral nature of Ext.P2, arguing potential adverse effects on their pension rights. The court notes that the State Pension Scheme has been in existence since 1993 and provides a transfer of funds from the contributory provident fund to the Pension Board, with arrangements for adjustment and appeals. A comparison table highlights differences in contributions, pension calculation, minimum pensions, and other benefits between the EPF Scheme (1995) and the State Pension Scheme, yet the court emphasizes that Clause 39 of the EPF Pension Scheme authorizes exemptions when the benefits are at least as good. The petitions are dismissed on grounds of belatedness and the long-standing operation of the State Pension Scheme, with the court upholding the exemption and finding no illegality in Ext.P2 or the continued operation of the State Pension Scheme. No costs.
Provisions of Law Cited
Section 17(1C) of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952Section 17(2) of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952Clause 39 of the Employees Pension Scheme, 1995Section 6A of the Employees Provident Funds and Miscellaneous Provisions Act, 1952Section 80A of the Kerala Co-operative Societies Act
Submissions & Arguments
Contentions of Appellants / Petitioners
The petitioners submit that exemption from the Pension Scheme under the Act should be granted under Section 17(2) (individual exemption) rather than 17(1C) (exemption of an establishment or class of establishments). They argue that Ext.P2 is unilateral and the protection of pension benefits for employees is compromised, potentially leading to coercion to refund pension disbursements and disruption to vested rights. They contend that the State Pension Scheme has been in place since 1993 and has not been properly reconciled with the statutory framework, and that reliance on State-level schemes may not meet the statutory requirements for exemption. Further, they challenge the belated nature of the petitions and the possibility of adverse financial consequences for employees who relied on the EPF Pension Scheme.
Contentions of Respondents
The respondents (State of Kerala, Pension Board, EPFO, and the bank) submit that exemption under Section 17(1C) is permissible when pension benefits under the State Pension Scheme are at par or more favourable than under the EPF Scheme, citing Clause 39 of the EPF Scheme as authority. They emphasize the long-standing operation of the State Pension Scheme since 1993, the transfer of funds to the Pension Board, and the absence of illegality in Ext.P2. They argue exemption avoids duplication and prevents double-benefits while enabling employees to receive pension benefits through the State Pension Scheme. They contend that Section 17(2) is not the only route and that the Government is within its discretionary power to grant exemption after subjective satisfaction that benefits are at least equivalent.
Cited Precedents (3)
| Case Name | Citation | Treatment | Explanation |
|---|---|---|---|
| Rhone-Poulenc Employees Union v. Regional Provident Fund | 1996 (2) LLJ 1001 Bom | Positive | Cited to support that exemptions under Section 17(1C) can be justified to avoid duplication when another pension scheme provides equivalent or better benefits. |
| Mohammed Ali v. Union of India | AIR 1964 SC 980 | Positive | Cited as authority that exemption mechanisms may be used to avoid duplication of schemes and ensure pension benefits are at par or more favourable. |
| O.P.No.13868 of 1999 | OP 13868 of 1999 | Mentioned Only | Referenced as the court's earlier judgment leading to the State Pension Scheme; not a direct ruling on the present exemption question. |
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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 MR.JUSTICE V.CHITAMBARESH**
## **TUESDAY, THE 7TH DAY OF FEBRUARY 2012/18TH MAGHA 1933**
## **WPC.No. 21637 of 2009 (Y) -------------------------------------**
**PETITIONERS:**
**---------------------**
## **1. SUNNY JOSE,**
- **ENTHUMPLACKAL,POONJAR THEKKEKARA,CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO-OP. BANK LTD. NO 4266, POONJAR, THEKKEKARA P.O.**
**2. SUNNY SEBASTIAN VADASSERIL, CHITTADI P.O, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
**3. GOPALAKRISHNAN NAIR K. S, KOTTAYIL CHENNADU,CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
## **4. P.J.JAMES,**
- **PERUMPALLIL, PALA ,CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
## **5. ANNIE JOSEPH**
- **PORIYATHU,KALATHUKADAVE, CHIEF ACCOUNTANT MEENACHILEAST URBAN CO OP BANK LTD NO 4266 POONJAR THEKKEKARA P.O.**
**6. THOMAS MATHEW, AREEPLACKAL, POONJAR THEKKEKARA, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO. 4266, POONJAR THEKKEKARA P.O.**
**7. PHILOMA THOMAS, KOTTAYARUKIL, ATHIRAMPUZHA, DEPUTY GENERAL MANAGER, MEENACHIL EAST URBAN CO- OP BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
**8. MAREENA THOMAS, THEKKEKOTTARAM, ARUVITHURa, SENIOR CLERK, MEENACHIL EAST URBAN CO- OP BANK LTD NO. 4266 POONJAR THEKKEKARA PO.**
## **W.P.(C).NO.21637/2009-Y:**
## **9. V.N.RAJAGOPALAN NAIR**
**MULACKANODIYIL, VALLICHIRA, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
**10.MINI JOSEPH VADAKKEL, PERUNILAM, POONJAR, TYPIST, MEENACHIL EAST URBAN CO- OP. BANK LTD NO. 4266, POONJAR THEKKEKARA P.O.**
**11.TEJENDRAPRASA, PULICKAL, ERATTUPETTA, WATCHER, MEENACHIL EAST URBAN CO- OP. BANK LTD NO. 4266, POONJAR THEKKEKARA P.O.**
## **12.JOSE THOMAS,**
**EDAYADIYIL, KUMBLAMTHANAM,POOVARANI, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO. 4266, POONJAR THEKKEKARA P.O.**
## **13.JASMIN ALEX,**
**PLATHOTTAM, POONJAR, JUNIOR CLERK, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO. 4266, POONJAR THEKKEKARA P.O.**
**14.BINCY REMASH, KUZHICHALITHAZHE,POONJAR, SENIOR CLERK,MEENACHIL EAST URBAN CO- OP. BANK LTD. NO. 4266, POONJAR THEKKEKARA P.O.**
**15.SANEESH S.PUTHENPURACKAL, PUTHENPURACKAL, MELUKAVUMATTOM,JUNIOR CLERK, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
**16.MINIMOL P. G, PLACKAL, POONJAR THEKKEKARA, SENIOR CLERK, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO 4266, POONJAR THEKKEKARA P.O.**
**17.ABRAHAM SEBASTIAN, KEERANCHIRA, KOOTTICKAL ,ACCOUTNANT, MEENACHIL EAST URBAN CO- OP. BANK LTD. NO. 4266, POONJAR THEKKEKARA P.O.**
## **18.MADHU M. K,**
**MULLAMALAYIL,KALAKETTY P,O, JUNIOR CLERKM MEENACHIL EAST URBAN CO OP BANK LTD NO 4266M POONJAR THEKKEKARA P.O.**
**19.SUNNY AUGUSTINE, PARADIYIL, ELAMKAD, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
## **20.BIJU ANTONY,**
**KULAMPALLIL ,KORUTHODU, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**21.AUGUSTINE THOMAS,CHEMPANAL, PINNAKKANAD, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**22.BIJU JACOB, PAYYAMPALLIL, YENDAYAR, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **23.KURIAN V. M,**
**VADAKKEL, PUNCHAVAYAL, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **24.P.S MATHEW,**
**PURAPPANTHANAM,KOOTTICKAL,GENERAL MANAGER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **25.NOBLE V.A,**
**VILAYANICKAL, CHETTUTHODE, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **26.LIZY P.M,**
**PEZHUMKATTIL,KOOTTICKAL, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **27.BABU P.K.,**
**PUTHENPURAYIL,AYARKUNNA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**28.SANI K .VARGHESE, KUMPAPALLIL, MUNDAKAYAM,ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **29.JEETHI MOHAN,**
**EZHUPATHANJALIYIL,THEKKETHUKAVALA,SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **30.DANEY THOMAS,**
**EDACKATTU, VENGATHANAM,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**31.JOHNSON SAMUEL, PAYIPPATTU,VADAVATHOOR,ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **32.JOBY SEBASTIAN,**
**ELAYANITHOTTATHIL,KANNIMALA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **33.JUBI V .JOSE,**
**THOTTUPURATHU,CHATHENTHARA, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **34.SHIBU VARKEY,**
**VADAKKEDATHU, KALAKETTY, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**35.MANIKUTTY MATHEW, NEDUMTHAKIDIYEL,EDAKADATHIL, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **36.NIRMALA GEORGE,**
**THUNDIYIL, KANJIRAPPALLY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **37.REJI JOSEPH,**
**MANNOOR, MUKKOOTTUTHARA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **38.GRACY M. T,**
**PULICKAL, KURUVAMOOZHY ,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **39.THRESIAMMA P. J,**
**THYPARAMPIL, ARUVITHURA, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **40.TOM MATHEW,**
**MANDAPATHIL, CHENNADU, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**41.SHEEJA P .M, KODALIKKATTIL, YENDAYAR, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**42.MUHAMMED NOUSHAD P. P, PULICKATHAZHATHU, ERATTUPETTA, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **43.RUBY ANTONY,**
**KIZHUKANDAYIL, PARATHODU, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**44.JASMINE T. THEKKEKANDAM, KALLANANICKAL, NJANDUPARA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**45.MUMTAZ MOL P.M, VALICKAL, KANJIRAPALLY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**46.SINI CHACKO ,PULICKAL, PARATHANAM, JUNIOR CLERK,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266 POONJAR THEKKEKARA P.O.**
**47.MARYKUTTY MATHEW, PUTHUPALLIL, CHAMAMPATHAL, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O .**
**48.JAMES ABRAHAM,PALLIVATHUKKAL, KANJIRAPALLY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**49.JAYASREE P. T, PISHARAKUNNEL, THIDANADU, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **50.ISAMMA P.J,**
**PULLATTU PLASSANAL, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**51.V M JOSEPH, VELLOOR, THIDANAD, RECORD KEEPER,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**52.ANNAKUTTY JOSEPH, PURAYIDATHIL, POONJAR, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**53.SOMARAJ K.S, KARUKAPPALLIL,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **54.MANUSHA M. M,**
**KUNNUMPURATHU, CHEMMALAMATTOM,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**55.K.V.KURICHAN, KIZHAVANCHIYIL,ARUVITHURA, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**56.TOMY THOMAS, KARACKAVAYALIL, VELATHUSSERRY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**57.PYARY JOSE,KURUVAN PLACKAL, ERUMAPRAMATTOM, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**58.SHANTY JOSEPH, THEKKEKANDATHIL, KAIPPALLY, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**59.MATHEW P. M,PEEDIECKAL, PALA, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**60.PRAMOD KUMAR P .G, PARAPPALLIKUNNEL, POONJAR, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**61.JOHNY XAVIOUR, PALLATTUKUNNEL, KUNNOM, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **62.JOSEPH V.C,**
**VALLIAMTHADATHIL, PERINGULAM ,CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**63.MARIAKUTTY THOMAS, ARACKALKADHALIYIL, MARYLAND, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**64.JOSEPH RAJU,MANGATTU, POONJAR THEKKEKARA, RECORD KEEPER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**65.MATHEWKUTTY SEBASTIAN, KUNNATHUPURAYIDATHIL, MALLIKASSERRY P.O, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O,**
**66.RADHAKRISHNAN NAIR N.D, NEERANTHANATH, CHENNADU, ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **67.SOYMOL THOMAS,**
**MADATHIL, EDAPPADY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**68.MEERA T.N, ASSARIPARAMPIL, ELIKULAM, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**69.JOSE V.J, VARICKKANICKEL, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **70.SINDHU V.P,**
**SAI GANESH, PALA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**71.SHYBU JOSE, KULIRANIYIL,KADAPLAMATTOM, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**72.GEORGE K.J, KUNNEL, POONJAR THEKKEKARA, DRIVER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**73.E.M MATHEW, EZHUPARAYIL, KAIPALLY, RECORD KEEPER,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**74.SAJA JAMES, KIZHAKKEDATHU,POONJAR, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**75.SINI MATHEW, ORAPPUZHICKAL, KUNINJI, ACCOUNTANT,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**76.REGI MATHEW, THURUTHIYIL, KALAKETTY, SENIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**77.VIJAYAN P.A, MOHANAVILASAM ,YENDAYAR, ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**78.V N MOHANAN, VAYALIL, PANACHIKAPARA,ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
- **79.BENNY MATHEW,CHALLAVAYALIL,ARUVITHURA, ATTENDER,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**80.ANILKUMAR M.K, MANJAPLACKAL,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**81.THOMAS JOSEPH, NJANDUKUZHIYIL, POONJAR SOUTH P.O ,PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**82.TUSHAR ALEX,PEEDIKAYIL, KUNNONNI, SENIOR CLERK,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**83.SUNNY GEORGE, ALANICKAL, THIDANADU, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**84.BENNY JOSEPH, CHOORANOLICKAL, POONJAR THEKKEKARA, DRIVER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**85.M.J.VARKEY, MOOLECHALIL, POONJAR THEKKEKARA, ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**86.N N PONNAMMA, KULATHINKAL, POONJAR THEKKEKARA ,ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**87.N.M.GEORGE, NEENDUKUNNEL,PLASSANAL, RECORD KEEPER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**88.MURALI V. N, CHAKKALACKAL, POONJAR, ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**89.MOHANDAS P.B, PUTHUPALLIL, KUNNONNI, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **90.LIJO GEORGE,**
**CHALLAVAYALIL, ARUVITHURA, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**91.JOSEPH VARGHESE, VALLIAMTHADATHIL, GANDHINAGAR,CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **92.JOBY MICHAEL,**
**ADACKAPPARAYIL, ANJOOTTIMANGALAM,JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **93.BABU K.G,**
**KUNNUMPURATH, CHEMMALAMATTOM,PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**94.E.N.MANIKUTTY, ENCHAYIL, POONJAR THEKKEKARA, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**95.KERALAKUMAR A.R, CHITHIRA, POONJAR, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
## **96.VIMALKUMAR T.S,**
**THEKKEL, THIDANADU, PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **97.SREEDEVI.S.**
**KAMALABHAVAN, POONJAR P.O, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**98.JOSEPH V.V, VARICKAMAKKEL, EDAMALA, KAIPALLY, ACCOUNTANT,MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**99.ARAVINDAKSHAN NAIR V.G, VANDANATHU, CHENNADU, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**100.JOSEPH ZACHARIAH, THURUTHEL, KOOTTICKAL, ATTENDER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **101.K.J JOSE,**
**KOLLAKOMPIL, THALUMKAL,ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**102.M.D THOMAS, MANNAMPLAKAL, NARIYANANI, CHIEF ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**103.SHAJI GEORGE, PANTHIRUVELIL, KUNNUMBHAGAM,ACCOUNTANT, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**104.ROSAMMA GEORGE, VADAKKETHONIKUZHIYIL, MELAMPARA P.O,TYPIST, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **105.SONIA GEORGE,**
**KIZHAKKEKARA, KIZHAKKANMATTOM, JUNIOR CLERK, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
## **W.P.(C).NO.21637/2009-Y:**
**106.GEGI K.S, CHEMPENKULAM, KALAKETTY, COMPUTER PROGRAMMER, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**107.JOY JOSEPH, CHATHANPUZHA ,KUNNONNI,PEON, MEENACHIL EAST URBAN CO OP BANK LTD NO 4266, POONJAR THEKKEKARA P.O.**
**BY ADVS.SRI.SHAJI THOMAS PORKKATTIL, SRI.BINU PAUL, SRI.T.V.VINU.**
**RESPONDENTS:**
- **------------------------**
**1. STATE OF KERALA, REPRESENTED BY ITS SECRETARY TO GOVERNMENT, CO-OPERATION DEPARTMENT, GOVT .SECRETARIAT, THIRUVANANTHAPURAM.**
**2. KERALA STATE CO-OPERATIVE EMPLOYEES PENSION BOARD, P B NO. 85, KALA NIVAS T.C. NO.27/156, 157,CHINMAYA LANE, KUNNUMPURAM, NEAR AYURVEDA COLLEGE, THIRUVANANTHAPURAM, REPRESENTED BY ITS SECRETARY.**
**3. STATE OF KERALA, REPRESENTED BY ITS SECRETARY TO GOVERNMENT, LABOUR AND REHABILITATION (E) DEPARTMENT, GOVT.SECRETARIAT, THIRUVANANTHAPURAM.**
**4. THE REGIONAL PROVIDENT FUND COMMISSIONER, EMPLOYEES P.F. ORGANISATION, SUB REGIONAL OFFICE, P.B.NO. 36.CHALAKUZHY BUILDINGS, C.M.S.COLLEGE ROAD, KOTTAYAM 686 001**
**5. THE MEENACHIL EAST URBAN CO-OPERATIVE BANK LTD.NO.4266, POONJAR THEKKEKARA P.O, REPRESENTED BY ITS SECRETARY.**
## **W.P.(C).NO.21637/2009-Y:**
**6. THE EMPLOYEES PROVIDENT FUND ORGANISATION,(MINISTRY OF LABOUR,GOVT OF INDIA) REGIONAL OFFICE, `BHAVISHA NIDHI BHAVAN', PATTOM THIRUVANANTHAPURAM.**
**R1 & R3 BY GOVT. PLEADER SMT. K.T. LILLY, R4 & R6 BY SRI. N.N. SUGUNAPALAN, SENIOR ADVOCATE, S.C, SRI.JOY THATTIL ITOOP, S.C,**
**R5 BY ADVS. SRI.M.A.THOMAS KUTTY, SMT.ASHA CHERIAN, R2 BY SRI. K.R. SUNIL, S.C, SRI.P.V.MOHANAN,S.C.**
**THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 07-02-2012, ALONG WITH W.P.(C). NO. 145/2010 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:**
## **W.P.(C).NO.21637/2009-Y:**
## **APPENDIX**
## **PETITIONERS' EXHIBITS:-**
**EXT.P.1: COPY OF THE GOVT. ORDER G.O.(MS).NO.44/2006/LBR DTD. 19/06/2006.**
**EXT.P.2: COPY OF THE G.O.(P).NO.128/06/CO-OP. DTD. 12/07/2006.**
**EXT.P.3: COPY OF THE CIRCULAR NO.1/09 ALONG WITH ITS ANNEXURE.**
**EXT.P.4: COPY OF THE TABLE PREPARED BY THE PETITIONERS.**
**EXT.P.5: COPY OF THE JUDGMENT IN W.P.(C).NO.15981/2008 DTD. 01/12/2008 OF THIS HON'BLE COURT.**
**EXT.P.6: COPY OF THE REPRESENTATION DTD. 09/02/2009 SUBMITTED BY THE PETITIONERS TO THE EPF COMMISSIONER.**
**EXT.P.7: COPY OF THE REPRESENTATION DTD. 16/02/2009 SUBMITTED TO THE R.1. ON BEHALF OF THE PETITIONERS.**
## **EXT.P.8: COPY OF THE COMMUNICATION DTD. 09/02/2009.**
**EXT.P.9: COPY OF THE CHALLAN DTD. 06/07/2009 USED BY THE BANK FOR REMITTING THE EMPLOYER'S AND EMPLOYEES MONTHLY CONTRIBUTION TO THE PF ACCOUNT UNDER THE EPF & MP ACT.**
## **EXT.P.10: COPY OF THE COMMUNICATION DT.D 17/07/2009 ISSUED BY THE R.4.**
## **RESPONDENTS' EXHIBITS:NIL.**
## **//TRUE COPY//**
**P.A. TO JUDGE**
**Prv.**
## **V.CHITAMBARESH, J.**
-------------------------------
## **W.P.(C) Nos.21637 of 2009, 145, 157, 187, 532, 12765, 29698, 29928, 31360 & 37356 of 2010 and 3462, 10315, 13504, 15849 of 2011**
------------------------------- **Dated this the 7[th] day of February, 2012**
## **J U D G M E N T**
All these writ petitions are connected. I shall refer to the parties and exhibits in W.P.(C) No.187 of 2010 for the sake of convenience.
2. Ext.P2 notification issued by the State Government under Section 17(1C) of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter referred to as 'the Act' for short) is under challenge. The Government has by the said notification exempted the primary co-operative societies in the State from the operation of the Employees' Pension Scheme, 1995 framed under Section 6A of the Act. The State Government by yet another notification G.O.(P) No.128/06/Co-op. dated 12.7.2006 had made the Kerala Co-operative Employees Self Financing Pension Scheme, 1994 ('State Pension Scheme' for short) applicable to all primary co-operative societies with effect from 3.6.1993. Most of the writ petitions have been filed only in the years 2010 and 2011 challenging the exemption even though the
W.P.(C) No.21637 of 2009 etc.
2
State Pension Scheme has been in vogue for the past several years.
## 3. Section 17(1C) of the Act is as follows:-
17(1C) The appropriate Government may, by notification in the Official Gazette, and subject to the condition on the pattern of investment of pension fund and such other conditions as may be specified therein, exempt any establishment or class of establishments from the operation of the Pension Scheme if the employees of such establishment or class of establishments are either members of any other pension scheme or propose to be members of such pension scheme, where the pensionary benefits are at par or more favourable than the Pension Scheme under this Act.
It empowers the State Government by notification in the Gazette
to exempt any establishment or class of establishments from the operation of the Pension Scheme if the employees of such establishment or class of establishments are either members of any other Pension Scheme or propose to be members of such Pension Scheme. The only pre-requisite for issuing such notification is the subjective satisfaction of the State Government that the pensionary benefits (in this case the State Pension Scheme) are at par or more favourable than the Pension Scheme framed under the Act. Ext.P2 notification inter alia reads as follows:-
W.P.(C) No.21637 of 2009 etc.
3
And whereas, in the opinion of the Government of Kerala the pensionary benefits under the Kerala Co-operative Societies Employees Self Financing Pension Scheme, 1994, are at par or more favourable than the Pension Scheme under the Employees Provident Fund Miscellaneous Provisions Act, 1952, i.e., the Employees Pension Scheme, 1995.
Thus the State Government has come to a subjective satisfaction that the pensionary benefits under the State Pension Scheme are at par or more favourable than the Pension Scheme framed under the Act. The contention that the exemption granted is conditional is puerile since the Schedule to Ext.P2 notification only clarifies that the benefits under the State Pension Scheme should not later go inferior to the pension scheme framed under the Act.
4. The Kerala State Co-operative Employees' Pension Board managing the affairs of the State Pension Scheme has filed a detailed counter affidavit. A comparative study of the Pension Scheme under the Act and the State Pension Scheme is given therein which is extracted below:-
|**_Criterion_**|**_EPF Pension Scheme, 1995_**|**_Co-operative Employees Self_**<br>**_Financing Pension Scheme_**|
|---|---|---|
|1. Contribution|8.33% of the salary|10% of the salary|
|2. Retirement age|58 years|58 years|
W.P.(C) No.21637 of 2009 etc.
4
|**_Criterion_**|**_EPF Pension Scheme, 1995_**|**_Co-operative Employees Self_**<br>**_Financing Pension Scheme_**|
|---|---|---|
|3. Members Pension|1. Service from 16.11.1995<br>shall be reckoned for<br>calculation of pension.<br>2. Minimum service for<br>eligibility for pension is ten<br>years after joining EPF<br>Scheme.<br>3. Pensionable salary is the<br>average of last 12 months<br>salary (on an average of<br>Rs.6500/- as maximum slary)<br>4.<br>Eligibility<br>for<br>superannuation pension is 20<br>years of service or on<br>attaining the age of 58 years.|1. Service from the date of<br>joining the CPF shallbe<br>reckoned (including probation<br>period) for calculation of<br>pension.<br>2. No limit is there for the<br>Minimum<br>service<br>for<br>eligibility of pension.<br>3. Pensionable salary is the<br>average of the ten months<br>salary.<br>4.<br>Eligibility<br>for<br>superannuation pension is on<br>attainment of 58 years of age.|
|4. Calculation of pension|Average Pay* Qualifying<br>service (from 16.11.1995)|Average Pay* Qualifying<br>Service (in number of<br>months)|
||70|720|
|5. Minimum Pension|No minimum pension is<br>assured|A minimum pension of<br>Rs.500/- is assured.|
W.P.(C) No.21637 of 2009 etc.
5
|**_Criterion_**|**_EPF Pension Scheme, 1995_**|**_Co-operative Employees Self_**<br>**_Financing Pension Scheme_**|
|---|---|---|
|6. Maximum Pension|1. There is a ceiling limit for<br>the maximum pensionable<br>salary to Rs.6500/-.<br>2. Maximum pension of 50%<br>of salary is given on<br>completion of 33 years of<br>service with a bonus of<br>additional two years service<br>with a ceiling limit of<br>maximum<br>pensionable<br>salary.<br>3. There is no provision for<br>remitting the arrears for the<br>period for which PF<br>contribution has not deducted<br>in the past years to obtain<br>maximum pension benefits.|1. Maximum pensionable<br>salary <br>is<br>limited<br>to<br>Rs.20,000/-.<br>2. Maximum pension of 50%<br>of salary is given on<br>completion of 30 years of<br>service.<br>3. There is provision for<br>remitting the arrears of PF<br>contribution with interest for<br>the past periods.|
|7. Maximum service|For maximum service of 33<br>years an amount of Rs.3250/-<br>(i.e., half of maximum<br>pensionable<br>salary<br>of<br>Rs.6500/-) is paid as pension.|For maximum service of 30<br>years maximum pension is<br>limited to Rs.10000/-.|
|8. Death in service|Widow's<br>pension<br>=<br>employee's pension<br>Children pension = 25% of<br>widow pension<br>Orphan pension = 75% of<br>widow pension|Family/nominee is eligible for<br>proportionate rate that would<br>have been admissible had he<br>retired from service on the<br>date and it shall not be less<br>than Rs.500/- till the date he<br>would have been continued in<br>service and afterwards 50% of<br>pension subject to a<br>maximum of Rs.400/-.|
W.P.(C) No.21637 of 2009 etc.
6
|**_Criterion_**|**_EPF Pension Scheme, 1995_**|**_Co-operative Employees Self_**<br>**_Financing Pension Scheme_**|
|---|---|---|
|9. Disable in service|A member<br>who <br>is<br>permanently and totally<br>disabled<br>during<br>the<br>employment shall be entitled<br>to pension subject to a<br>minimum of Rs.250/- per<br>month.|For disability invalid pension<br>may be granted to an<br>employee subject to a<br>minimum of Rs.500/- per<br>month.|
|10. Death after retirement<br>of employees' pension|Widow - 50% of employee's<br>pension.<br>Children - 12.5% of<br>employee's pension.<br>Orphan - 37.5% of<br>employee's pension.|Family is eligible for 50% of<br>employee's pension without<br>any maximum.|
|11. Definition of family|Wife or husband and sons,<br>daughters only.|Wife or husband and sons,<br>daughters, brothers, sisters,<br>father and mother.|
|12. Bachelor's pension|Pension to nominee after<br>retirement with maximum<br>limit|Pension to nominee after<br>retrement without maximum<br>limit.|
|13. Pension option|90% of Pension for life, 100<br>times pension on the death of<br>pensioner with maximum<br>limit on monthly pension.|Pension for life without any<br>maximum limit.|
|14. Commutation|No commutation|No commutation|
W.P.(C) No.21637 of 2009 etc.
7
|**_Criterion_**|**_EPF Pension Scheme, 1995_**|**_Co-operative Employees Self_**<br>**_Financing Pension Scheme_**|
|---|---|---|
|15. Reduced pension|1. Pension eligibility is only<br>on attainment of 58 years. A<br>member if he so desires may<br>be allowed to draw a monthly<br>reduced pension from a date<br>earlier than 58 years of age<br>but not earlier than 50 years<br>of age. In such cases, the<br>amount of pension shall be<br>reduced at the rate of 3% for<br>every year the age falls short<br>of 58 years.<br>2. In such cases a pensioner<br>has to wait up to attainment<br>58 years of age for getting<br>pension.|1. A retiring pension shall be<br>granted to an employee who<br>retired voluntarily after<br>completing a minimum of 20<br>years of qualifying service or<br>on attaining the age of 50<br>years without any reduction<br>from pension amount.<br>2. It is not necessary for<br>waiting up to attainment of 58<br>years of age for getting<br>pension.|
|16. Charges levied on<br>employer|The employer is levied with<br>1.1% of gross salary as<br>administrative charge and<br>0.005% as inspection charge<br>every month.|No such charge is levied from<br>the employer.|
|17. Pension increase|On every actuarial valuation|On every actuarial valuation|
I am not for a moment prepared to hold that the State Government had not satisfied itself about the comparative benefits of the Pension Scheme framed under the Act and the State Pension Scheme.
5. The petitioners who are employees and pensioners of the various primary co-operative societies contend that exemption should have been granted under Section 17(2) of the
W.P.(C) No.21637 of 2009 etc.
8
Act and not under Section 17(1C) of the Act. A reading of Section 17(2) of the Act makes it abundantly clear that it concerns only exemption of any person or class of persons employed in any establishment to which the Scheme framed under Section 6A of the Act applies. Section 17(2) in other words applies to individual exemption of person or class of persons, while Section 17(1C) applies to exemption of establishment or class of establishments. I am fortified in this view by the judgment of Honourable Mr.Justice S.A.Kapadia (as he then was) in **Rhone-Poulenc Employees Union v. Regional Provident Fund** (1996 (2) LLJ 1001 Bom). The State Government has correctly called in aid Section 17(1C) of the Act to exempt the primary co-operative societies in the State who by themselves form a separate class of establishments. Such exemption is warranted to avoid duplication and permit the employees to get the benefit of another Scheme as has been held in **Mohammed Ali v. Union of India** (AIR 1964 SC 980)
6. The State Government has obviously followed Clause 39 of the Employees Pension Scheme, 1995 in granting exemption under Section 17(1C) of the Act. The relevant portion of Clause 39 of the Employees Pension Scheme, 1995 is
W.P.(C) No.21637 of 2009 etc.
9
as follows:-
**Clause 39** - Exemption from the operation of the Pension Scheme - The appropriate Government may grant exemption to any establishment or class of establishments from the operation of this Scheme, if the employees of the establishments are either members of any other pension scheme or propose to be members of a pension schme wherein the pensionary benefits are at par or more favourable than the benefits provided under this Scheme. Where exemption is granted to any establishment or class of establishments under this paragraph, withdrawal benefits available to the credit of the employees of such establishment(s) under the ceased Family Pension Scheme, 1971 shall be paid, subject to the consent of the employees, to the Pension Fund of the establishment(s) so exempted. An application for exemption under this paragraph shall be presented to the Regional Provident Fund Commissioner having jurisdiction by the establishment or class of establishments together with a copy of the Pension Scheme of the establishment(s) and other relevant documents as may be called for by him. On receipt of such an application, the recommendations of the Central Provident Fund Commissioner and submit the same to the appropriate government for decision.
The explanatory note to Ext.P2 notification and also the counter affidavit filed by the State Government reveal that several representations had been received from the employees' organisations for exempting the primary co-operative societies from the Pension Scheme under the Act. True it is that the Regional Provident Fund Commissioner had in the context of the application put in by the seventh respondent bank had observed
W.P.(C) No.21637 of 2009 etc.
10
that the Pension Scheme under the Act was more beneficial. But Clause 39 of the Employees Pension Scheme extracted above shows that he can only submit his views and it is for the appropriate Government to decide whether or not to grant exemption. The Employees Provident Fund Organisation vehemently contended that there was no proper consultation by the State Government who had unilaterally decided to grant such exemption. It does not lie in their mouth to contend so since W.P.(C) No.31775 of 2006 filed by the Employees Provident Fund Organisation already stands dismissed. The writ petition might have been dismissed on some technical ground for want of sanction from the Central Government with which I am not presently concerned. But the fact remains that a challenge to Ext.P2 notification granting exemption from the Employees Pension Scheme, 1995 has been in vain and has not been pursued thereafter by the said organisation.
7. It may at once be noticed that the State Pension Scheme framed under Section 80A of the Kerala Co-operative Societies Act has been in force from 3.6.1993. The State Pension Scheme was itself implemented pursuant to the judgment of this Court in O.P.No.13868 of 1999 and other
W.P.(C) No.21637 of 2009 etc.
11
connected cases. The State Pension Scheme provides for the transfer of the fund accumulated in the contributory provident fund in resepct of every employee of the society to the Pension Board under the State Pension Scheme. Clause 39 of the State Pension Scheme provides for transfer of accumulations from the contributory provident fund and Clause 38 thereof enables the Pension Board to recover the amount, if any, due from the society with interest @ 24%. The Government has by order dated 8.11.2010 empowered the Pension Board to disburse pension proportionate to the contribution transferred by each society to the Pension Board. What is more is that an appeal is provided to the Government under Clause 28A of the State Pension Scheme for any person aggrieved by an order of the Pension Board. More than 16,000 societies exist in the State of Kerala and several writ petitions have already been disposed of by this Court to streamline the functioning under the State Pension Scheme. It will not be in the interest of the Employees or the societies to derail that system at this distance of time.
8. The writ petitions are highly belated in as much as the same are filed only in 2010 and 2011 when the State Pension Scheme has been implemented from 3.6.1993 onwards.
W.P.(C) No.21637 of 2009 etc.
12
The fact that Ext.P5 Circular as part of its implementation was issued in the year 2009 is hardly any reason for the belated attempt to condone the laches. Some of the employees are aggrieved in as much as the Employees Provident Fund Organisation has directed them to refund the pension disbursed to them. The employees contend that they have already spent away the money disbursed as pension and it will not be possible for them to remit back the amount. It is upto them to approach the State Government for modification of the State Pension Scheme and the field is occupied by several Circulars. It was brought to my notice that even a Circular extending the benefit of One Time Settlement Scheme was issued to enable banks to transfer amounts to the Pension Board at a concessional rate.
9. One significant fact to be noticed is that the provisions of the State Pension Scheme has not been challenged in any of these writ petitions. The State Pension Scheme has been in operation without any demur for several years and no spokes can be put across its wheels. The mere fact that implementation of the State Pension Scheme causes heart burn to a miniscale section of employees is not a reason enough to invalidate the same. There is no illegality in the order granting
W.P.(C) No.21637 of 2009 etc.
13
exemption under Section 17(1C) of the Act or the continued operation of the State Pension Scheme.
The writ petitions fail and are dismissed. No costs.
**V.CHITAMBARESH, Judge.**
nj.
## **V.CHITAMBARESH, J.**
--------------------------------------
W.P.(C) Nos. 21637 of 2009, 145, 157, 187, 532, 12765, 29698, 29928, 31360 & 37356 of 2010, and
3462, 10315, 13504 & 15849 of 2011
## **JUDGMENT**
Dated:- 7[th] February, 2012
--------------------------------------