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High Court of KeralaDivision BenchWrit appeals allowed; directions issued to rele...

WA Nos. 1678/2022; 1691/2022; 1702/2022; 1710/2022; 1793/2022; 17/2023; 424/2023 (In the High Court of Kerala at Ernakulam)

Case / Petition Number:WA Nos. 1678/2022; 1691/2022; 1702/2022; 1710/2022; 1793/2022; 17/2023; 424/2023

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Anu Sivaraman, J.
  • C. Jayachandran, J.
Judgment Date
2023-09-13
Court Decision / Holding
The writ appeals are allowed. The Court directs the respondent Societies to release the balance amounts to which the petitioners are entitled under Section 4(5) of the Payment of Gratuity Act, to the petitioners or their legal representatives, with statutory interest, within four months from the date of receipt of a copy of this judgment.
Final Disposition
Writ appeals allowed; directions issued to release the balance gratuity amounts under Section 4(5) with interest within four months; the decision aligns with the Full Bench authorities cited.

Parties to the Case

Appellants / Petitioners

  • Padmakshan E.
  • N.V. Balan
  • Sekhara M.
  • Narayanikutty M.C.
  • Dinakara Rao K
  • K. Ramakrishna Karant ha
  • Ambady N
  • Kaveri
  • Pradeep Kumar K.R.
  • Prathibha
  • Shankararanarayana Bhat K
  • Mahabala Banta
  • Gopala Patali S
  • P. Ramachandran
  • Damodaran M.V.
  • Bedadka Farmers Service Co-Operative Bank Ltd

Respondents

  • Joint Registrar (General), Co-operative Societies, Kasaragod
  • The Deputy Labour Commissioner, Gratuity Controlling Authority, Kasaragod
  • Kadakam Co-Operative Bank Ltd
  • Perumbala Service Co-Operative Bank Ltd
  • Majibail Service Co-Operative Bank Ltd
  • Mangalpady Service Co-Operative Bank Ltd
  • Perla Service Co-Operative Bank Ltd
  • Bedadka Farmers Service Co-Operative Bank Ltd
  • Life Insurance Corporation of India Ltd (LIC)

Legal Representation & Advocates

Counsels for Petitioners

  • • Kodoth Sreedharan

Counsels for Respondents

  • • B. Unnikrishna Kaimal (Sr. GP)
  • • S. Easwaran
  • • Abraham P. Mechinkara
  • • Subramanyan P.B.
  • • Sabu George
  • • P.B. Krishnan
  • • P.B. Sahasranaman
  • • T.S. Harikumar

Case Synopsis & Summary

This is a consolidated set of writ appeals challenging judgments of the Kerala High Court in petitions seeking gratuity under the Payment of Gratuity Act for employees of cooperative banks in Kasaragod district. The appellants, many retired officers and employees of various cooperative banks, contend that the gratuity paid by the Life Insurance Corporation (LIC) under group policies exceeded the statutory gratuity limit prescribed by Section 4(2) of the Payment of Gratuity Act, and that the excess should be paid to employees or their legal heirs. The respondents include Joint Registrar (General) of Co-operative Societies, the Deputy Labour Commissioner (Gratuity Controlling Authority), the respective cooperative banks, and LIC. The Court, on reference to the Full Bench decision Chandrasekharan Nair G. and others v. Kerala State Co-operative Agricultural and Rural Development Bank Ltd. (2017 (5) KHC 15) and the Nedumpuzha Service Co-operative Bank Ltd. v. K. Rugmani (2011 (3) KLT 134), holds that employees are entitled to the higher gratuity amounts already paid by LIC, even where the societies released lesser amounts under Section 4(2). The appeals are allowed, directing societies to release the balance amounts due under Section 4(5) of the Act, with statutory interest, within four months. The judgment reflects the employees’ entitlement to higher gratuity under LIC policies notwithstanding statutory limits.

Provisions of Law Cited

Payment of Gratuity Act, Section 4(2)Payment of Gratuity Act, Section 4(5)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contend that the judgments should be read in light of the Full Bench decision Chandrasekharan Nair G. and others v. Kerala State Co-operative Agricultural and Rural Development Bank Ltd. and others (2017 (5) KHC 15). They submit that LIC has paid higher gratuity amounts based on policies, and that the excess amounts released by LIC, though not mirrored by Section 4(2), must be paid to employees or their legal heirs under Section 4(5) of the Act. They rely on the Nedumpuzha Service Co-operative Bank Ltd. v. K. Rugmani (2011 (3) KLT 134) as affirmed by the Full Bench on the issue of excess policy-based amounts being recoverable for the employee’s benefit.

Contentions of Respondents

The respondents contend that statutory gratuity under Section 4(2) sets the minimum and that any excess payments by LIC are not automatically the Society’s liability unless the policy-based amounts are lawfully due to the employee under the terms of the policy; they defend the Society’s compliance with the statute and stress that any remedy lies in statutory channels, with the Court’s direction confined to ensuring proper relief under Section 4(5).

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Chandrasekharan Nair G. and others v. Kerala State Co-operative Agricultural and Rural Development Bank Ltd. and others2017 (5) KHC 15PositiveFull Bench judgment cited as controlling authority supporting entitlement to higher gratuity amounts paid by LIC despite Section 4(2) limits.
Nedumpuzha Service Co-operative Bank Ltd. v. K. Rugmani and others2011 (3) KLT 134PositiveAffirmed by the Full Bench on the issue of excess LIC policy-based amounts being recoverable for the employee’s benefit.

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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 MRS. JUSTICE ANU SIVARAMAN** ## **&** ## **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** ## **WA NO. 1678 OF 2022** ## **AGAINST THE JUDGMENT IN WP(C) 25163/2022 OF HIGH COURT OF KERALA** ## **APPELLANT/PETITIONER:** PADMAKSHAN.E. AGED 66 YEARS,SECRETARY (RETIRED), KADAKAM SERVICE CO-OPERATIVE BANK LTD., MULLERIA.P.O., KASARAGOD DISTRICT. S/O KRISHNAN NAIR, SOUPARNIKA HOUSE, MOODAMKULAM, KARADKA.P.O., KASARAGOD DISTRICT. BY ADV KODOTH SREEDHARAN 1 THE JOINT REGISTRAR (GENERAL),CO-OPERATIVE SOCIETIES, KASARAGOD -671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD - 671323., PIN - 671323 3 KADAKAM CO-OPERATIVE BANK LTD., KUNDAMKUZHY, KUNDAMKUZHY. P.O. KASARAGOD DISTRICT. REPRESENTED BY ITS SECRETARY., PIN - 671541 4 LIFE INSURANCE CORPORATION OF INDIA LTD.(LIC) REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT - 671121. BY ADVS. SRI.B UNNIKRISHNA KAIMAL – SR.GP SRI. M.SASINDRAN (B/O) SRI.S.EASWARAN (B/O) SRI.ABRAHAM P MEACHINKARAL (LIC) ## **RESPONDENTS/RESPONDENTS:** **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 13.09.2023, THE** **COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:2:-** **IN THE HIGH COURT OF KERALA AT ERNAKULAM** **PRESENT** **THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN** **&** **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** **WA NO. 1691 OF 2022** **AGAINST JUDGMENT IN WP(C) 25121/2022 OF HIGH COURT OF KERALA** ## **APPELLANT/PETITIONER:** N.V. BALAN, AGED 62 YEARS,ASSISTANT SECRETARY (RETIRED), PERUMBALA SERVICE CO-OPERATIVE BANK LTD., PERUMBALA.P.O., KALANAD VIA, KASARAGOD DISTRICT. S/O KUNHAMBU NAIR, SRUTHI NILAYAM, PERUMBALA.P.O., KASARAGOD DISTRICT. BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESPONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCIETIES, KASARAGOD., PIN - 671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD., PIN - 671323 3 PERUMBALA SERVICE CO-OPERATIVE BANK LTD., PERUMBALA .P.O., KASARAGOD., PIN – 671317 REPRESENTED BY ITS SECRETARY 4 LIFE INSURANCE CORPORATION OF INDIA, REPRESENTED BY ITS, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD., PIN - 671121 BY ADV ABRAHAM P.MEACHINKARA SRI. B UNNIKRISHNA KAIMAL – SR.GP. **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON** **13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** ## **-:3:-** ## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** ## **THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN** **&** **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** **WA NO. 1702 OF 2022** ## **AGAINST THE JUDGMENT IN WP(C) 25222/2022 OF HIGH COURT OF KERALA** ## **APPELLANT/PETITIONER:** SEKHARA M., SENIOR CLERK (RETIRED), MAJIBAIL SERVICE CO-OPERATIVE BANK LTD., MAJIBAIL, MANJESHWAR VIA, KASARAGOD DISTRICT. S/O KRISHNA BELCHADA, SOIPAKALLU HOUSE, MAJIBAIL.P.O., MANJESHWAR VIA, KASARAGOD DISTRICT. BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESPONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCIETIES, KASARAGOD - 671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD - 671323. 3 MAJIBAIL SERVICE CO-OPERATIVE BANK LTD, MAJIBAIL, MANJESHWAR VIA, KASARAGOD DISTRICT - 671323. REPRESENTED BY ITS SECRETARY., PIN - 671323 4 LIFE INSURANCE CORPORATION OF INDIA LTD.(LIC), REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT - 671121. BY ADVS. SRI.B UNNIKRISHNA KAIMAL – SR.G.P. Subramanyan P B SHRI.S.EASWARAN, SC, LIFE INSURANCE CORPORATION OF INDIA ABRAHAM P.MEACHINKARA P.B.KRISHNAN(K/1193/1994) SABU GEORGE(K/000711/1998) B.ANUSREE(K/000951/2016) MANU VYASAN PETER(K/000652/2013) **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON** **13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:4:-** **IN THE HIGH COURT OF KERALA AT ERNAKULAM** **PRESENT** **THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN** **&** **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** **WA NO. 1710 OF 2022** **AGAINST THE JUDGMENT IN WP(C) 25174/2022 OF HIGH COURT OF KERALA** ## **APPELLANT/PETITIONER:** NARAYANIKUTTY.M.C., SECRETARY (RETIRED), PRIMARY CO-OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK LTD., MANJESHWARAM, UPPALA.P.O., KASARAGOD DISTRICT, W/O DAMODARAN, KAIRALI, KOTEKKANI ROAD, KASARAGOD DISTRICT BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCIETIES, KASARAGOD -671323, 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD - 671323 3 PRIMARY CO-OPERATIVE AGRICULTURAL & RURAL DEVELOPMENT BANK LTD.,MANJESHWARAM, UPPALA.P.O., KASARAGOD DISTRICT.- 671322. REPRESENTED BY ITS SECRETARY. 4 LIFE INSURANCE CORPORATION OF INDIA LTD., REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT - 671121. BY ADVS. SRI.B UNNIKRISHNA KAIMAL – SR.G.P. GOVERNMENT PLEADER(B/O) ABRAHAM P.MEACHINKARA SHRI.S.EASWARAN, SC, LIFE INSURANCE CORPORATION OF INDIA **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON** **13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:5:-** **IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN & THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945 WA NO. 1793 OF 2022 AGAINST THE JUDGMENT IN WP(C) 20482/2022 OF HIGH COURT OF KERALA** ## **APPELLANTS/PETITIONERS:** 1 DINAKARA RAO.K, RETIRED SECRETARY, THE MANGALPADY SERVICE CO-OPERATIVE BANK LTD., CHERUGOLI, MANGALPADY.P.O., KASARAGOD DISTRICT. R/AT MALLIKARJUNA KRIPA, MARUTHI NAGER LAYOUT, HOSABETTU.P.O., MANGALORE, KARNATAKA STATE 2 K.RAMAKRISHNA KARANTHA, RETIRED ASSISTANT SECRETARY, THE MANGALPADY SERVICE CO-OPERATIVE BANK LTD., CHERUGOLI, MANGALPADY.P.O., KASARAGOD DISTRICT. R/AT THIMBRA HOUSE, MANGALPADY.P.O., KASARAGOD DISTRICT., PIN - 671324 3 AMBADY.N, RETIRED ASSISTANT SECRETARY, THE MANGALPADY SERVICE CO-OPERATIVE BANK LTD., CHERUGOLI, MANGALPADY.P.O., KASARAGOD DISTRICT. R/AT NARIKADAPPU, CHENGALA VIA, EDNEER.P.O., KASARAGOD DISTRICT, PIN – 671542 4 KAVERI, AGED 61 YEARS, W/O LATE K. RAMAKRISHNA KARANTHA, R/ AT ANUGRAHA NILAYA, THIMBARA HOUSE, MANGALPADY.P.O., KASARAGOD DISTRICT – 671 324. 5 PRADEEP KUMAR.K.R., S/O LATE K RAMAKRISHNA KARANTHA, R/AT ANUGRAHA NILAYA, THIMBARA HOUSE, MANGALPADY.P.O., KASARAGOD DISTRICT – 671 324 6 PRATHIBHA, D/O LATE K RAMAKRISHNA KARANTHA, R/AT ANUGRAHA NILAYA, THIMBARA HOUSE, MANGALPADY.P.O., KASARAGOD DISTRICT – 671 324 BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESPONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCIETIES, KASARAGOD -671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD - 671323. 3 THE MANGALPADY SERVICE CO-OPERATIVE BANK LTD. CHERUGOLI, MANGALPADY.P.O., KASARAGOD DISTRICT, REPRESENTED BY ITS SECRETARY. PIN 671324. 4 LIFE INSURANCE CORPORATION OF INDIA LTD..(LIC) REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT - 671121. BY ADVS. P.B.KRISHNAN P.B.SAHASRANAMAN P.B.SUBRAMANYAN T.S.HARIKUMAR SRI. B. UNNIKRISHNA KAIMAL – SR.G.P. **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:6:-** **IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN & THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** **WA NO. 17 OF 2023** **AGAINST THE JUDGMENT IN WP(C) 22005/2022 OF HIGH COURT OF KERALA** ## **APPELLANTS/PETITIONERS:** 1 SHANKARANARAYANA BHAT.K. RETIRED SECRETARY, THE PERLA SERVICE CO-OPERATIVE BANK LTD., P.O. PERLA. KASARAGOD DISTRICT. S/O GOVINDA BHAT, R/AT KAYARGADDE HOUSE, KATTUKUKKE VILLAGE, KASARAGOD DISTRICT., PIN - 671317 2 MAHABALA BANTA. M, RETIRED ASSISTANT SECRETARY, THE PERLA SERVICE COOPERATIVE BANK LTD., P.O. PERLA. KASARAGOD DISTRICT. S/O MADANA BANTA, R/AT MOODAMBAIL HOUSE, PUNACHA VILLAGE, MOODAMBAIL.P.O., BANTWAL TALUK, KARNATAKA STATE. 3 GOPALA PATALI S, RETIRED ATTENDER, THE PERLA SERVICE CO-OPERATIVE BANK LTD., P.O. PERLA. KASARAGOD DISTRICT. S/O SUBBA PATALI, R/AT SOORDELU HOUSE, KATTUKUKKE VILLAGE, KASARGOD DISTRICT. BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESPONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCITIES, KASARAGOD 671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD - 671323 3 THE PERLA SERVICE CO-OPERATIVE BANK LTD., P.O. PERLA. KASARAGOD DISTRICT REPRESENTED BY ITS SECRETARY. 4 LIFE INSURANCE CORPORATION OF INDIA LTD. REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT – 671121. BY ADVS. P.B.SUBRAMANYAN P.B.SAHASRANAMAN T.S.HARIKUMAR P.B.KRISHNAN(K/1193/1994) SABU GEORGE(K/000711/1998) MANU VYASAN PETER(K/000652/2013) SRI.B.UNNIKRISHNA KAIMAL **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:7:-** **IN THE HIGH COURT OF KERALA AT ERNAKULAM** **PRESENT** **THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN** **&** **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **WEDNESDAY, THE 13[TH] DAY OF SEPTEMBER 2023 / 22ND BHADRA, 1945** **WA NO. 424 OF 2023** **AGAINST THE JUDGMENT IN WP(C) 26240/2022 OF HIGH COURT OF KERALA** ## **APPELLANTS/PETITIONERS:** 1 P. RAMACHANDRAN, INTERNAL AUDITOR (RETIRED), BEDADKA FARMERS SERVICE CO-OPERATIVE BANK LTD., KUNDAMKUZHY, KUNDAMKUZHY P.O., KASARAGOD DISTRICT. S/O C.KRISHNAN NAIR, R/AT MUTHIRAMGANAM HOUSE, BEDADKA.P.O., CHENGALA VIA, KASARAGOD DISTRICT. 2 DAMODARAN M.V., AGRICULTURAL FIELD OFFICER (RETIRED), BEDADKA FARMERS SERVICE CO-OPERATIVE BANK LTD., KUNDAMKUZHY, KUNDAMKUZHY P.O. , KASARAGOD DISTRICT, S/O V.RAMAN, R/AT MUNDAVALAPIL HOUSE, OLAT.P.O., TRIKARIPUR VIA, KASARAGOD DISTRICT. BY ADV KODOTH SREEDHARAN ## **RESPONDENTS/RESPONDENTS:** 1 THE JOINT REGISTRAR (GENERAL), CO-OPERATIVE SOCIETIES, KASARAGOD, PIN - 671323 2 THE DEPUTY LABOUR COMMISSIONER, GRATUITY CONTROLLING AUTHORITY, OFFICE OF THE DEPUTY LABOUR COMMISSIONER, KASARAGOD, PIN - 671323 3 BEDADKA FARMERS SERVICE CO-OPERATIVE BANK LTD.,KUNDAMKUZHY, KUNDAMKUZHY. P.O., KASARAGOD DISTRICT. REPRESENTED BY ITS SECRETARY. 4 LIFE INSURANCE CORPORATION OF INDIA LTD. (LIC), REPRESENTED BY ITS MANAGER, LIFE INSURANCE CORPORATION OF INDIA LTD., JEEVAN JYOTHI, M.G. ROAD, KASARAGOD DISTRICT, PIN - 671121 BY ADVS. P.V.ANOOP P.B.SAHASRANAMAN T.S.HARIKUMAR SRI.B.UNNIKRISHNA KAIMAL **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 13.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** ## **-:8:-** ## **J U D G M E N T** ## _**Dated this the 13[th] day of September, 2023**_ **Anu Sivaraman, J.** **Heard the learned counsel for the appellants, learned Government Pleader appearing for the respective Societies, as well as the learned Standing Counsel for Life Insurance Corporation of India Ltd. (LIC).** **2. It is submitted by the learned counsel for the appellants that the issue raised in these writ appeals stands covered by the judgment of Full Bench of this Court in Chandrasekharan Nair G. and others v. Kerala State Co-operative Agricultural and Rural Development Bank Ltd. and others [2017 (5) KHC 15], which is the authority on the point that the employees of the Co-operative Societies are entitled to the higher amounts which has been paid by the LIC, even though, the lesser amount** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:9:-** **provided under Section 4(2) of the Act has been released by the Societies as gratuity to the exemployees.** **3. It is submitted by the learned counsel appearing for the appellants in these matters, that in all these cases, the LIC has disbursed the higher amount which was due on account of the premiums paid by the Co-operative Societies to such Societies. However, the Co-operative Societies have released only Rs.10,00,000/(Rupees ten lakh only) to the employees relying on Section 4 of the Payment of Gratuity Act. It is submitted that, going by the judgment in Nedumpuzha Service Co-operative Bank ltd. vs. K.Rugmani and others [2011 (3) KLT 134], which has been affirmed by the Full Bench on the specific aspect with regard to the excess amount received by the employer under the policy, the respondentSocieties have to pay the excess amounts which have been released to them by the LIC to the** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:10:-** ## **retired employees or their legal heirs as the case may be.** **4. Having considered the contentions advanced and in view of the judgment rendered by the Full Bench, we are of the opinion that, the prayers sought for in these writ petitions are liable to** **be granted. Though the respondent in W.A.No.1678/2023, raises a contention that the employees had not approached the Co-operative Societies seeking the release of the amounts, we find that, Ext.P1, which was produced along with the writ petition itself was a representation filed before the Bank, seeking such release of the balance amount.** **5. In the above view of the matter, we are of the opinion that, the appeals are liable to be ordered in the light of the judgment of the Full Bench referred to above. There will be a direction to the respondent-Societies to release the balance** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:11:-** **amounts which the petitioners would be entitled to under Section 4(5) of the Payment of Gratuity Act, to the petitioners or their legal representative as the case may be. The petitioner shall approach the societies which shall release the amounts due with statutory interest, after verifying the claims within a period of four months from the date of receipt of a copy of this judgment.** ## **Sd/-** ## **ANU SIVARAMAN, JUDGE** **Sd/-** **C. JAYACHANDRAN, JUDGE** **TR** **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:12:-** ## **APPENDIX OF WA 1678/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 DATED 14-7-2022 **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:13:-** ## **APPENDIX OF WA 1691/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 DATED 14/7/2022 OF THIS HON'BLE COURT **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:14:-** ## **APPENDIX OF WA 1702/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:15:-** ## **APPENDIX OF WA 1710/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 DATED 14.07.2022 **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:16:-** ## **APPENDIX OF WA 1793/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 DATED 14-07-2022 **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:17:-** ## **APPENDIX OF WA 17/2023** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022 DATED 14-7-2022 **W.A.Nos.1678, 1691,1702, 1710 & 1793 OF 2022 and 17 & 424 OF 2023** **-:18:-** ## **APPENDIX OF WA 424/2023** PETITIONER ANNEXURES Annexure 1 TRUE COPY OF THE JUDGMENT IN WA NO.758/2022