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Saturday, March 3, 2012

service matter payment of back wages = The parties having agreed to a solution, we see no reason why the same cannot be made a basis for disposal of this appeal in modification of the order passed by the High Court.


                                                      REPORTABLE


                   IN THE SUPREME COURT OF INDIA


                    CIVIL APPELLATE JURISDICTION


                  CIVIL APPEAL NO.   2708   of 2012

             (Arising out of S.L.P. (C) No.21197 of 2010)




Vismay Digambar Thakare                                    ...Appellant


                  Versus


Ramchandra Samaj Sewa Samiti & Ors.                        ...Respondents





                            J U D G M E N T





T.S. THAKUR, J.




1.      Leave Granted.



2.      This appeal  arises out of a judgment and order dated 7th


May,   2010   passed   by   the   High   Court   of   Judicature   at   Bombay,


Nagpur   Bench,   whereby   M.C.A.   (Review)   No.1479   of   2009   in


Letters Patent Appeal No.386 of 2008 has been allowed and the


judgment of the School Tribunal to the extent the same awarded


back wages to the appellant has been set aside.


     
[





3.         When   the   matter   came   up   before   us   for   hearing   on   27th


February,   2012,   learned   counsel   for   the   parties   made   their


submissions extensively but sought liberty to mention the matter


again if the parties were able to negotiate an amicable settlement


on the question of back wages claimed by the appellant?  Only to


recapitulate   the   line   of   arguments   advanced   before   us   we   may


mention   that   learned   counsel   for   the   appellant   had   placed


reliance   upon   the   decisions   of   this   Court   in  U.P.   State


Brassware   Corpn.   Ltd.   &   Anr.   v.   Uday   Narain   Pandey


(2006)   1   SCC   479,  Reetu   Marbles   v.   Brabhakant   Shkla


(2010)  2   SCC  70,   and  Metropolitan  Transport   Corporation


v.   V.   Venkatesan   (2009)   9   SCC   601,  to  contend   that   back


wages could be awarded to the appellant even in the absence of


a specific assertion by the appellant to the effect that he was not


gainfully employed during the period he remained out of service.


It   was   argued   by   learned   counsel   for   the   appellant   on   the


strength   of   the   above   decisions   that   back   wages   could   range


between 25% to 60%.


4.         On behalf the respondent-Institution, reliance was placed


upon the decision of this Court Kendriya Vidyalaya Sangathan


&  Anr. v. S.C.  Sharma,  (2005)  2 SCC  363,  in  an  attempt  to


demonstrate   that   unless   there   was   a  specific   assertion   that   the


appellant   was   not   gainfully   employed   during   the   period   he


remained out of service, no back wages could be awarded in his


favour.  



5.      It   is   not   necessary   for   us   to   pronounce   upon   the   rival


contentions urged by learned counsel for the parties.  We say so


because   the   matter   was   mentioned   before   us  on   28th  February,


2012 by the learned counsel for the parties.  It was submitted on


behalf   of   the   respondent-school   and   the   Simiti   that   they   were


willing to pay to the appellant a sum of Rupees one lakh in full


and   final   settlement   of   the   claim   made   by   him   towards   back


wages.   Mr.   Manish   Pitale,   learned   counsel   for   the   appellant


submitted   on   instructions   that   the   appellant   was   ready   and


willing to accept the said amount in satisfaction of his claim.



6.     The  parties having agreed to a solution, we see no reason


why the same cannot be made a basis for disposal of this appeal


in modification of the order passed by the High Court.


7.      We accordingly, allow  this appeal  but only in part and to


the extent that the appellant shall be paid by respondents No.1-


Samiti and No.2-Institution jointly and severally a sum of Rupees


one  lakh  towards  back  wages  in  full  and final  settlement  of the


claim   of   the   appellant   on   that   account.   The   payment   shall   be


made to the appellant within a period of three months from today


failing which the amount shall start earning interest @ 10% p.a.


from the date of this judgment till actual payment. The parties to


bear their own costs.                        


                                                   .........................................J.

                                                               (T.S. THAKUR)


                                                   ...........................................J.

                                                    (GYAN SUDHA MISRA)

New Delhi

March 2, 2012