Cement Corporation of India Ltd. Through Its Chairman-cum- Managing Director and Another Vs. Cement and Khadan Kamagar Sangh, Thro': Its General Secretary Santram and Others - Court Judgment

SooperKanoon Citationsooperkanoon.com/1151697
CourtChhattisgarh High Court
Decided OnMay-08-2014
Case NumberWrit Appeal No. 27 of 2008
JudgeSUNIL KUMAR SINHA & CHANDRA BHUSHAN BAJPAI
AppellantCement Corporation of India Ltd. Through Its Chairman-cum- Managing Director and Another
RespondentCement and Khadan Kamagar Sangh, Thro': Its General Secretary Santram and Others
Excerpt:
sunil kumar sinha, j. 1. the short question involved in this appeal is: œwhether the circular dated 02.09.2002 was applicable to the employees/members of the petitioner- sangh, who had opted for voluntary retirement (vr) under the voluntary retirement scheme (vrs) dated 07.03.2001 and got their cases already finalized prior to 12.06.2002?? 2. the facts, briefly stated, are as under: 2.1. the employees/members of the petitioner- sangh were wage board employees. they were getting their pay as per wage board scale. cement wage board settlement dated 14.08.2002, was applicable to them. they made applications for voluntary retirement as per œcci voluntary retirement scheme? dated 07.03.2001. this scheme was prevailing at the relevant time, as the earlier voluntary retirement scheme (vrs), 1992, was withdrawn with effect from 03.03.2001. 2.2. the voluntary retirement (vr) applications filed by the employees/members of the petitioner- sangh, were accepted by the appellants/respondents 2 and 3 in the writ petition and their cases were finalized before 06.11.2001 and appropriate benefits were released in their favour according to the said scheme dated 07.03.2001. thus, the employees were given respective benefits, which became due to them under the said voluntary retirement scheme (vrs), 2001. 2.3. thereafter, vide circular dated 12.06.2002, the appellants again made an one-time offer of voluntary retirement for the employees posted at non-operating units/ c.o., and the last date of submission of the applications was extended time to time up to 03.09.2002. 2.4. on 02.09.2002, the corporate office of the appellants issued circular no.pdr/7(5)/2002/6636, thereby, making provisions that 50% adl. ex- gratia shall be allowed to wage board employees as to the employees in ida scales of pay, in case, they take voluntary retirement under the prevailing scheme dated 12.06.2002. it was also clarified that other terms and conditions of one- time offer remains unaltered. 2.5. when the circular dated 02.09.2002 came into the notice of the petitioner- sangh, writ petition no. 2126/2003 was filed by the sangh in representative capacity of its employees, who had opted for voluntary retirement (vr), seeking relief that the authorities be directed to grant 50% adl. ex-gratia payment as per circular dated 02.09.2002. this writ petition has been allowed by the writ court. hence, this appeal. 3. mr. deshmukh, leaned counsel appearing on behalf of the appellants, has argued that the circular dated 02.09.2002, which is the main basis of the writ petition as also the impugned order, passed by the writ court on 31st of july, 2006, is not applicable to the cases of the employees, who had not opted for voluntary retirement (vr) as per one-time offer dated 12.06.2002. according to learned counsel for the appellants, the said circular was with relation to one-time offer dated 12.06.2002, therefore, the learned single judge erred in law in holding that the said circular was a part of the earlier scheme dated 07.03.2001 and the employees, who had opted for voluntary retirement under the said scheme, would also be benefitted by the said circular dated 02.09.2002. 4. on the other hand, dr. n.k. shukla, learned senior counsel appearing on behalf of respondent no.1, has opposed these arguments and supported the order passed by the writ court. he has argued that the said circular dated 02.09.2002 was applicable with equal force to the employees, who had opted under voluntary retirement scheme (vrs) dated 07.03.2001 even prior to 12.06.2002. 5. mr. vivek shrivastava, learned standing counsel appearing on behalf of union of india, has supported the contentions of mr. deshmukh. 6. we have heard counsel for the parties. 7. it is an admitted position that the earlier voluntary retirement scheme (vrs), 1992 was not in force. it was substituted by the 'cci voluntary retirement scheme' dated 07.03.2001. the scheme of 2001 was applicable with effect from 03.03.2001. these facts have not been disputed by any party. it has also not been disputed that the employees of the petitioner- sangh, had applied for voluntary retirement under voluntary retirement scheme, 2001. their applications were accepted and their cases were finalized as per the provisions of said scheme, contained in para 5.0 and the benefits were released in their favour. 8. a perusal of the records would show that after the said scheme of 2001, by circular dated 12.06.2002, an other scheme of one-time offer of voluntary retirement for the employees posted at non-operating units/corporate office was issued by the appellants. we quote the circular, which reads as under : œhindi? cement corporation of india ltd. (a govt. of india enterprise) no.fd/pp/1(45)/2002/6320 dtd. 12.06.2002 circular subject: one-time offer of voluntary retirement for the employees posted at non-operating units/ corporate office. the employees are aware that the corporation was referred to the bifr and was declared a sick company vide bifr order no. 501/96-bench iv dated 08.08.1996 under the provisions of sick industrial companies (special provisions) act, 1985. 2. the hon'ble bifr in its hearing held on 28.7.2000 and 27.03.2001 has directed m/s ifci, the operating agency for exploring sale of units individually or company as a whole. pursuant to the order of bifr sbi caps, the merchant banker, appointed by ifci, invited offers of expression of interest for sale of cci as a whole or individual units. the process of sale has accordingly started. 3. the corporation has been advised by the government of india. ministry of heavy industries and public enterprises vide its letter no. 9(1)/98-fe-xii dated 25.1.2002 to offer one time voluntary retirement and in the absence of any employee not opting for the vr, this will deemed as consent for transfer of the employees to the new company/management in the event of sale. accordingly, as per the provisions of cci voluntary retirement scheme, 2001, as amended from time to time, applications for voluntary retirement are being invited from the employees posted at its non-operating units viz. mandhar, kurkunta, nayagaon, akaltara, charkhi dadri, aadilabad, delhi cement grinding unit bhatinda grinding unit and corporate office. 4. applications for voluntary retirement from the employees posted at above non-operating units/corporate office are invited upto 11th of july, 2002, in the prescribed application form available at the units/office. the application for voluntary retirement should be unconditional. any conditional application will not be considered for vr and in such an event, it will be presumed that the concerned employee is interested in transfer of his/her services to the new company/management in the event of the sale. 5. in the event of any of the plants not getting sold, the said plant will be closed and employees of that unit will be separated/dealt with as per rules/govt.'s guidelines. 6. the employees of corporate office who do not opt for vr under this present offer, will be distributed among various plants under sale proportionately based on the installed capacity of the plant at the sole discretion of the management. 7. it is reiterated that such of the employees who do not opt for vr as per the above offer of one time vr, non-submission of application will be treated as willingness for transfer of their services to the new buyer/company/management in the event of sale. 8. the circular inviting applications for one time voluntary retirement on similar lines for operating units viz. rajban, bokajan and tandur and zonal offices shall be issued separately, in due course. this issues with the approval of the competent authority. sd/- m.p. sinha general manager (panda)" 9. now, we quote the circular dated 02.09.2002 for ready reference: to: gms-mandhar/kurkunta/nayagaon/akaltara/charkhi dadri/adilabad/dcgu/bgu. from: gm (panda) c.o. vide circular no. pd/pp/1(45)/2002/6320, dt. 12.6.02, onetime offer of voluntary retirement for the employees posted at non-operating units/c.o. was issued. last date for submission of applications was extended from time to time upto 03.09.02. in view of the decision awaited from the ministry of heavy industries and public enterprises regarding eligibility of adl 50% ex-gratia as per dpe guidelines to wage board scale employees of cci, the deptt. of heavy industry vide their letter no. 10(1)/2001-pe.xii(pt) dt. 2-09-02 has communicated that 50% adl. ex-gratia shall be allowed to wage board employees as to the employees in ida scales of pay. the 50% adl. exgratia shall however be payable provided they give an undertaking in their vr applications that they will not be eligible for any relief on implementation of cement wage settlement dt. 14.8.2000 on receipt of this 50% adl. ex gratia and payments of vrs being made shall be full and final settlement. you are requested to inform all concerned workers at your unit working in wage board scales suitably. the required v.r. form is being sent separately. other terms and conditions of one-time offer incl. last date for submission of applications upto 03.09.02 remains unaltered. no.pdr/7(5)/2002/6636 dt. 2-9-02 sd/- (m.p. sinha) gm (panda) 10. a bare perusal of the contents of the above circular dated 02.09.2002, would show that it was in relation to onetime voluntary retirement offer dated 12.06.2002, which is mentioned in the very 1st para of this circular. that is to say that the benefit of 50% adl. ex-gratia as per the dpe guidelines to wage board scale employees of cci was to be given to those employees, who had opted for their voluntary retirement under the offer dated 12.06.2002, provided they give an undertaking in their vr applications that they will not be eligible for any relief on implementation of cement wage settlement dated 14.08.2002 on receipt of this 50% adl. ex-gratia and payments of vrs, which would be as full and final settlement. this would be much clear from the last sentence of circular dated 02.09.2002, which clearly says that œother terms and conditions of one-time offer including last date of submission of application up to 03.09.2002 remains unaltered?. 11. it appears that the learned single judge held that the circular dated 02.09.2002 was a general circular, which would be applicable even to the settled cases of voluntary retirement (vr) as per voluntary retirement scheme dated 07.03.2001. 12. when the question arises as to the meaning of a certain provision in a statute, it is not only legitimate but proper to read that provision in its context. the context here means, the statute as a whole, the previous state of the law, other statutes in pari materia, the general scope of the statute and the mischief that it was intended to remedy. the elementary rule of interpretation is, no one should profess to understand any part of a statute or of any other document before he has read the whole of it. until he has done so, he is not entitled to say that it, or any part of it, is clear and unambiguous. (vide: principles of statutory interpretation by justice g.p. singh, sixth edition, 1996, pp. 21 and 37). 13. we are of the opinion that in view of the contents of circular dated 02.09.2002, which makes it ample clear that it was with reference to one-time offer of voluntary retirement dated 12.06.2002, the benefits contained in this circular, were not available to the other employees who had not opted for voluntary retirement as per the offer dated 12.06.2002, because if the circular dated 02.09.2002 is interpreted otherwise, many settled cases of voluntary retirement shall have to be reopened and the situation would be quite adverse and it doesn't appear to be object and intention of the said circular. 14. for the foregoing reasons, the appeal is allowed. the impugned order dated 31st of july, 2006, passed in writ petition no. 2126/2003 is set-aside and the writ petition filed by the petitioner- sangh/respondent 1 herein, is dismissed with no order as to cost(s).
Judgment:

Sunil Kumar Sinha, J.

1. The short question involved in this appeal is:

œWhether the Circular dated 02.09.2002 was applicable to the employees/members of the Petitioner- Sangh, who had opted for voluntary retirement (VR) under the Voluntary Retirement Scheme (VRS) dated 07.03.2001 and got their cases already finalized prior to 12.06.2002??

2. The facts, briefly stated, are as under:

2.1. The employees/members of the Petitioner- Sangh were Wage Board employees. They were getting their pay as per Wage Board Scale. Cement Wage Board Settlement dated 14.08.2002, was applicable to them. They made applications for voluntary retirement as per œCCI Voluntary Retirement Scheme? dated 07.03.2001. This Scheme was prevailing at the relevant time, as the earlier Voluntary Retirement Scheme (VRS), 1992, was withdrawn with effect from 03.03.2001.

2.2. The Voluntary Retirement (VR) applications filed by the employees/members of the Petitioner- Sangh, were accepted by the appellants/respondents 2 and 3 in the Writ Petition and their cases were finalized before 06.11.2001 and appropriate benefits were released in their favour according to the said Scheme dated 07.03.2001. Thus, the employees were given respective benefits, which became due to them under the said Voluntary Retirement Scheme (VRS), 2001.

2.3. Thereafter, vide Circular dated 12.06.2002, the appellants again made an One-time Offer of Voluntary Retirement for the employees posted at non-operating units/ C.O., and the last date of submission of the applications was extended time to time up to 03.09.2002.

2.4. On 02.09.2002, the Corporate office of the appellants issued Circular No.PDR/7(5)/2002/6636, thereby, making provisions that 50% Adl. Ex- gratia shall be allowed to Wage Board Employees as to the employees in IDA Scales of pay, in case, they take voluntary retirement under the prevailing Scheme dated 12.06.2002. It was also clarified that other terms and conditions of One- time offer remains unaltered.

2.5. When the Circular dated 02.09.2002 came into the notice of the Petitioner- Sangh, Writ Petition No. 2126/2003 was filed by the Sangh in representative capacity of its employees, who had opted for Voluntary Retirement (VR), seeking relief that the authorities be directed to grant 50% Adl. ex-gratia payment as per Circular dated 02.09.2002. This Writ Petition has been allowed by the Writ Court.

Hence, this appeal.

3. Mr. Deshmukh, leaned counsel appearing on behalf of the appellants, has argued that the Circular dated 02.09.2002, which is the main basis of the Writ Petition as also the impugned order, passed by the Writ Court on 31st of July, 2006, is not applicable to the cases of the employees, who had not opted for voluntary retirement (VR) as per One-time offer dated 12.06.2002. According to learned counsel for the appellants, the said Circular was with relation to One-time offer dated 12.06.2002, therefore, the learned Single Judge erred in law in holding that the said Circular was a part of the earlier Scheme dated 07.03.2001 and the employees, who had opted for voluntary retirement under the said Scheme, would also be benefitted by the said Circular dated 02.09.2002.

4. On the other hand, Dr. N.K. Shukla, learned Senior Counsel appearing on behalf of respondent No.1, has opposed these arguments and supported the order passed by the Writ Court. He has argued that the said Circular dated 02.09.2002 was applicable with equal force to the employees, who had opted under Voluntary Retirement Scheme (VRS) dated 07.03.2001 even prior to 12.06.2002.

5. Mr. Vivek Shrivastava, learned Standing Counsel appearing on behalf of Union of India, has supported the contentions of Mr. Deshmukh.

6. We have heard counsel for the parties.

7. It is an admitted position that the earlier Voluntary Retirement Scheme (VRS), 1992 was not in force. It was substituted by the 'CCI Voluntary Retirement Scheme' dated 07.03.2001. The Scheme of 2001 was applicable with effect from 03.03.2001. These facts have not been disputed by any party. It has also not been disputed that the employees of the Petitioner- Sangh, had applied for voluntary retirement under Voluntary Retirement Scheme, 2001. Their applications were accepted and their cases were finalized as per the provisions of said Scheme, contained in para 5.0 and the benefits were released in their favour.

8. A perusal of the records would show that after the said Scheme of 2001, by Circular dated 12.06.2002, an other Scheme of One-time Offer of Voluntary Retirement for the employees posted at non-operating units/Corporate office was issued by the appellants. We quote the Circular, which reads as under :

œHINDI?

Cement Corporation of India Ltd.

(A Govt. of India Enterprise)

No.FD/PP/1(45)/2002/6320

DTD. 12.06.2002

CIRCULAR

Subject: One-Time offer of Voluntary Retirement for the employees posted at non-operating Units/ Corporate Office.

The employees are aware that the Corporation was referred to the BIFR and was declared a Sick Company vide BIFR Order No. 501/96-Bench IV dated 08.08.1996 under the provisions of Sick Industrial Companies (Special Provisions) Act, 1985.

2. The Hon'ble BIFR in its hearing held on 28.7.2000 and 27.03.2001 has directed M/s IFCI, the Operating Agency for exploring sale of units individually or Company as a whole. Pursuant to the Order of BIFR SBI Caps, the Merchant Banker, appointed by IFCI, invited offers of expression of interest for sale of CCI as a whole or individual units. The process of sale has accordingly started.

3. The corporation has been advised by the Government of India. Ministry of Heavy Industries and Public Enterprises vide its letter No. 9(1)/98-FE-XII dated 25.1.2002 to offer one time Voluntary Retirement and in the absence of any employee not opting for the VR, this will deemed as consent for transfer of the employees to the new company/management in the event of sale. Accordingly, as per the provisions of CCI Voluntary Retirement Scheme, 2001, as amended from time to time, applications for Voluntary Retirement are being invited from the employees posted at its non-operating Units viz. Mandhar, Kurkunta, Nayagaon, Akaltara, Charkhi Dadri, Aadilabad, Delhi Cement Grinding Unit Bhatinda Grinding Unit and Corporate Office.

4. Applications for Voluntary Retirement from the employees posted at above non-operating Units/Corporate Office are invited upto 11th of July, 2002, in the prescribed application form available at the Units/Office. The application for voluntary retirement should be unconditional. Any conditional application will not be considered for VR and in such an event, it will be presumed that the concerned employee is interested in transfer of his/her services to the new Company/Management in the event of the sale.

5. In the event of any of the plants not getting sold, the said plant will be closed and employees of that Unit will be separated/dealt with as per Rules/Govt.'s guidelines.

6. The employees of Corporate Office who do not opt for VR under this present offer, will be distributed among various plants under sale proportionately based on the installed capacity of the plant at the sole discretion of the management.

7. It is reiterated that such of the employees who do not opt for VR as per the above offer of one time VR, non-submission of application will be treated as willingness for transfer of their services to the new buyer/Company/Management in the event of sale.

8. The Circular inviting applications for one time Voluntary Retirement on similar lines for operating Units viz. Rajban, Bokajan and Tandur and Zonal Offices shall be issued separately, in due course.

This issues with the approval of the Competent Authority.

Sd/-

M.P. SINHA

GENERAL MANAGER (PandA)"

9. Now, we quote the Circular dated 02.09.2002 for ready reference:

To:

GMS-Mandhar/Kurkunta/Nayagaon/Akaltara/Charkhi Dadri/Adilabad/Dcgu/Bgu.

From: GM (PandA) C.O.

Vide Circular No. PD/PP/1(45)/2002/6320, dt. 12.6.02, onetime offer of voluntary retirement for the employees posted at Non-Operating Units/C.O. was issued. Last date for submission of applications was extended from time to time upto 03.09.02.

In view of the decision awaited from the Ministry of Heavy Industries and Public Enterprises regarding eligibility of ADL 50% Ex-gratia as per DPE guidelines to Wage Board scale employees of CCI, the deptt. of Heavy Industry vide their letter no. 10(1)/2001-PE.XII(pt) dt. 2-09-02 has communicated that 50% ADL. Ex-gratia shall be allowed to Wage Board employees as to the employees in IDA scales of pay. The 50% ADL. Exgratia shall however be payable provided they give an undertaking in their VR applications that they will not be eligible for any relief on implementation of Cement Wage Settlement dt. 14.8.2000 on receipt of this 50% ADL. Ex gratia and payments of VRS being made shall be full and final settlement.

You are requested to inform all concerned workers at your Unit working in Wage Board scales suitably. The required V.R. FORM is being sent separately. Other terms and conditions of one-time offer incl. last date for submission of applications upto 03.09.02 remains unaltered.

NO.PDR/7(5)/2002/6636

DT. 2-9-02 Sd/-

(M.P. SINHA)

GM (PandA)

10. A bare perusal of the contents of the above Circular dated 02.09.2002, would show that it was in relation to Onetime Voluntary Retirement Offer dated 12.06.2002, which is mentioned in the very 1st para of this Circular. That is to say that the benefit of 50% Adl. ex-gratia as per the DPE guidelines to Wage Board Scale Employees of CCI was to be given to those employees, who had opted for their voluntary retirement under the Offer dated 12.06.2002, provided they give an undertaking in their VR applications that they will not be eligible for any relief on implementation of Cement Wage Settlement dated 14.08.2002 on receipt of this 50% Adl. ex-gratia and payments of VRS, which would be as full and final settlement. This would be much clear from the last sentence of Circular dated 02.09.2002, which clearly says that œOther terms and conditions of One-time offer including last date of submission of application up to 03.09.2002 remains unaltered?.

11. It appears that the learned Single Judge held that the Circular dated 02.09.2002 was a general Circular, which would be applicable even to the settled cases of Voluntary Retirement (VR) as per Voluntary Retirement Scheme dated 07.03.2001.

12. When the question arises as to the meaning of a certain provision in a statute, it is not only legitimate but proper to read that provision in its context. The context here means, the statute as a whole, the previous state of the law, other statutes in pari materia, the general scope of the statute and the mischief that it was intended to remedy. The elementary rule of interpretation is, no one should profess to understand any part of a statute or of any other document before he has read the whole of it. Until he has done so, he is not entitled to say that it, or any part of it, is clear and unambiguous. (Vide: Principles of Statutory Interpretation by Justice G.P. Singh, Sixth Edition, 1996, pp. 21 and 37).

13. We are of the opinion that in view of the contents of Circular dated 02.09.2002, which makes it ample clear that it was with reference to One-time Offer of Voluntary Retirement dated 12.06.2002, the benefits contained in this Circular, were not available to the other employees who had not opted for voluntary retirement as per the offer dated 12.06.2002, because if the Circular dated 02.09.2002 is interpreted otherwise, many settled cases of Voluntary Retirement shall have to be reopened and the situation would be quite adverse and it doesn't appear to be object and intention of the said Circular.

14. For the foregoing reasons, the appeal is allowed. The impugned order dated 31st of July, 2006, passed in Writ Petition No. 2126/2003 is set-aside and the Writ Petition filed by the Petitioner- Sangh/respondent 1 herein, is dismissed with no order as to cost(s).