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Smart Summary

Factual and Procedural Background

The present appeal challenges the order dated 5.10.2012 passed by the learned Single Judge in Special Civil Application No.4477 of 2012, which dismissed the petition on the ground of delay. The petitioner retired from service on 20th January 1991 and applied under the pension scheme by letter dated 8th August 1995. This proposal was rejected by LIC on 5th October 1995. The petitioner thereafter made certain representations in the year 2000 but took no further action until filing the present petition in 2012. Previous petitions by a co-employee were dismissed by this Court and its Division Bench on the ground that resignation could not be equated with retirement for pensionary benefits.

Legal Issues Presented

  1. Whether the petitioner’s resignation can be equated with retirement for the purpose of pensionary benefits under the applicable scheme.
  2. Whether the petition filed after a delay of approximately 17 years can be entertained under Article 226 of the Constitution.
  3. Whether the learned Single Judge erred in dismissing the petition solely on the ground of delay despite the Apex Court decision in Shreekumar Jain v. The New India Assurance Co. Ltd. & Ors.

Arguments of the Parties

Appellant's Arguments

  • The petitioner contended that after the rejection of the proposal in October 1995, several letters of representation were made in 2000, evidencing pursuit of remedy.
  • The petitioner relied on the Apex Court decision in Shreekumar Jain v. The New India Assurance Co. Ltd. & Ors., which held that resignation and retirement have the same connotation, entitling the petitioner to pensionary benefits.
  • It was argued that the learned Single Judge erred in dismissing the petition on the ground of delay without considering the merits based on the Apex Court ruling.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Shreekumar Jain v. The New India Assurance Co. Ltd. & Ors. AIR 2011 SC 2990 Resignation and retirement are of the same connotation for pensionary benefits. The appellant relied on this decision to argue entitlement to pension; however, the Court did not accept this reliance for reasons of delay and binding local precedent.
Kantilal R. Vora v. Union of India, Letters Patent Appeal No.490 of 2000 (decided 28.8.2000) Resignation cannot be equated with retirement for pensionary benefits under the General Insurance (Employees) Pension Scheme, 1995. The Court applied this binding decision of a co-ordinate Bench to hold that the petitioner, having resigned, was not entitled to pensionary benefits.
P.K. Masani v. United India Insurance Company Distinction between resignation (unilateral termination) and voluntary retirement for pension entitlement. The Court agreed with the ratio that resignation does not satisfy conditions for pensionary benefits and relied on this to support dismissal.

Court's Reasoning and Analysis

The Court examined the timeline and facts, noting the petitioner retired in 1991, applied under the scheme in 1995, and faced rejection then. Despite some representations in 2000, no petition or grievance was filed until 2012, resulting in a delay of approximately 17 years. The Court found that the delay was inordinate and not satisfactorily explained. The Court also relied on binding precedent from a co-ordinate Bench that resignation cannot be equated with retirement for pension purposes, rejecting the petitioner’s argument based on the Apex Court decision in Shreekumar Jain. The Court emphasized that jurisdiction under Article 226 is discretionary and equitable, and such long delay defeats equity. Therefore, the learned Single Judge’s dismissal on the ground of delay was not erroneous and did not warrant interference.

Holding and Implications

The appeal is dismissed.

The Court upheld the dismissal of the petition on the ground of long and unexplained delay, reinforcing that resignation is not equivalent to retirement for pensionary benefits under the applicable scheme. The decision confirms that delay in invoking constitutional jurisdiction under Article 226 can defeat equity and justify dismissal. No new precedent was set; rather, the Court adhered to binding co-ordinate Bench decisions and exercised discretion against entertaining the delayed petition.

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    Asger Ibrahim Amin (S) v. Life Insurance Corporation Of India (Lic) Thro Chairman (S)

    (PER : HONOURABLE MR.JUSTICE JAYANT PATEL) The present appeal is directed against the order dated 5.10.2012 passed by the learned Single Judge of this Court in Special Civil Application No.4477 of 2012; whereby, learned Single Judge for the reasons recorded in the order, has dismissed the petition on the ground of delay.

    We have heard Mr.Vadera, learned counsel appearing for the appellant.

    The contention raised on behalf of the petitioner is that the petitioner was pursuing the remedy inasmuch, after the proposal was rejected in October, 1995, the petitioner had addressed several letters by way of representation in the year 2000.

    However thereafter as in respect of one co-employee of the petitioner, the learned Single Judge of this Court in Special Civil Application No.9572 of 1999 as well as the Division Bench of this Court in Letters Patent Appeal No.490 of 2000 did not accept the prayer for availability of the pension on the premise that the resignation cannot be equated with the retirement, the petitioner did not take any action. It is submitted that since the Hon ble Apex Court in case of Shreekumar Jain V/s. The New India Assurance Co. Ltd. & Ors. reported in AIR 2011 SC 2990 has taken the view that the resignation and retirement are the same connotation, the benefit would be available to the petitioner for pensionary benefit. The petition was preferred before this Court which came to be dismissed by the learned Single Judge on the ground of delay. It was submitted that in view of the above referred decision of the Apex Court in case of Shreekumar Jain (supra) there is a good case on merits and the learned Single Judge has committed an error in dismissing the petition on the ground of delay and therefore, this Court may consider in the present appeal.

    It appears that it is an admitted position that the petitioner has retired from service as back as from 20th January, 1991. After the rules, in question, came into force, he applied under the scheme by letter dated 8th August, 1995. It is also admitted position that such proposal came to be not accepted and rejected by LIC vide decision dated 5.10.1995. The petitioner, thereafter, did nothing nor raise any grievance at any point of time. Correspondences, as stated by way of representation, are also of the year 2000. Even after year 2000, the petitioner has not preferred any petition nor raised the grievance until 2012 i.e. until the filing of the present petition. If the date of retirement is considered after 1995 for making of the representation, after the rules came into force, then it could be said that the petition was delayed by about 17 years since the proposal came to be dismissed as back as on October, 1995. The contention that some letters were addressed in 2000 even if considered for the sake of examination, no grievance is raised by the petitioner at the relevant point of time. Merely because, in respect of his co-employee, the petition was not entertained by this Court and the decision was further not interfered by the Division Bench of this Court, could not be termed as valid ground for ignoring the aspects of such a long delay. Even after 2000, no action whatsoever was taken by the petitioner till 2012 i.e. till the filing of the main special civil application.

    Under these circumstances, we find that the ground of delay considered by the learned Single Judge for declining the petitioner to invoke the jurisdiction under Article 226 of the Constitution, could not be said as erroneous.

    Apart from the above, we do find that there is binding decision of co-ordinate Bench of this Court in Letters Patent Appeal No.490 of 2000 decided on 28.8.2000 in case of Kantilal R.Vora V/s. Union of India;

    whereby, this Court observed, inter-alia, as under:

    In P.K. Masani Vs. United India Insurance Company (supra), the Court while considering the provisions of General Insurance (Employees) Pension Scheme, 1995, rejected a similar contention of the employee to treat his resignation as voluntary retirement. Examining the provisions of the Regulations of the Pension Scheme, the Court found that the elements present in cases of voluntary retirement were not there where an employee resigns from service. We are in respectful agreement with the ratio of the said decision. When a person puts his resignation from the employment, there is a unilateral termination of contract by him and when the terms and conditions of his employment entitled an employee to earn pensionary benefits only after putting requisite number of years of service, a person who puts an end to the contract unilaterally by resigning his service cannot be equated with a person who is entitled to pensionary benefits after putting in continued service of requisite number of years in accordance with the terms and conditions of the employment. Those who quit service unilaterally putting resignation cannot stand in the same class in which others who in compliance with the terms and conditions of the contract continue in service till the date of their retirement. There is therefore, absolutely no valid basis for making any comparison between these two classes of persons. In our opinion, the learned Single Judge was right in holding that because the petitioner had resigned from service he was not entitled to the pensionary benefits which were admissible to those who had voluntarily retired under the Scheme. The appeal is therefore, dismissed .

    The aforesaid shows that the view taken by this Court is that resignation cannot be equated with the retirement and therefore, the benefits could not be available. The said view is taken in case of co-employee of the petitioner who was, as stated by the petitioner, similarly situated.

    Therefore, it could be said that on merits also, it may not be possible for this Court to take a different view since there is a binding decision of co-ordinate bench of this Court.

    The attempt made by the learned counsel for the appellant to rely upon the decision in case of Shreekumar Jain (supra), in our view, cannot be countenanced for 2 reasons, one is that this Court has considered very scheme and thereafter, has taken the view in respect of other co-employee and the benefits were not extended. The second is that, such a long delay of about 17 years cannot be leniently viewed in a petition under Article 226 of the Constitution. The learned Single Judge has referred to the decision of the Apex Court for considering the aspects of delay. We find that the jurisdiction of this Court under Article 226 of the Constitution is a discretionary and equitable jurisdiction. When the equity has a role to play, the question of delay would always be required tobe considered in a case the delay may defeat the equity.

    If this Court in exercise of the power under Article 226 of the Constitution finds that on account of long and inordinate delay of 17 years, the petitioner should not be permitted to invoke the jurisdiction of this Court under Article 226 of the Constitution, such a view cannot be said to be erroneous, which may call for interference in exercise of power of intra-court appeal under Letters Patent.

    In view of the aforesaid, we find that ultimate decision taken by the learned Single Judge for dismissal of the petition does not call for interference. The present appeal is dismissed. Notice discharged.

    (JAYANT PATEL, J.) (MOHINDER PAL, J.) ashish Page of 6

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    Asger Ibrahim Amin (S) v. Life Insurance Corporation Of India (Lic) Thro Chairman (S)
    (Mar 1, 2013)