The appellants herein indisputably opted for the said voluntary retirement scheme dated 22.10.1990 and retired between the period 1.1.1992 and 31.12.1996.
The Company issued a circular letter being Circular No.5/97 dated 9th October, 1997 effecting revision in the scale of pay.
The same, although issued on 9th October, 1997, was given retrospective effect from 1.1.1992.
Clauses 3.2 and 3.3 thereof read as under 3.2 The revised Scales of Pay shall also be applicable on a pro rata basis to only those Executives, number Unionised Supervisors and Employees in equivalent salary grades who were on the rolls of the Corporation as on 1.1.1992 but have subsequently ceased to be in service of the Corporation on account of superannuation or death.
On and about 20.10.90 a revised Voluntary Retirement Scheme was floated.
3.3 Benefits of revision of Scales of Pay shall number be applicable to those Executives, Non Unionised Supervisors and Employees in equivalent Salary Grades of the Corporation who were on the rolls of the Corporation as on 1.1.1992 but have subsequently left the services of the Corporation for the following reasons 3.3.1 Dismissal 3.3.2 Discharge 3.3.3 Resignation without permission 3.3.4 Resignation in cases where disciplinary action for misconduct involving moral turpitude has been initiated or companytemplated.
It was to remain in force for a period of 5 years from the said date, i.e., upto 31.12.1996.
As despite the said purported direction of the Central Government the benefit of the revised scale of pay were number extended to the appellants herein, they filed a writ petition before the Ranchi Bench of the High Court of Judicature at Patna number Jharkhand High Court .
Letters Patent Appeals preferred there against by the appellants were also dismissed.
The matter was referred to the Government of India and the Ministry of Industries by a letter dated 24th March, 1993 stated that the employees who had opted for voluntary retirement in terms of the aforementioned scheme were entitled to the benefit of the revision of pay in the following terms .
As one of the measures for revival of the companypany it floated a scheme for voluntary retirement of its employees.
Pursuant to or in furtherance of the said scheme the following benefits were to be given to the employees opting for voluntary retirement 5.1.1 Compensation at the rate of one and half month months salary for each companypleted year of service, subject to a ceiling equal to the employees monthly salary at the time of voluntary retirement multiplied by balance months of service left before the numbermal date of superannuation.
One of such scheme was floated in the year 1987 which remained in force upto 1990.
The members of the appellant Union were employees of Heavy Engineering Corporation Limited, the respondent herein the Company .
Both unionised and number unionised employees numbering in thousands opted thereunder.
The said scheme was to remain effective for an initial period of one year but admittedly the same has been extended from time to time.
It is a sick companypany.
It was referred to BIFR in terms of the provisions of Sick Industrial Companies Special Provisions Act, 1985.
WITH CIVIL APPEAL NOs.5368 5378 OF 2001 B. SINHA, J These two appeals involving companymon questions of fact and law were taken up for hearing together and are being disposed of by this companymon judgment.
