M/S P.E.C.Ltd v. Jai Bhagwan

V.B.GUPTA, J. Bisht

* HIGH COURT OF DELHI : NEW DELHI RFA No. 553 of 2004 % Judgment reserved on:18th May, 2009 Judgment delivered on:27th May, 2009 M/s P.E.C. Ltd. (A Govt. of India Enterprises) As a Company under the provisions of the Companies Act, 1956, having its registered office At Hansalaya, 15, Barakhamba Raod, New Delhi-110001, Through Sh.R.K.Arora, Marketing Manager Principal Officer and its Constituted attorney. ….Appellant Through: Mr.Sanjeev Narula, Adv. Versus Mr.Jai Bhagwan, S/o Sh.Dharam Singh Sharma, R/o B-104, Vijay Nagar, Bawana, Delhi-110039. Also available at: Village & Post Office Nahra, Sonepat, Haryana. …Respondent Through: Mr.D.C.Sharma, Adv. Coram: HON'BLE MR. JUSTICE V.B. GUPTA 1. Whether the Reporters of local papers may be allowed to see the judgment? Yes 2. To be referred to Reporter or not? Yes 3. Whether the judgment should be reported in the Digest? Yes V.B.Gupta, J. Appellant has filed the present appeal against the judgment dated 6th September, 2004 passed by Addl.District Judge, vide which the suit of the appellant was dismissed. 2. Brief facts of this case are that appellant is a Govt. of India enterprises; that it is incorporated and registered as a Company under the provisions of the Companies Act, 1956; that Sh.R.K.Arora Dy.Marketing Manager, is the Principal Officer and the Constituted Attorney of the appellant-company; that he is well conversant with the facts of the present case; that he is duly authorized to sign, verify, file and institute the present suit by virtue of the power of attorney dated 24.4.2002. Respondent is the former employee of the appellant company, who illegally, falsely and fraudulently received money from the appellant- company on the basis of false documents and statements. He joined the services of the appellant as junior assistant on 9.1.1981. On 4.10.2000 respondent, while in service of appellant company, committed breach of rules as he joined another Government Office under the name of J.B.Parashar. The Government office joined by respondent was Excise and Taxation Department in Government of Haryana; where he joined as Taxation Inspector. Respondent is widely known as Jai Bhagwan in appellant-company. He (respondent) started claiming the benefits available on the post of Taxation Inspector w.e.f. 4.10.2000 and concealed and withheld this vital information from appellant-company. Even after 4.10.2000, on 11.1.2001 respondent was promoted as Dy.Manager-II and he joined the said post on 11.1.2001. Appellant company announced voluntary retirement scheme 1989/2001. On 15.1.2001, respondent applied under the said scheme for voluntary retirement. At the time of submitting his application, respondent failed to disclose and concealed the facts of his second employment with government of Haryana. Appellant- company relieved him from the services vide office order No.47A/2001 dated 17.1.2001. During the period from 4.10.2000 to 17.1.2001, respondent continued to attend the office of appellant company, except only on three days, i.e. 30.10.2000, 01.11.2000 & 12.1.2001. Respondent received ex-gratia amount on account of VRS, three months notice period pay, Leave Encashment, Provident Fund, Gratuity, Service award, Leave Travel Assignment and also medical benefits under PEC Retired Employees-Medical Benefit scheme for his treatment and also for treatment of his wife. 3. Appellant-company claimed recovery of Rs.8,08,347/- from respondent. This amount includes Rs.6,51,211/- as the amount alleged to have been illegally and fraudulently received by respondent and the balance as interest @ 17% per annum on the said amount w.e.f. 17.1.2001 till the filing of the suit. Pendentalite interest at 17% per annum w.e.f. 19.6.2002 till the realization of amount has also been claimed. 4. Appellant-company also prayed for a decree of perpetual injunction restraining respondent from selling his property bearing No.B-104, Vijay Nagar, Bawana, Delhi, and for a decree of perpetual injunction restraining the r