IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) TUESDAY, THE EIGHTH DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE DR JUSTICE VENKATA JYOTHIRMAI PRATAPA WRIT PETITION NO: 8144 OF 2019 Between: M Dharma Reddy, S/o Obul Reddy, Aged about 62 years, R/o H.No.44/35- 1-4, Prakrita Nagar, Kadapa, Y.S.R.District, Andhra Pradesh ...Petitioner AND 1. The State of Andhra Pradesh, Rep by its Principal Secretary Agriculture and Cooperation Department, Secretariat, Velagapudi Guntur District. 2. The State of Andhra Pradesh, Rep by its Principal Secretary, Labour, Employment and Training Department, Secretariat, Velagapudi, Guntur District. 3. The Director of Employment and Training Vijayawada, Krishna District, Andhra Pradesh. 4. A.P.State Cooperative Rural Irrigation Corporation Limited, Regn.No.TA 1037 10-2-3 AC Guards, Hyderabad, Represented by its Managing Director. 5. The District Employment Exchange Officer, New Collectorate Office, Kadapa, Y.S.R.District, Andhra Pradesh. Andhra Pradesh ...Respondents Petition under Article 226 of the Constitution of India is filed praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a writ order or direction especially one in the nature of Writ of mandamus A) Declaring that the Petitioner herein is the Government employee of the Respondent No.5 pursuant to the Proceedings vide Ref No. A2/1156/2014 dated 09.07.2015 and Proc.No. EE/RIC/KDP/Estt/2015-16/225 14.07.2015 and is entitled to the retirement benefits under various heads including Service Pension dated Retirement Gratuity, Family Pension, Commutation, Group Insurance Scheme (GIS) etc payable through Respondent No.5 in accordance with the AP Revised Pension Rules 1980. B) Declare the inaction of the Respondent No.5 herein in processing the claim of the Petitioner to the retirement benefits including Service Pension under various heads Retirement Gratuity, Family Pension, Commutation, Group Insurance Scheme (GIS) etc as sheer arbitrary, illegal, unjust and contrary to the AP Revised Pension rules, violative of Article 14. 16, 21 and 300A of the Constitution 1980 besides being of India and to process, arrears payable to consequently direct the Respondent No.2,3 and 5 herein sanction and release the retirement benefits including the the Petitioner herein under various heads including Service Pension, Retirement Gratuity, Family Pension, Scheme (GIS) etc from the date of his retirement pass other orders as this Honble Court circumstances of this case. Alternatively, if the Petitioner herein is declared to be an employee of the Respondent No.4 Commutation, Group Insurance i.e. 31.07.2017 And/or may deem fit and proper in the corporation, declare the inaction of the Respondent No.4,5 hereimin ndt processing, releasing and paying the retirement benefits including the provident fund. Gratuity etc payable to the Petitioner as sheer arbitrary, illegal unjust and contrary to the Special employees of APSCRIC Ltd 300A of the Constitution of Bylaws relating to the Service Conditions of the besides being violative of Article 14?, 16, 21 and India and consequently direct the Respondent same to the Petitioner forthwith along with arrears And/or pass other orders as this Hon'ble Court no.4,5 to release and pay the may deern fit and proper in the circumstances of this case. lA NO: 2 OF 2025 Petition under Section 151 CPC is filed praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to permit the Petitioner herein to amend the present prayer in the captioned Writ Petition viz., “a) declare that the Petitioner is entitled for payment of Gratuity in terms of the AP Revised Pension rules, 1980 in pursuance of the retirement dated 31.07.2017; b) declare the action of the respondents in not paying the gratuity and provident fund. Group Linked insurance scheme etc in pursuance of his absorption into Government service is illegal, arbitrary, violating Article 14, 16, 21 300A of the Constitution of India", by substituting it with “A) Declaring that the Petitioner herein is the Government employee of the Respondent No. 5 pursuant to the Proceedings vide Ref No. A2/1156/2014 dated EE/RIC/KDP/Estt/2015-16/225 14.07.2015 and is entitled to the retirement 09.07.2015 and Proc.No. dated benefits under various heads inciuding Service Pension, Retirement Gratuity, Famiiy Pension, Commutation, Group insurance Scheme (GiS) etc payable through Respondent No.5 in accordance with the AP Revised Pension Ruies, 1980. B) Deciare the inaction of the Respondent No. 5 herein in processing the ciaim of the Petitioner to the retirement benefits under various heads inciuding Service Pension, Retirement Gratuity, Family Pension, Commutation, Group insurance Scheme (GIS) etc as sheer arbitrary, iiiegai, unjust and contrary to the AP Revised Pension rules, 1980 besides being violative of Article 14, 16, 21 & 300A of the Constitution of India and consequently direct the Respondent No.2,3 & 5 herein to process, sanction and release the retirement benefits including the arrears payable to the Petitioner herein under various heads including Service Pension, Retirement Gratuity, Family Pension, Commutation, Group Insurance Scheme (GIS) etc from the date of his retirement i.e. 31.07.2017 And/or pass other orders as this Hon’ble Court may deem fit and proper in the circumstances of this case. Alternatively, if the Petitioner herein is declared to be an employee of the Respondent No.4 & corporation, declare the inaction of the Respondent No.4 herein in not processing, releasing and paying the retirement benefits including the provident fund. Gratuity etc payable to the Petitioner as sheer arbitrary, illegal, unjust and contrary to the Special Bylaws relating to the Service Conditions of the employees of APSCRIC Ltd besides being violative of Article 14, 16, 21 & 300A of the Constitution of india and consequentiy direct the Respondent no.4 to release and pay the same to the Petitioner forthwith along with arrears. lA NO: 1 OF 2019 Petition under Section 151 CPC is filed praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the respondents to pay and other benefits payable to the petitioner, forthwith pending disposal of the Writ Petition Counsel for the Petitioners: SRI SHAIK MD UMAR ABDULLAH Counsel for the Respondents No.1 to 4: GP FOR AGRICULTURE Counsel for the Respondent Nq.5: GP FOR LABOUR & EMPLOYMENT The Court made the following: 1 APHC010188892019 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3396] TUESDAY, THE EIGHTH DAY OF APRIL TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE DR JUSTICE VENKATA JYOTHIRMAI PRATAPA WRIT PETITION NO: 8144/2019 Between: ...PETITIONER M Dharma Reddy AND ...RESPONDENT(S) The State of AP and Others Counsel for the Petitioner: 1.SHAIK MD UMAR ABDULLAH Counsel for the Respondent(S): 1.GP FOR LABOUR (AP) 2.GP FOR SERVICES II The Court made the following: ORDER: This Writ Petition is filed under Article 226 of Constitution of India with the following prayer: " to issue a Writ, order or direction more particularly one in the nature of Writ of Mandamus. A) Declaring that the Petitioner herein is the Government employee of the Respondent No. 5 pursuant to the Proceedings vide Ref No. A2/1156/2014 dated 09.07.2015 and Proc.No. EE/RIC/KDP/Estt/2015- 16/225 dated 14 07.2015 and is entitled to the retirement benefits under various heads including Service Pension, Retirement Gratuity, Family Pension. Commutation, Group Insurance Scheme (GIS) etc. payable through Respondent No. 5 in accordance with the AP Revised Pension Rules, 1980. B) Declare the inaction 2 '•A of the Respondent No. 5 herein in processing the claim of the Petitioner to the retirement benefits under various heads including Service Pension, Retirement Gratuity, Family Pension, Commutation, Group Insurance Scheme (GIS) etc as sheer arbitrary, illegal, unjust and contrary to the AP Revised Pension rules, 1980 besides being violative of Article 14, 16, 21 and 300A of the Constitution of India and consequently direct the Respondent No. 2,3 and 5 herein to process, sanction and release the retirement benefits including the arrears payable to the Petitioner herein under various heads including Service Pension, Retirement Gratuity, Family Pension, Commutation, Group Insurance Scheme (GIS) etc. from the date of his retirement i.e. 31.07.2017 And/or pass other orders as this Hon’ble Court may deem fit and proper in the circumstances of this case. Alternatively, if the Petitioner herein is declared to be an employee of the Respondent No. 4 corporation, declare the inaction of the Respondent No. 4,5 herein in not processing, releasing and paying the retirement benefits including the provident fund, Gratuity etc. payable to the Petitioner as sheer arbitrary, illegal, unjust and contrary to the Special Bylaws relating to the Service Conditions of the employees of APSCRIC Ltd besides being violative of Article 14, 16, 21 and 300A of the Constitution of India and consequently direct the Respondent no. 4,5 to release and pay the same to the Petitioner forthwith along with arrears And/or pass other orders as this Flon'ble Court may deem fit and proper in the circumstances of this case, c) and pass such order or orders as this Flon’ble Court may deemed fit and proper in the circumstances the case. ” 2. Heard Sri Shaik Md. Umar Abdullah, learned counsel for the petitioner and learned Government Pleader for Services-ll appearing for the respondents 2 and 3. The present writ petition is filed seeking Writ of Mandamus to declare that the petitioner is the Government employee of respondent No.5 pursuant to the proceedings dated 09.07.2015 and the consequential proceedings dated 14.07.2015 and entitle him for all retirement benefits in accordance with A.P. Revised Pension Rules, 1980; further seeking declaration that the inaction of respondent No.5 in processing his claim for retiral benefits illegal, consequently seeking a direction to respondents 2, 3 and 5 to process his retiral benefits from the date of his retirement i.e. on 31.07.2017 Government employee. Alternatively, the petitioner seeks relief, in case if he is 3. as as a 3 considered to be an employee of respondent No.4, declare the inaction of in processing and paying his retiral benefits including contrary to the bye-laws relating to respondents 4 and 5 i Provident Fund, Gratuity payable to him the service conditions of release the same to the petitioner along with respondent No.4 and further seeking a direction to arrears. 4. Brief facts leading to filing of the present writ petition are as follows; The petitioner was initially appointed Corporation of respondent No.4 as a Junior Assistant in the on 02.02.1986. Thereafter, he as Senior Assistant in February, 1995 and worked i was promoted in the Corporation of the Corporation of respondent respondent No.4, till 14.07.2015. Thereafter. No.4 i.e. A.P. State Cooperative Rural Irrigation struggling financially and therefore. Corporation were deputed to other Departments per the orders of District Collector, the office of respondent No.5 vide orders petitioner was relieved from the office of Executive joined in the office of respondent No.5 Corporation (APSCRIC) was all the employees working in the as surplus. Accordingly, as petitioner was deputed to work in the dated 09.07.2015. Consequently, the Engineer of APSCRIC and on 15.07.2015. Later, he retired on attaining the age of superannuation in the office of respondent No,5 31.07.2015. The Respondent No.5 has i sanctioned encashment of leave to his on issued retirement proceedings and credit to the extent of 285 days. The amount from the office of respondent benefits like a government petitioner accordingly received the said No.5. The petitioner Claims retirement servant as an employee of respondent No.4 or respondent No.5 and also retirement benefits like Gratuity, but the petitioner could not get the retiral benefits either as an employee of respondent No.4 or as an employee of respondent No.5. Being aggrieved by the inaction of respondents 4 and 5 with regard to payment of his retiral benefits, the petitioner preferred the present writ petition. 5. The respondent No.5 filed counter to the effect that the Corporation of respondent No.4 does not come under the State Government. The services of the petitioner are utilized under surplus staff. But he has never been absorbed in the Government Department. As an employee of respondent No.4, the petitioner is not entitled for any pension, except for GPF and encashment of earned leave. Encashment of earned leave and Group Insurance Scheme were already paid to the petitioner. He is not entitled for pension, gratuity and commutation value of pension. The respondent No.5 has placed reliance G.O.Ms.No.24 Finance (SMPC) Department, dated 09.01.2002 at para 7 it is stated that when the surplus employee is not permanently or temporarily redeployed, he will draw his monthly emoluments from the District Employment Officer. It is further stated that the pay and allowances of the petitioner were drawn from the head of account 010 salaries-MH-2230-Labour and Employment Services-SH(05) District Surplus Manpower Cell, but not regular head of account of the Department. It is further stated that the petitioner is bound by the rules of Corporation, as such, the pension proposal of the petitioner cannot be processed. The Respondent No.5 placed a reliance on on 5 on the order passed in W.P.No.3021 of 2018, dated 24.03.2023 by the Division Bench of this Court, wherein liberty was given to the petitioner to submit a representation to the Managing Director of respondent No.4 and a direction was issued to the Managing Director, APSCRIC to consider and pass appropriate reasoned order as per law and communicate the same to the petitioner. The counter further states that the last pay certificate of the petitioner 6. would show that GPF and APGLI were not paid, since they were not subscribed by the petitioner. The petitioner filed reply to the counter affidavit stating that even if he is 7. considered as an employee of respondent No.4, he is entitled for Gratuity amount and Provident Fund after attaining the age of superannuation as per bye-law No.45 and 46 respectively, of Special Bye-laws to the Service Conditions of Employees of APSCRIC Limited. It is further stated that the petitioner was not even informed as to rejection of his claim of pension and other retiral benefits by the office of respondent No.5. It is further stated that the petitioner herein is absorbed as an employee of respondent No.5. The petitioner has discharged his duties in the office of respondent No.5. The G.O.No.24, para 7 relied by the respondents has no application to the case of the petitioner. 8. The petitioner was initially appointed in APSCRIC, that was established under the provisions of A.P. Cooperative Societies Act, 1964. The APSCRIC 6 has to earn its income by drilling / revitalization of bore wells to meet the salaries of the staff and other administrative expenditure and there are no specific budgetary provisions from the Government to meet the salaries of employees or any other administrative expenditure. As all the rig units were condemned, the payment of salaries to the employees has become difficult. As such, in pursuance of resolution of the Board, the Managing Director requested the Government to give priority to their staff for deputations/absorptions in existing vacancies. In response, the Government has permitted the APSCRIC to send the names of their surplus staff working in the Corporation to various Surplus Manpower Cells (for short “SMPC”) in the districts as per G.O.Ms.No.24 (Finance) (SMPC) Department, dated 09.01.2002. Accordingly, the Managing Director, APSCRIC has surrendered the services of the petitioner to SMPC of District Collector, Y.S.R. Kadapa District. The District Collector, in turn put him under the control of District 9. Employment Officer (R5). 10. The petitioner was relieved from the office of R4 vide proceedings No.EEE/RIC/KDP/Estt/2015-16/225, dated 14.07.2015. Accordingly, he has reported before R5 on 15.07.2015. The petitioner retired on superannuation after attaining 60 years, on 31.07.2017, as per the proceedings of R5. There is no doubt that the petitioner was treated as surplus employee in the office of R5. The fact remains that the entry of the petitioner to the office of 11. R5 is in pursuance of G.O.Ms.No.24, dated 09.01.2002. 7 For ready reference, the relevant portion of the G.O.Ms.No.24 is extracted infra: In the G.O. third read above a Surplus Man power Cell has been set up in Finance Department for re-development of Surplus man power in the direct recruitment vacancy posts in Government departments and for giving concurrence to fill up the vacant posts in the Government Departments / Undertakings /Institutions whenever required through Andhra Pradesh Public Service Commission and relevant recruitment agencies/special selection boards or through District Employment Exchanges. In reference 2"^ 4'^ and 5"^ read above certain guidelines/instructions were issued on absorption of Surplus Staff in Government Departments. 2. 3 ii. The District Collectors will be assisted by the District Employment Officer to whom the list of the surplus manpower/workcharged employees in the local cadre will be handed over. He, in turn, will maintain the service particulars and statutory register of the identified surplus individuals. He will be the Drawing and Disbursing Officer for the above staff. He will work under the direction of the Collector for redeploying of surplus staff, iii. The salaries to the above categories of surplus staff shall be debited to "M.H. 2230-Labour and Employment-02-Employment-Employment Services-SH (05) District Surplus Man Power Cell-010 Salaries”, iv. Till surplus employees/workcharged employees absorbed in needy with the temporary redeployment as and when are permanently necessary. The temporary redeployment could arse from a requisition from a needy department for a leave vacancy, for a special drive like Census, Elections, Janmabhoomi etc., or any workload identified by the District Collector. V. On receipt of requisition for temporary redeployment by the Department /Government Institution directly by the District Employment Officer or forwarded by the District Collector, the District Employment Officer will put up a list of suitable names for orders of Collector for temporary redeployment. The order of redeployment will clearly state the duration and purpose of redeployment, vi. During the period of redeployment, the District Employment Officer will continue to draw the salaries of the individuals and make entry of the temporary redeployment in the service Register. In order to ensure that the temporarily redeployed employee is not put to hardship, the District Employment Officer will maintain liaison with the Drawing and Disbursing Officer of the Organisation from where the employee has been redeployed to facilitate timely and accurate payment of emoluments. 8 vii. During the period when the surplus employee/work charged employee is not permanently or temporarily redeployed he will continue to work in his parent department but will draw his monthly emoluments from the District Employment Officer. In this case also the Drawing and Disbursing Officer of the parent department will maintain liaison with the District Employment Officer to ensure timely and accurate payment of emoluments to the surplus employee." Coming to the facts of the present case, as directed by the District Collector, the petitioner, being surplus staff, was put in the office of respondent No.5. In turn respondent No.5 has not redeployed the services of the petitioner either by temporarily or permanently. Admittedly, the respondent No.5 issued proceedings for encashment of Earned Leave on superannuation. 13. 14. Learned counsel for the petitioner placed reliance on the order in Writ Petition No.27719 of 2021 dated 14.06.2024, wherein a Coordinate Bench of High Court of Telangana considered the case of driver treating him as a government servant. A fair look at the order passed in Writ Petition No. 27719 of 2021, it is the case of driver whose services were surrendered to District Collector and in turn the Collector placed him before the District Employment Officer in District surplus manpower. He worked there for five years after such conversion. He has referred the names of his colleagues, whose claims were answered by the Government of Telangana treating them as Government servants. On that premise, the learned Single Judge allowed the petition directing the Government to release the retiral benefits treating him as a government servant. The reason being the respondents therein failed to distinguish the case of the petitioner therein with his colleagues. 9 Coming to the present case, the petitioner could not place on record any such instance where the employee of APSCRIC who was put in surplus man 15. power, same as the petitioner and they were treated as a government servant. In the light of the G.O.No.24, there is some force in the contention of respondent No.5. During the course of arguments, learned counsel for the petitioner would 16. submit that, even if Court comes to the conclusion that petitioner is still the employee of respondent No.4, he is entitled for Gratuity and Provident Funds as per Bye law Nos.45 and 46. Learned counsel placed on record the proceedings issued by respondent 17. No.4 in Rc.No.20/MD/APSCRIC/20, dated 05.10.2021 wherein the amount of Gratuity is sanctioned to the employees who retired or died before 01.06.2014 and after 02.06.2014 to the extent of share of State of Andhra Pradesh. In that view, the petitioner received encashment of earned leave and Group Insurance Scheme amount from respondent No.5. 18. On consideration of the facts of the case and discussions referred supra. this Court is of the clear view that petitioner is the employee of respondent No.4 and entitled to receive the retiral benefits being employee of respondent No.4 though he retired in the office of respondent No.5. N 19. The learned counsel for petitioner would submit that since respondent No.4 after bifurcation has not shown the name of the petitioner as employee, a direction may be given to respondent No.5 to take necessary steps to settle the 10 retiral benefits of the petitioner as per his entitlement as an employee of Respondent No.4. 20. Admittedly respondent No.5 only issued encashment of Earned Leave and Group Insurance Scheme amount to the petitioner. As such, it is appropriate to issue direction to respondent No.5 to settle all retiral benefits to the petitioner as employee of respondent No.4. Needless to say that petitioner is entitled for gratuity. 21. In the light of the discussion and finding referred supra, this Court is of the considered view that the petitioner is entitled for the retiral and attendant benefits being an employee of R4, but not as a government servant. In the circumstances of the present case, since the petitioner is not present on the rolls of R4 and retired from office of R5, the R5 is directed to take all necessary steps and see that the petitioner shall receive his retiral and attendant benefits from the Government, as expeditiously as possible, but not later than three (03) months from the date of receipt of a copy of this order. 22. Accordingly, the Writ Petition is disposed of. There shall be no order as to costs. As a sequel thereto, miscellaneous petitions pending, if any, shall stand closed. Sd/- G HELA NAIDU ASSISTANT REGISTRAR SECTION OFFICER //TRUE COPY// To, 1. The Principal Secretary, Agriculture and Cooperation Department, State of Andhra Pradesh, Secretariat, Velagapudi, Guntur District. 2. The Principal Secretary, Labour, Employment and Training Department, State of Andhra Pradesh, Secretariat, Velagapudi, Guntur District. 3. The Director of Employment and Training Vijayawada, Krishna District, Andhra Pradesh. 4. The Managing Director, A.P.State Cooperative Rural Irrigation Corporation Limited, Regn.No.TA 1037 10-2-3 AC Guards, Hyderabad. 5. The District Employment Exchange Officer, New Collectorate Office, Kadapa, Y.S.R.District, Andhra Pradesh.(1 to 5 RPAD) 6. One CC to SRI SHAIK MD UMAR ABDULLAH Advocate [OPUC] 7. Two CCs to GP FOR AGRICULTURE, High Court of Andhra Pradesh [OUT] 8. Two CCs to GP FOR LABOUR-& EMPLOYEMENT, High Court of Andhra Pradesh [OUT] - ^ 9. Two CCs to GP FOR SERVICES II, High Court of Andhra Pradesh [OUT] 10. Three CD Copies Ksr(gsg) Andhra Pradesh, HIGH COURT DATED:08/04/2025 ORDER ? 18 JUL 2025 rrentSectjonxC 09 WP.No.8144 Of 2019 DISPOSING THE WRIT PETITION WITHOUT COSTS