1 2025:CGHC:56292 NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPS No. 2766 of 2015 1 - P. V. Rao (died) through LRs 1 (A) Smt. P Asha Rao W/o Late Shri P. Venkateshwar Rao, R/o A-1/102, Shriram Lotus Vally Beside Aiims Gali No.03, Tatibandh, Raipur, District- Raipur (C.G.) 1 (B) Smt. Shailja Ghodki, W/o Prashant Ghodki, D/o late Shri P.V. Rao, aged about 45 years, R/o Flat No.402, 4th Floor, Sai Rukmini Enclave, Jayara Nagar, Qutubullapur, Telangana, 500055. 1 (C) Smt. Nisha Purankar, W/o Abhijeet Purankar D/o late Shri P.V. Rao, aged about 43 years, R/o. H. No.9, Pallavi Vihar, Robinipuram, near Gole Chowk, Raipur, Chhattisgah. 1 (D) P. Anand Kumar S/o Late Shri P. Ventateshwar Rao, aged about 41 years, R/o H. No.10, Royal Residency, Borsi, District Durg, Chhattisgarh. 1 (E) P. Surya Prakash S/o Late Shri P. Venkateshwar Rao, aged about 39 years, R/o ward No.19, Indrapuri, Rajnandgaon, Chhattisgarh. --- Petitioner(s) versus 1 - State Of Chhattisgarh Through Secretary Forest Department, Raipur Chhattisgarh , Chhattisgarh 2 - Chhattisgarh State Van Vikas Nigam Limited, B -7, Sector -2, Devendra Ngar Raipur Chhattisgarh, District : Raipur, Chhattisgarh 3 - Managing Director Chhattisgarh State Van Vikas Nigam Limited B -7, Sector -2, NIRMALA RAO 2 Devendra Nagar Raipur Chhattisgarh , District : Raipur, Chhattisgarh 4 - Regional General Manager Chhattisgarh State Van Vikas Nigam Limited B -7, Sector -2, Devendra Nagar Raipur Chhattisgarh, District : Raipur, Chhattisgarh 5 - Zonal Manager, Panabaras Project Zone, Rajnandgaon Chhattisgarh , District : Rajnandgaon, Chhattisgarh --- Respondent(s) WPS No. 1111 of 2024 1 - Smt. P. Asha Rao W/o Lt. Shri P.V. Rao, Aged About 70 Years R/o A1/102, Shri Ram Lotus Vally, Aiims, Tatibandh, District Raipur (Cg) ---Petitioner(s) Versus 1 - State Of Chhattisgarh Through- The Secretary-Forest Department , Mantralaya, Mahanadi Bhawan, Atal Nagar, Nawa Rairpur, Distirct Raipur (C.G.) 2 - Chhattisgarh State Van Vikas Nigam Limited B-7, Sector-2, Devendra Nagar, District-Raipur (C.G.) 3 - Managing Director, Chhattisgarh State Van Vikas Nigam Limited, B-7, Sector-2, Devendra Nagar, District Raipur (Cg) 4 - Regional General Managar, Chhattisgarh State Van Vikas Nigam Limited, B-7, Sector-2, Devendra Nagar, District Raipur (C.G.) --- Respondent(s) WPL No. 168 of 2019 1 - Managing Director Chhattisgarh Van Vikas Nigam Limited, Office Compound, Block - 7 (A), Sector-24, Atal Nagar, (Now Known As Nawa Raipur Atal Nagar), District Raipur Chhattisgarh, District : Raipur, Chhattisgarh 2 - Regional General Manager Chhattisgarh Van Vikas Nigam Limited, Office Compound, Block - 7(A), Sector-24, Atal Nagar (Now Known As Nawa Raipur Atal Nagar), District Raipur Chhattisgarh 3 - Divisional Manager Panabaras Project, District Rajnandgaon Chhattisgarh ---Petitioner(s) Versus 3 1 - Appellate Authority And Deputy Labour Commissioner ( Under Payment Of Gratuity Act, 1972) Indrawati Bhavan, Atal Nagar, (Now Known As Nawa Raipur Atal Nagar) District Raipur Chhattisgarh, District : Raipur, Chhattisgarh 2 - Controlling Authority And Assistant Labour Commissioner ( Under Payment Of Gratuity Act, 1972 ) Indrawati Bhavan, Atal Nagar ( Now Known As Nawa Raipur Atal Nagar ) District Raipur Chhattisgarh, District : Raipur, Chhattisgarh 3 - Shri P. Venkateshwar Rao (Died And Deleted) Through Lrs. As Per Honble Court Order Dated-29-08-2024. 3.1 - (A) Smt. P Asha Rao W/o Late Shri P. Venkateshwar Rao, R/o A-1/102, Shriram Lotus Vally Beside Aiims Gali No.03, Tatibandh, Raipur, District- Raipur (C.G.) 3.2 - (B) P. Shailja, D/o Late Shri P. Venkateshwar Rao, R/o A-1/102, Shriram Lotus Vally, Beside Aiims, Gali No.03, Tatibandh, Raipur, District-Raipur (C.G.) 3.3 - (C) P. Laxmi Kanwari (Nisha) D/o Late Shri P. Ventateshwar Rao, R/o A-1/102, Shriram Lotus Vally, Beside Aiims, Gali No.03, Tatibandh, Raipur, District-Raipur (C.G.) 3.4 - (D) P. Anand S/o Late Shri P. Ventateshwar Rao, R/o A-1/102, Shriram Lotus Vally, Beside Aiims, Gali No.03, Tatibandh, Raipur, District-Raipur (C.G.) 3.5 - (E) P. Surya Prakash S/o Late Shri P. Venkateshwar Rao, R/o A-1/102, Shriram Lotus Vally, Beside Aiims, Gali No.03, Tatibandh, Raipur, District-Raipur (C.G.) --- Respondent(s) ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ In WPS Nos. 2766 of 2015 & 1111 of 2024: For Petitioners : Shri Tapan Kumar Chandra, Advocate. For Respondent/ Chhattisgarh State Van Vikas Nigam Limited : Shri Harshmander Rastogi, Advocate. For Respondent/ State : Shri T.S. Sahu, P.L. In WPL No. 168 of 2019: For Petitioners : Shri Harshmander Rastogi, Advocate. For Respondent/ State : Shri T.S. Sahu, P.L. 4 For Legal representatives of Respondent No.3 : Shri Tapan Kumar Chandra, Advocate. Hon'ble Shri Justice Rakesh Mohan Pandey Order on Board 19.11.2025 1. A common question of facts are involved in the present batch of cases, therefore, these petitions are heard together and are being disposed of by this common order. 2. The facts of WPS Nos. 2766 of 2015 & 1111 of 2024, in brief, are that late P.V. Rao was posted as Accountant at Sleeper Praday Mandal, Raipur under the Chhattisgarh State Van Vikas Mandal for the period from 1.8.1984 to 30.8.1988. A complaint was made to the police on 23.7.1990 by the Van Vikas Nigam against the petitioner and two other employees to the effect that they misappropriated the government fund to the tune of Rs.72,649/-. A disciplinary proceeding was also initiated against the petitioner by the department on 7.12.1995. The disciplinary authority appointed an enquiry officer and a presenting officer. On 5.7.1997, the enquiry officer submitted an ex parte enquiry report before the disciplinary authority. The disciplinary authority vide order dated 26.10.1997 inflicted the penalty of stoppage of two increments with cumulative effect. The police investigated the matter on the complaint made by the Van Vikas Nigam and registered an FIR sometime in the year 1998 and thereafter, a charge-sheet was filed for the commission of offences punishable under Sections 409, 467 and 471 of Indian Penal Code against Mr. P.V. Rao. Mr. P.V. Rao was convicted by the learned Judicial Magistrate First Class, Raipur in 5 Criminal Case No.1824 of 2006 vide judgment dated 9.11.2011, under Sections 409 & 467 of IPC, and sentenced to RI for 3-3 years and a fine of Rs.5,000–5,000/-, in default of payment of fine further imprisonment for a period of three months. 3. An appeal was preferred by Mr. P.V. Rao before the learned Third Additional Sessions Judge, Raipur against the judgment passed by the learned trial Court. Learned Sessions Court vide judgment dated 9.1.2014 set aside the order of conviction and sentence recorded by the learned trial Court. 4. The State preferred an acquittal appeal before the High Court. During pendency of the acquittal appeal, Mr. P.V. Rao died on 21.11.2021 and consequently, the acquittal appeal stood abated. 5. After the death of Mr. P.V. Rao, his legal representatives moved an application before the respondent authorities for grant of pensionary benefits, back-wages and all consequential benefits. 6. The representation made by the petitioners was allowed in part. On 10.1.2024, the authority concerned considered the period of suspension as service period but refused to make payment of arrears of salary for a period when Mr. P.V. Rao was out of service and also refused to extend the benefit of increments and promotion. 7. Annexure- R2-4/1 dated 19.7.2024 would show that an amount of Rs.13,75,946/- was paid against the gratuity to the petitioners. Leave encashment was declined and the pension is being paid to the petitioners. 8. The facts of WPL No. 168 of 2019 in brief are that an application was moved by late P.V. Rao according to the provisions of the Payment of Gratuity Act, 1972 before the Controlling Authority. The said authority 6 vide order 12.6.2018 directed the respondent – Van Vikas Nigam to make payment of Rs.8,96,547/-. Against the said order, an appeal was preferred by the Managing Director, Chhattisgarh Van Vikas Nigam, which was dismissed vide order dated 8.1.12019. In the appeal, grounds were taken that no issue was framed by the Controlling Authority, while deciding application, the last salary was drawn by late P.V. Rao was Rs.42,000/- and that his years of service were 36 years. 9. Initially, a departmental enquiry was initiated against late P.V. Rao by the department. After a full-fledged enquiry, the disciplinary authority imposed a penalty of stoppage of two increments with cumulative effect on 26.10.2010. The said order attained finality as no appeal was preferred by late P.V. Rao. A compliant was also made by the department against late P.V. Rao before the police station and a criminal case was launched for commission of offence punishable under Sections 409, 467 & 471 of IPC. Learned trial Court convicted late P.V. Rao. An appeal was preferred before the learned Sessions Court and the said appeal was allowed. Learned Appellate Court acquitted late P.V. Rao as the prosecution failed to lead clinching evidence to prove his guilt. 10. Chhattisgarh Rajya Van Vikas Nigam preferred an acquittal appeal against the said order and during its pendency, P.V. Rao died, and the said appeal stood abated. The disciplinary authority terminated the services of the petitioner vide order dated 7.1.2013 only on the ground that late P.V. Rao was convicted by the learned Judicial Magistrate First Class in Criminal Case No. 1824 of 2006 . The order would make it clear that no opportunity of hearing was afforded, no show cause 7 notice was issued and no departmental enquiry was conducted. The foundation of the said order was conviction of late P.V. Rao. After getting an order of acquittal, late P.V. Rao approached the department seeking reinstatement and other consequential benefits but his claim was not considered on the ground that an acquittal appeal was pending before the High Court. P.V. Rao died on 21.11.2021 and thereafter, his legal representatives approached the department. The documents annexed alongwith the writ petition and return would make it clear that the amount of gratuity has been paid in part to the legal representatives of late P.V. Rao. The benefit of leave encashment has been declined. It is also stated in the documents that the legal representatives are getting pension. With regard to back-wages and other consequential benefits, it is stated that as the services of late P.V. Rao were terminated vide order dated 7.1.2013 and said order is still in existence, therefore, his legal representatives would not be entitled to get benefits attached to the post. 11. Annexure-P/1 annexed in WP(S) No.2766 of 2015 dated 7.1.2013 would reveal that services of late P.V. Rao were terminated on account of his conviction in Criminal Case No.1824 of 2006 dated 9.11.2011. The decision was taken by the authority concerned according to Rules 125 & 134 of Chhattisgarh State Van Vikas Nigam Limited, Seva Niyamavali, 1984. As no opportunity of hearing was afforded to late P.V. Rao and no departmental enquiry was conducted, the order Annexure P/1 dated 7.1.2013 is not sustainable in the eyes of law and hereby quashed. Further, late P.V. Rao was acquitted by the learned Sessions Court and that order attained finality as the acquittal appeal preferred by the Van Vikas Nigam stood abated. As the order 8 Annexure-P/1 dated 7.1.2013 has been quashed, the respondent authorities are directed to consider the claim of the legal representatives of late P.V. Rao afresh strictly in accordance with law. The petitioners would be at liberty to make a representation before the Managing Director, Chhattisgarh Rajya Van Vikas Nigam Limited within a period of 30 days and the said authority is directed to decide all admissible and legal claims of the petitioners preferably within a period of 60 days. 12. Accordingly, all the petitions are disposed of. Earlier orders passed by the respondent authorities against the interest of the petitioners are hereby quashed. The Managing Director, Chhattisgarh Rajya Van Vikas Nigam shall consider the claim of the petitioners afresh. Sd/- (Rakesh Mohan Pandey) Judge Nimmi