- 1 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 4TH DAY OF FEBRUARY, 2026 PRESENT THE HON'BLE MR. JUSTICE S.G.PANDIT AND THE HON'BLE MR. JUSTICE K. V. ARAVIND WRIT PETITION NO. 18876 OF 2025 (S-CAT) BETWEEN: 1. UNION OF INDIA REP. BY GENERAL MANAGER, SOUTH WESTERN RAILWAY, RAIL SOUDHA, GADAG ROAD HUBBALLI-580020. 2. DEPUTY CHIEF PERSONNEL OFFICER SOUTH WESTERN RAILWAY CONSTRUCTION UNIT, MILLERS ROAD, BENGALURU-560046. 3. WORKSHOP PERSONNEL OFFICER SOUTH WESTERN RAILWAY CARRIAGE REPAIR WORKSHOP GADAG ROAD HUBBALLI-5800 20. …PETITIONERS (BY SRI. JAYAKARA SHETTY H., CGC) AND: MOHAMMED NASIR PASHA S/O C.DADA MIYAN AGED 61 YEARS RETIRED CHIEF OFFICE SUPERINTENDENT O/O DEPUTY CHIEF ENGINEER/STORES S. W.RAILWAY, CONSTRUCTION UNIT Digitally signed by NANJUNDACHARI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 BENGALURU-560046 R/O HOUSE NO.2, NEAR WATER TANK UPPALI, CHIKKAMAGALUR-577101. …RESPONDENT THIS PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO A). CALL FOR RECORDS FROM THE CAT, BANGALORE, WHICH ULTIMATELY RESULTED IN PASSING THE IMPUGNED ORDER ANNEXURE-A DATED 30.08.2024 MADE IN O.A NO. 170/00618/2023 BY THE CENTRAL ADMINISTRATIVE TRIBUNAL, BANGALORE; (B) ISSUE AN ORDER, DIRECTION, WRIT IN THE NATURE OF WRIT OF CERTIORARI OR ANY OTHER APPROPRIATE ORDER, DIRECTION, WRIT QUASHING THE ORDER DATED 30.08.2024 ANNEXURE-A MADE IN OA NO. 170/00618/2023 BY THE CENTRAL ADMINISTRATIVE TRIBUNAL, BANGALORE AND DISMISS THE OA NO. 170/00618/2023 FILED BY THE RESPONDENT AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE S.G.PANDIT AND HON'BLE MR. JUSTICE K. V. ARAVIND ORAL ORDER (PER: HON'BLE MR. JUSTICE K.V. ARAVIND) South Western Railway has preferred the present writ petition challenging the order dated 30.08.2024 passed by the Central Administrative Tribunal, Bengaluru, (hereinafter referred to as “the Tribunal”) in O.A. No.170/00618/2023. 2. The facts in brief are that the respondent was appointed as a Senior Clerk on 11.11.1989. He was transferred to the Construction Organisation on deputation in the year - 3 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 2018 and was deputed to work in the office of the Deputy Chief Engineer (Stores). The respondent was due to attain the age of superannuation on 30.06.2023 and, accordingly, submitted his pension settlement papers to the office of the second petitioner. He was relieved to his parent unit on 28.06.2023 and retired from service on 30.06.2023 at the Hubballi Workshop. The petitioners, however, withheld the grant of pension and other retiral benefits even after five months from the date of retirement. Aggrieved by the said action, the respondent preferred an application before the Tribunal. During the pendency of the said application, the petitioners released the pensionary benefits. 2.1 The Tribunal, upon considering the fact that the petitioners had withheld gratuity and encashment of leave salary without there being any pending disciplinary proceedings or issuance of any show-cause notice for recovery of the alleged shortfall in the stock sheet, directed the petitioners to release the amounts withheld towards gratuity and encashment of leave salary. The said direction was made subject to liberty being reserved to the petitioners to initiate appropriate - 4 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 proceedings against the respondent, if so advised, by the order impugned. Aggrieved by the said order, the present writ petition has been filed. 3. Sri. Jayakar Shetty, learned counsel appearing for the petitioners, submits that the respondent, before handing over charge and being relieved from the post of Stores In- charge in the office of the Deputy Chief Engineer, failed to submit the stock reconciliation and that the stock sheet was not duly signed. It is further submitted that, upon verification of the stock, a shortage was detected. 3.1 Learned counsel submits that multiple notices were issued to the respondent calling upon him to explain the said shortage; however, the respondent did not submit any response. In view of the absence of any other immediate mode of recovery and pending adjudication and quantification of the alleged loss, the petitioners withheld the amounts payable towards gratuity and encashment of leave salary. It is further submitted that all other retiral benefits have already been released in favour of the respondent. - 5 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 4. Having considered the submissions of learned counsel for the petitioners and upon perusal of the material placed on record, we notice that the respondent retired from service on attaining the age of superannuation on 30.06.2023. The respondent was In-charge of the Stores in the office of the Deputy Chief Engineer from the year 2018 until he was relieved to his parent unit on 28.06.2023. 5. It is the case of the petitioners that there was variation in the stock and that the stock reconciliation statement was not signed at the time of handing over charge by the respondent. It is further contended that a shortage in stock was detected, which, according to the petitioners, required reconciliation by the respondent. It is asserted that, despite issuance of multiple notices, the respondent did not come forward to cooperate in reconciling the stock and, on that premise, the amounts payable towards gratuity and encashment of leave salary were withheld. 6. The alleged shortage is stated to pertain to a period prior to the date of retirement, namely 30.06.2023. Admittedly, the petitioners have not initiated any disciplinary or recovery - 6 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 proceedings against the respondent. It is also not the case of the petitioners that any show-cause notice was issued calling upon the respondent to submit his explanation with respect to the alleged stock shortage. 7. In the absence of any proceedings having been initiated or any notice having been issued, the Tribunal held that the withholding of gratuity and encashment of leave salary was not justified. However, having regard to the involvement of public money, the Tribunal made the following observations in the impugned order: “6. ……… the respondents are directed to release the withheld amount of gratuity and encashment of leave salary to the applicant subject to initiation of any appropriate proceedings against the applicant.” The aforesaid observations were made by the Tribunal on 30.08.2024. It is not the case of the petitioners that, pursuant to the said observations, any action or appropriate proceedings have been initiated against the respondent. In the absence of such proceedings, the petitioners would not get jurisdiction and having regard to the passage of time, no bona fide purpose - 7 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 would be served by continuing to withhold the amounts payable towards gratuity and encashment of leave salary. 8. We are of the considered view that, in the absence of any notice or proceedings, allowing withholding of gratuity and encashment of leave salary even after a lapse of nearly three years would inevitably result in arbitrariness and would amount to undue harassment of the respondent. Having failed to initiate action against the respondent, the authorities could not have found fault with the impugned order directing release of retiral benefits. Having failed to take action even after nearly three years from the date of retirement of the respondent, they could not have approached this Court in the present writ petition. On the other hand, it is a matter where the respondent should initiate action against the officers who have failed to take timely action when they allege shortage of stock against the respondent herein. 9. In that view of the matter, we are of the opinion that the Tribunal, having regard to the aforesaid circumstances, was justified in directing the release of the amounts withheld towards gratuity and encashment of leave salary. We find no - 8 - HC-KAR NC: 2026:KHC:6481-DB WP No. 18876 of 2025 cogent reasons or demonstrable grounds to interfere with the order passed by the Tribunal. Accordingly, writ petition stands dismissed. SD/- (S.G.PANDIT) JUDGE SD/- (K. V. ARAVIND) JUDGE BSV CT:bms List No.: 1 Sl No.: 25