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2026 DAILYLAW 6153 (GUJ)

GANGA RK INDUSTRIES PVT LTD THROUGH ADMIN HEAD KAMLESH ARVINDBHAI KAKKAD v. BHARATBHAI BADRIPRASAD RAMAVAT

SCA/12410/2025 · 2026-01-20

Hemant M Prachchhak

body2026

Judgment text

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C/SCA/12410/2025 ORDER DATED: 20/01/2026 IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/SPECIAL CIVIL APPLICATION NO. 12410 of 2025 ================================================================ GANGA RK INDUSTRIES PVT LTD THROUGH ADMIN HEAD KAMLESH ARVINDBHAI KAKKAD Versus BHARATBHAI BADRIPRASAD RAMAVAT & ANR. ================================================================ Appearance: JEET Y RAJYAGURU(8039) for the Petitioner(s) No. 1 MR NIRAJ J SHAH(3110) for the Petitioner(s) No. 1 NOTICE SERVED for the Respondent(s) No. 1,2 ================================================================ CORAM:HONOURABLE MR. JUSTICE HEMANT M. PRACHCHHAK Date : 20/01/2026 ORAL ORDER 1. By way of present petition under Article 226 & 227 of the Constitution of India, petitioner has challenged the Award dated 28.04.2025 passed by the learned Presiding O&cer, Rajkot in Reference (LCR) No. 77 of 2017 whereby, the learned Judge has allowed the reference /led by the respondent-workman and granted reinstatement with continuity of service with 50% back wages and also awarded cost of litigation to the tune of Rs.5,001/- to be paid to the respondent-workman. 2. Brief facts leading to the present petition are that, the responded-workman was purely working as a temporary worker with the petitioner-Establishment and respondent No.2 herein. That, as per the statement of claim the respondent-workman was working as a Clerk-cum-Supervisor with the petitioner-Establishment since 03.01.2009. That, the services of the respondent-workman came to be transferred in respondent No.2-Company and thereafter, allegedly, p. 2 C/SCA/12410/2025 ORDER DATED: 20/01/2026 respondent-workman was terminated on 31.10.2016. That, the respondent-workman therefore, /led industrial dispute against the petitioner and respondent No.2 and approached the Labour Conciliation O&cer, however, the conciliation failed and the Conciliation O&cer referred the dispute to the Labour Court under Section 10(1)(c) of the Act for adjudication, which came to be registered as Reference (LCR) No. 77 of 2017. That, the respondent- workman /led his statement of claim at Exh.-6. Per contra, the petitioner and the respondent No.2 had jointly /led their written statement at Exh.-23. After hearing all the concerned parties and after examining the oral as well as documentary evidence produced on record, the Labour Court passed the aforesaid Award dated 28.04.2025. 3. Being aggrieved and dissatis/ed with the impugned award dated 28.04.2025 passed by the Labour Court in Reference (LCR) No. 77 of 2017, the petitioner has preferred this petition under Article 226 & 227 of the Constitution of India read with the provisions of Industrial Disputes Act, 1947. 4. When the matter is taken up for hearing, learned counsel Mr. Jeet Rajyaguru, appearing on behalf of the petitioner, has submitted that during the pendency of this petition, the parties have amicably settled the dispute outside the Court. He has submitted that the petitioner has entered into an agreement for amicable settlement with the respondent-workman and has already paid lumpsum compensation to the tune of Rs.4 Lac towards full and /nal settlement of the dispute through NEFT on 10.10.2025 being transaction ‘NEFT to Baldevbhai Badriprasad R:UBIN0252835956’. Learned counsel Mr. Rajyaguru has also produced copy of settlement agreement, which is p. 3 C/SCA/12410/2025 ORDER DATED: 20/01/2026 a notarized document, bearing signatures of all the concerned parties, the same is taken on record. 4. The consent terms and conditions of the settlement agreement are in vernacular language and therefore, the same are incorporated as part of this order as under : This ‘Memorandum of Settlement’ is entered into at Rajkot on this 3rd day of October, 2025. BETWEEN: M/s. Ganga R. K. Industries Private Limited, a company registered under the provisions of the Companies Act [1956/2013], having its registered o7ice at Plot No. G-1204, GIDC Lodhika, near Metoda, Kalawad Highway, Rajkot – 360021, hereinafter referred to as the "Company" (which expression shall, unless repugnant to the context or meaning thereof, be deemed to include its successors, administrators, and assigns) of the FIRST PART; AND Mr. Bharatbhai alias Baldevbhai Ramavat, son of Badriprasad Ramavat, aged about 58 years, residing at "Parth", Bhavnath Park-1, Street No. 2, Milan Pan Street, Rajkot, hereinafter referred to as the "Workman" (which expression shall, unless repugnant to the context or meaning thereof, be deemed to include his heirs, legal representatives, executors, administrators, and assigns) of the SECOND PART. (The Company and the Workman shall hereinafter be collectively referred to as the "Parties" and individually as the "Party"). WHEREAS: A. The Workman joined the service of the Company on 01/04/2013 and voluntarily resigned on 31/10/2016. The Workman's true name is Baldevbhai, and his Aadhaar Card, PAN Card, and bank accounts are in that name. The Workman admits that he recorded his name as Bharatbhai in the Company and used to sign in that name. The Workman admits that both names, Bharatbhai Ramavat and Baldevbhai Ramavat, belong to him. The Workman guarantees that for whatever payment he receives and accepts in the name of Baldevbhai Ramavat as per this settlement, he shall not raise any kind of demand, dispute, claim, or proceeding (civil, criminal, or otherwise) against the Company, its Directors, O7icers, Employees, or Legal Representatives regarding the name or matters related to p. 4 C/SCA/12410/2025 ORDER DATED: 20/01/2026 the payment. B. The Workman raised an industrial dispute before the Labour Court at Rajkot under Reference (LCR) No. 77/2017, challenging the legality and validity of the termination of his service and demanding reinstatement with full back wages and continuity of service. C. The Hon'ble Labour Court, Rajkot, by its Judgment (Award) dated 28/04/2015, held that the termination of the Workman's service was illegal and directed the Company to reinstate him with 50% back wages and all consequential beneJts. D. Aggrieved by the said Judgment (Award), the Company Jled Special Civil Application No. 12410 of 2025 before the Hon'ble Gujarat High Court. E. During the hearing of the aforementioned Special Civil Application, through the intervention of their respective advocates and with a view to resolving the dispute amicably, the Parties have entered into negotiations. F. After a series of discussions and negotiations, the Parties have reached a full and Jnal amicable settlement of all claims and disputes of the Workman against the Company arising out of his employment and its termination, based on the terms and conditions set forth below. G. This settlement has been reached otherwise than in the course of conciliation proceedings and is a settlement within the meaning of Section 2(P) of the Industrial Disputes Act, 1947. NOW, THEREFORE, IT IS HEREBY AGREED BETWEEN THE PARTIES AS FOLLOWS: TERMS OF SETTLEMENT: 1. Waiver of Reinstatement: The Workman, of his own free will and without any coercion, pressure, or undue inLuence, hereby voluntarily and expressly waives his right to reinstatement in the services of the Company granted by the Labour Court. He conJrms that he shall not seek employment or re-employment in the Company or any of its a7iliates or group companies at any time in the future. 2. Full and Final Settlement Amount: In consideration of the Workman waiving his right to reinstatement and in full and Jnal settlement of all his claims and dues, the Company has agreed to pay and the Workman has agreed to accept a sum of Rs. 4,00,000/- (Rupees Four Lakhs Only). 3. Break-up of Settlement Amount: The aforementioned amount of Rs. 4,00,000/- is inclusive of full and p. 5 C/SCA/12410/2025 ORDER DATED: 20/01/2026 Jnal settlement of all claims of the Workman, including but not limited to:  Back wages  Outstanding salary  Leave encashment  Bonus  Gratuity  Retrenchment compensation under Section 25F of the Industrial Disputes Act, 1947  Any other statutory or non-statutory dues arising from his employment and its termination. 4. Payment and Discharge: The payment of the said amount of Rs. 4,00,000/- has been made by the Company to the Workman via Union Bank Account Payee Cheque No. 041961 dated 02/10/2025. The Workman hereby acknowledges that upon receipt of the said amount, he shall have no claims of any nature against the Company(ies). The Workman further acknowledges that a settlement has also been reached with all companies, namely (1) Ganga R. K. Industries Private Limited and (2) Kotecha Steel Forge Pvt. Ltd., and now no amount remains to be taken by the Workman from the companies or by the companies from the Workman, nor is he to be taken back into service. Upon signing this settlement and receiving the payment, the 'employer-employee' relationship between the companies and the Workman comes to a permanent end, and it shall be deemed that the Workman has received full and Jnal payment of his rights, shares, and interests, and the Workman waives his right to reinstatement. 5. No Further Claims: The Parties hereby declare and conJrm that this settlement is a full and Jnal resolution of all disputes and claims between them. The Workman hereby promises that neither he nor his heirs, successors, legal representatives, or assigns shall, at any time in the future, raise any demand, dispute, claim, or proceeding (civil, criminal, or otherwise) against the Company, its directors, o7icers, employees, legal representatives, or assigns regarding his former employment, the termination of his service, or any matter related thereto. 6. Withdrawal of Pending Litigation: The Companies agree to withdraw Special Civil Application No. 22410 of 2025 Jled in the Hon'ble Gujarat High Court, and the Workman agrees to withdraw Recovery Application No. 75/2025 Jled in the Labour Court, Rajkot, at their own respective costs. Both parties agree to provide all types of cooperation to the other party in withdrawing their respective cases or applications in Court. Page 5 of 6 C/SCA/12410/2025 ORDER DATED: 20/01/2026 7. Binding Nature of Settlement: This settlement shall be binding on both Parties as well as their respective heirs, legal representatives, successors, and assigns in accordance with the provisions of Section 2(P) read with Section 18(1) of the Industrial Disputes Act, 1947. 8. Independent Legal Advice: The Parties conJrm that they have sought and obtained independent legal advice and have fully understood the terms and e7ects of this settlement. They further conJrm that they are signing this settlement voluntarily and without any force, fraud, coercion, or misrepresentation. 9. Governing Law and Jurisdiction: This settlement shall be governed by and interpreted in accordance with the laws of India. The courts at Rajkot shall have exclusive jurisdiction to entertain any matter arising out of this settlement. 10. Entire Agreement: This settlement constitutes the entire agreement between the Parties and supersedes all prior oral or written agreements, understandings, or arrangements. 5. In view of above, considering the fact that the concerned parties have already settled the dispute by entering into settlement agreement as above and the respondent-workman has received the amount towards full and /nal settlement of the dispute, nothing remains in the present petition and the present petition is disposed of. Notice is discharged. (HEMANT M. PRACHCHHAK,J) Dolly