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CONTEMPT NOTICE
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Date : 7th November, 2019
To
The Chairman, State Bank of India, Corporate Centre, State Bank Bhawan, Madam Cama Road, Mumbai,
Shri Rajnish Kumar, Chairman, State Bank of India, Corporate Centre, Mumbai
The Deputy General Manager, PM & PPG Department, State Bank of India, Corporate Centre, Mumbai
Shri Somnath Adhya, Deputy General Manager, PPG Department, State Bank of India, Corporate Centre, Mumbai
The Asst. General Manager, State Bank of India, PPG Department, Corporate Centre, Mumbai
Shri Hemant Kumar Asst. General Manager, State Bank of India, PPG Department, Corporate Centre, Mumbai
The Chief Manager (S), PPG Department, State Bank of India, Corporate Centre, Mumbai
Shri C P Mulye Chief Manager (S) PPG Department, State Bank of India, Corporate Centre, Mumbai
Sir/Madam,
Sub: Non-Implementation of the Judgment and Order passed by the Hon'ble Supreme
Court of India in Civil Appeal No. 5525/2012 and connected matter – Civil Appeal No.
6254/2012 of All India Retired Bank Employees’ Association Vs. Union of India & Others and failure to pay the pension, dearness relief and interest on the total amount due in terms of the judgment of the Hon'ble Supreme Court of India. AND thereby, committing.
CONTEMPT OF THE JUDGMENT OF THE HON'BLE SUPREME COURT – Issue of Contempt Notice-reg
Contempt Ref: 1. Judgment and Order passed by the Hon'ble High Court of Delhi at Delhi, in Writ Petition No.6907/2002 which dismissed the Writ Petition filed by All India Retired Bank Employees’ Association vide its order dated 30.03.2012
2. All India Retired Bank Employees’ Association preferred Special Leave Petition No.24525/2012, On granting leave with Civil Appeal No.6254/2012 the Appeal is tagged to Civil Appeal No.5525/2012 ;
3. Final judgment and order dated 13.02.2018, passed by the Hon'ble Supreme Court of India in Civil Appeal No. 6254/2012 allowed the appeals preferred by All India
Bank Retired Employees’ Association was allowed while dismissing the judgment of
the High Court of Delhi.
Under the instructions of my client, All India Retired Bank Employees’ Association
(hereinafter, referred to as ‘Association’), I am issuing this Legal Notice to as under:-
Members of the Association had the benefit of Revision of Pay Scales w.e.f.
01.04.1998. However, in the Joint Notes dated 14.12.1999 and Bipartite Settlement dated 27.03.2000, it was stated that pay for the purpose of pension shall be the aggregate of the pre-revised pay and dearness allowance thereon at Consumer Price Index 1616 points.
This should be subject to amendments to relevant provisions of the Pension Regulations.
In the case of erstwhile Associate Banks, viz State Bank of Bikaner and Jaipur
(Respondent No.2), State Bank of Hyderabad (Respondent No.23), State Bank of Indore(Respondent No.24), State Bank of Mysore(Respondent No.25), State Bank of
Patiala (Respondent No.26), State Bank of Saurashtra (Respondent No.27) and State
Bank of Travancore (Respondent No.28), the Pension Regulations have not been
amended at all to bring it in line with the settlement or the joint note, in respect of Basic Pension. However, nothing with regard to Dearness Relief to Bank Pensioners finds place in neither Joint Note dated 14.12.1999/7th Bipartite Settlement dated 27.03.2000 nor Joint Note/8th Bipartite Settlement dated 02.06.2005. Hence the reliance placed on pre-revised
pay scale for the purpose of pension and payment of Dearness Relief to Bank Pensioners based on Exceutive Instructions/practice was illegal.
Upon non-payment of some
components of Pension, as provided by Bank Employees’ Pension Regulations, my Client filed Writ Petition No.6907/2002, which was dismissed by Hon’ble High Court of Delhi. Decision of High Court of Delhi is summarised by Hon’ble Supreme Court, while allowing the appeals filed by the Association, is extracted hereunder :
11. The High Court of Delhi had opined that once the benefit had been taken
under the Joint Note of revision of the salary, estoppel is created against the
officers to claim the pension as per the existing formulae, which prevailed
before its amendment and amendment could have been made with retrospective
effect. Thus, the Delhi High Court had dismissed the writ petition filed by the
Officers’ Association, against which an appeal had been preferred.
Consequently, the Association filed a Special Leave Petition praying for payment of
Pension in terms of Pension Regulations and consequential benefits. Petition and appeal did not restrict the prayer to computation of basic pension in terms of existing Pension Regulations. Pension includes Basic Pension, Additional Pension and also Dearness Relief in terms of Chapter VI as provided in Regulation 2(t) of Bank Employees’ Pension Regulations, 1995. While allowing appeals of my Client, Hon’ble Supreme Court ordered
payment of pension in terms of existing regulations. Hon’ble Supreme Court affirmed the decision of High Courts of Karnataka which had decided as under :
They have observed that Joint Note of 1999 could not have supplanted the existing rules/regulations. Pension was required to be determined under the existing Regulations.
While allowing appeals filed by the Association, it has been specifically ordered vide the judgment of Hon'ble Supreme Court of India dated 13.02.2018 (Ref.3). as under:-
"Thus we set aside the judgment rendered by the High Court of Delhi and affirm that of High Courts of Karnataka at Bengaluru and High Court of Madras. The Appeals filed by the Bank are dismissed and the Appeals filed by the Association is allowed. Resultantly, let the amount which was due and payable be paid with 9% interest, be calculated and paid within 4 months
from today."
Despite the specific orders of the Hon’ble Supreme Court, the Bank, however, chose to deny the benefit of payment of pension, including Commutation of differential Basic Pension and Dearness Relief in terms of existing Bank Employees’ Pension Regulations 1995 to the members of my Client.
Upon non-payment of these benefits, some of members of State Bank of Mysore
Pensioners’ Commune, an affiliate of the Association, who have retired from erstwhile State Bank of Mysore and who were respondents in Civil Appeal No.1919/2018 filed Contempt PetitionNo.209/2019, which was disposed off while deciding as under on 28.08.2019 :
a. Commutation of differential Basic Pension should be paid within four weeks and compliance affidavit to be filed within two weeks thereafter, failing which Contempt proceedings would revive ;
b. Petitioners to agitate the issue of payment of Dearness Relief in terms of Regulation 37 – Appendix II 2, appropriate forum, if they are aggrieved.
c. Hon’ble Supreme Court accepted the unconditional apology tendered by you.
In the Contempt Petition, the Bank claimed that the Dearness Relief is being paid in
terms of Settlement, even though payment of Dearness Relief is not a part of Joint Notes dated 14.12.1999 and 02.06.2005 and also in Bipartite Settlements dated 27.03.2000 and 02.06.2005. Still, the Bank has not complied with the Orders of Hon’ble Supreme Court and denied payment of benefits ordered. Even payment of Commutation is restricted to
those who were petitioners before High Courts of Karnataka.
Therefore, denial to pay basic pension calculated taking into account the actual pay drawn due last 10 months of service from the date of retirement, till 30.04.2005, dearness relief as provided in regulation 37, commutation of differential amount of revised basic
pension, interest @ 9% on total amount due on the date of payment of arrears of Pension,
including commutation amounts to CONTEMPT OF THE HON'BLE SUPREME COURT OF
INDIA. Moreso, this denial is even after orders of Hon’ble Supreme Court in Contempt
Petition No.209/2019, wherein you were also a Contemnor/Respondent. Therefore, my client is constrained to believe that these acts of non-payment of benefits to members of my client are deliberate and intentional violation of orders of Hon’ble Supreme Court.
WHEREFORE you are hereby called upon to implement the final judgment and order
dated 13.02.2018, passed by the Hon'ble Supreme Court of India in Civil Appeal
No.6254/2012 and also orders in Contempt Petition (Civil) No.209/2019 dated 28.08.2019 in Civil Appeal Nos.1919 – 2087/2018 tagged to Civil Appeal No.5525/2012 and pay the
pension and other monetary and consequential benefits in terms of the final judgment and
order dated 13.02.2018 to all its members from all Respondent Banks, passed by the
Hon'ble Supreme Court of India WITHIN A PERIOD OF 15 DAYS from the date of receipt
of this Legal Notice, failing which, my clients will be constrained to prefer a contempt
petition before the Supreme Court of India against you in this regard.
Thanking you, Your’s faithfully,
(K R Ganesh Rao) Advocate
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