In a significant ruling, the Andhra Pradesh High Court has directed authorities to pay earned leave encashment to a dismissed government employee, even as his criminal appeal is pending.
Background:
The petitioner was working as a Junior Assistant in the Greater Visakhapatnam Municipal Corporation (GVMC) when he was caught in an Anti-Corruption Bureau (ACB) trap in 2010 for allegedly accepting a bribe of Rs. 2,500. He was subsequently convicted by a special ACB court in 2014 and sentenced to two years rigorous imprisonment. Following the conviction, he was dismissed from service in December 2014.
The petitioner appealed against his conviction, which is currently pending before the High Court. Meanwhile, he applied for encashment of his earned leave, which was rejected by the authorities in December 2018, citing the pending criminal appeal.
Legal Issues:
1. Whether a dismissed employee is entitled to earned leave encashment when his criminal appeal is pending?
2. Can earned leave encashment be withheld without statutory backing?
Arguments:
Petitioner’s counsel, Sri K.R. Srinivas, argued that earned leave is the property of an employee under Article 300A of the Constitution and cannot be withheld without legal authority. He cited a Madras High Court judgment supporting this view.
The respondents’ counsel contended that leave encashment is only payable upon superannuation, not dismissal, and that pending judicial proceedings justify withholding the payment.
Court’s Decision:
Justice Venkata Jyothirmai Pratapa allowed the writ petition, setting aside the government’s memo rejecting the petitioner’s claim. The court directed the authorities to settle the earned leave encashment due to the petitioner within six weeks.
Key Observations:
1. The court relied on a Division Bench judgment of the same High Court (W.A.No. 196 of 2022) which held that leave encashment should be paid even when criminal proceedings are pending.
2. Citing the Supreme Court’s decision in State of Jharkhand v. Jitendra Kumar Srivastava (2013), the court emphasized: “A person cannot be deprived of this pension without the authority of law, which is the constitutional mandate enshrined in Article 300-A of the Constitution. It follows that attempt of the appellant to take away a part of pension or gratuity or even leave encashment without any statutory provision and under the umbrage of administrative instruction cannot be countenanced.”
3. The court noted that there is no rule stipulating that earned leave encashment can be withheld when an appeal is pending.
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4. Justice Pratapa observed: “In the backdrop of the legal position referred to supra, the Petitioner is entitled for earned leave encashment, though the Appeal is pending for consideration before the Appellate Court as there is no Rule stipulating otherwise.”
Case Details:
Writ Petition No. 16011 of 2019
Bench: Justice Venkata Jyothirmai Pratapa
Respondents: State of Andhra Pradesh and others
