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TMI Blog2017 (6) TMI 1396X X X X Extracts X X X X X X X X Extracts X X X X ..... dings dated 20.03.2014 and 21.03.2014 as illegal, directed implementation of the severance package within one month and on receipt of the severance packages, the employees were directed to vacate and hand over vacant possession of the quarters within a period of one month. It was also held that no income tax is recoverable from severance package. HELD THAT:- It appears that though all the workmen had opted for VRS Scheme now different decision is taken by the Government without any consideration. In view of the policy decision by the Cabinet Committee, we feel it not to accept the stand taken by the person in-charge of the Department to file appeal against the order already passed, wherein the Central Government's view was to offer VRS to all workmen. The stand of the Central Government now that only some had been come forward to opt for VRS Scheme early appears to be redundant. Admittedly, it is the Cabinet Committee of the Central Government took the policy decision to offer VRS Scheme. The consent of the remaining workmen once again seeking for VRS Scheme although late, was already accepted as noted in this Court's order dated 29.11.2016, when the Central Government assu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Scheme and first charge over the assets of the company is in favour of the workmen. Because the company is facing the burden of winding up and other aspects, if there is any claim other than the Central Government Scheme, then it could be delayed elsewhere. We modify the order of the learned Single Judge to the effect that there is no burden on the company to that extent. So far as the liquidation proceedings is concerned, the first charge over the assets of the company will be on the Central Government since they step into the shoes of the workmen by taking over to discharge the burden of the company by way of VRS Scheme and for the remaining charge is concerned it is for the liquidator to decide on the issue. Accordingly, we dispose of the appeal filed by the Company, modifying the order of the learned Single Judge. Two months time is granted to the Central Government to implement the VRS Scheme from the date of receipt of this order. - THE HON'BLE MR.JUSTICE HULUVADI G RAMESH AND THE HONOURABLE MR.JUSTICE A.D.JAGADISH CHANDIRA For Appellant in W.A.616/2017 : Mrs.Rita Chandrasekaran for M/s Aiyar And Dolia For Appellant in W.A.753 to 758/2017 : Mr.G.Rajagopalan, Addl. Solic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g up of Hindustan Photo Films Manufacturing Company Limited. On appeal, the Appellate Authority for Industrial and Financial Reconstruction (AAIFR) vide order dated 07.06.2005, confirmed the order of BIFR. The Ministry of Heavy Industries and Public Enterprises, Government of India, by its letter dated 20.03.2014, approved the VRS package for the employees of Hindustan Photo Films Manufacturing Company Limited. Hindustan Photo Films Manufacturing Company Limited issued a Circular dated 21.03.2014 with regard to the implementation of VRS package. 5. The employees union challenged the letter dated 20.03.2014 of of the Government of India and the circular dated 21.03.2014 of Hindustan Photo Films Manufacturing Company Limited by filing W.P.No.18566 of 2015 and prayed for: (a) 72 months salary on the 2007 pay scales to each employee; (b) Arrears of pay on 2007 pay scales to each employee; (c) No deduction towards the amount of Recoverable monthly Advance; Special Performance Allowance and Adjustable Advance paid to the employees so far as; and (e) permitting the employees to occupy the staff quarters of the 2 nd respondent at Udagamandalam till 1.5.2016 at the same rate of rent charged ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... feel it not to accept the stand taken by the person in-charge of the Department to file appeal against the order already passed, wherein the Central Government's view was to offer VRS to all workmen. The stand of the Central Government now that only some had been come forward to opt for VRS Scheme early appears to be redundant. Admittedly, it is the Cabinet Committee of the Central Government took the policy decision to offer VRS Scheme. The consent of the remaining workmen once again seeking for VRS Scheme although late, was already accepted as noted in this Court's order dated 29.11.2016, when the Central Government assured that VRS funds will be released to all workmen. When such of petitions are filed by the remaining workmen through the association seeking for extension of the benefit, the decision taken by the person on behalf of the Central Government it appears to be without appreciating the Scheme floated by the Government to protect the interests of the workmen to put an end of the litigation to settle the VRS to all the workmen. 11. It appears the workmen in the writ petitions have already accepted VRS Scheme. Counsel appearing for the company contends that when ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the workmen. Since the Central Government has undertaken to settle the matter through VRS Scheme the rights of the workmen is transferred to the Central Government to that extent. So far as the liability of the company, if any in respect of other bank authorities or any other persons would come later. 15. However, we appreciate the decision which was taken by the Central Government in time without standing on any technicality when it floated in the Cabinet as a policy decision to settle the claims of the workmen by way of VRS Scheme. Some of the workmen opted for VRS Scheme and some of them having apprehensions have opted for the same at subsequent stage. The appeals filed by the Government are unsustainable. The person who was in-charge of the Department who did not understand the settlement mooted out by the Central Government. However, the decision taken by the person who is in-charge of the department, to file the appeals against the order of the learned Single Judge, without placing the matter before the Cabinet, we feel it a non-est decision. We direct the Central Government to expedite the VRS Scheme, preferably within a period of two months, before that, deposit the amou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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