RAGHAV (no) 30 July 2014

Is it legal for a bank to withdraw its contribution

Dear Sirs,

I joined a Public Sector Bank in january 2011 as a PO, worked there for 3 years.

i was removed by an administrative order on 16-01-2014.

Now when it it came towards the financial settlement they have refused the following things

1. they have refused their contribution which was to be given in my NPS account, because the account was never opened due bank's own laxity. they only gave my own contribution that too without interest.

2. they refused my leave encashment which was due of 41 days.

My query is

is it legal for a bank to withdraw its contribution? and refuse leave encashment.

as far as my general knowledge goes in SK Kool v/s Bank of Baroda Case Dec 2013 Judgement the Apex court has upheld to pay the bank all the dues that were to be paid to the employee.

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3 Replies

Kumar Doab (FIN) 30 July 2014

You have quoted a good judgement.

Although it may not suit you, as you have worked for only 3 years.

It can be viewed at:

https://judis.nic.in/supremecourt/imgs1.aspx?filename=41066}

The apex court has made a striking observation.

You may look into the Bipartite settlement and rules and regulations.

“But the fact of the matter is that the Bipartite settlement provides for removal from service with pensionary benefits under the Rules or Regulations prevailing at the

relevant time”.

You may find another thread as relevant at:

https://www.lawyersclubindia.com/forum/P-f-gratuity-90740.asp#.UqC5qdIW1MA

Discussion > Labour & Service Law > Gratuity > P.f & gratuity