i have retired from a PSU under ministry of defence production.While in service it was a practice by the company that Sick Leaves with Half pay(SLHP) could be accumulated upto a maximum of 250no. and same be encashed at the time of superannuation. Accordingly i like so many officers was paid the encashed amount against my accumulated SLHPs on my retirement on 30April2011.However in October 2013,we officers were intimated that an audit of the company accounts has pointed out that SLHPs were not encashable as per a Govt. notification and hence SLHP encashment was paid wrongly. Accordingly all such payments are to be paid back by the individual to the company.No retired officer came forward to pay it back.Nor the company has issued any further demand after the sole intimation in October 2013.
Now in February2014 the company has notified a pension scheme under which all officers( including those retired since 1-1-2007 retrospectively)will be getting a monthly pension.A pension trust will be paid a premium by the company every year including retrospective years.However our retired officers association has informed us that for those officers who were paid the SLHP encashment wrongly , the recovery will be made from the premium to be paid to the pension plan.The association approached the management not to do so but management has expressed helplessness in this matter. Till date officially the mangement has niether intimated us about the pension scheme nor about the recovery so being done.
Please advise me on the following:-
1. How far the management is within its right to recover the SLHP encashment done as per its own rules till the discrepency was revealed by an audit?( please note that it was solely due to management ignorance that the SLHP were encashed & had this provision of encashment not been there the officers would have availed the credited sick leaves during their service).
2. Can we jointly(nearly 700 officers are affected) or individually challenge the recovery in Court of law? How are the chances of winning the case in case we do jointly?
Thanking you
