Payment of gratuity

Querist : Anonymous (Querist) 22 January 2012 This query is : Resolved
The Life Insurance Corporation of India, with whom the employer had an undertaking under the Group Gratuity Scheme for the payment of gratuity to its employees had released the gratuity on the date of retirement of the employee.But the employer did not pay the amount as there was a dispute.After six years
the controlling authority is issuing direction for the payment of the amount to the employee.Can mesne profit could be claimed from the employer since he had utilised the amount in business for six years.

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V R SHROFF (Expert) 22 January 2012
claim interest, if u r not in fault

M/s. Y-not legal services (Expert) 22 January 2012
am also watching this query for clear me..

-tom-

Raj Kumar Makkad (Expert) 22 January 2012
The controlling authority has no right to claim the refund of the gratuity amount from the employee rather it can demand it from the employer who has used the amount for 6 years with interest and mesne profit.

The employee if has not received the amount of gratuity even after 6 years of release by LIC because employer has illegally used it then he can even lodge a FIR under section 406/409/420 IPC against the employer and Controlling authority is within its rights to impose heavy penalty over such employer.

prabhakar singh (Expert) 23 January 2012
Rightly advised by Mr.Makkad.The controlling authority is well within powers to award interest against the amount of gratuity wrong fully with hold by the employer for long 6 years.

Advocate. Arunagiri (Expert) 23 January 2012
The employee is having every right to claim interest and also can claim damages.

What so ever it may the case, even if any case is pending against the employee, the employee is having the right to receive the gratuity as detailed above.

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