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Only gratuity but not leave encashment can be withheld of a retired employee pending investigation: P&H High Court

Punjab and Haryana High Court: A Single Judge Bench of Shekher Dhawan, J., dealt with a writ petition for the release of retiral benefits i.e. leave encashment to the petitioner. 

Petitioner had filed the instant petition for the release of leave encashment as a retiral benefit. Facts of the case were that a charge sheet was filed against the petitioner after which he got retired from the service. Petitioner contended that an employee like him, if had already retired, only his gratuity could have been withheld but not other retiral benefits in accordance with the case of Punjab State Civil Supplies Corpn. Limited v. Pyare Lal, 2014 SCC OnLine P&H 15012.

High Court viewed that controversy was restricted to petitioner’s prayer for leave encashment and by virtue of decision referred above it had already been decided that leave encashment cannot be withheld. With the above view, the petition was disposed of. [Pawan Kumar v. Punjab State Co-operative Societies,2018 SCC OnLine P&H 1677, decided on 02-11-2018]

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