STATE OF ANDHRA PRADESH AND ORS. ETC. ETC. versus BOLLARPRAGADA SURYANARAYANA AND ORS. ETC. ETC.
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,. STATE OF ANDHRA PRADESH AND ORS. ETC. ETC. A v. BOLLARPRAGADASURYANARAYANA AND ORS. ETC. ETC. JULY 15, 1997 [SUJATA V. MANOHAR AND G.B. PATTANAIK, JJ.) Andhra Pradesh Abolitio11 of Posts of Pait Time Village Officers Act, 1985: Sections 3 a11d 5. Service Law-GratuityFamily. B c Be11efit Sche111e-E11titleme11t to-State of Andhra Pradesh-Posts of parl Time Village Officers-Abolition with effect from 6.1.1984--Scheme for gratuity and family benefit existing prior to abolition of posts-Respondents holding post of parl time village Officers--On abolition of posts they were D paid compensation-Writ filed by them claiming gratuity under G.O.Ms. No. 1772 dated 18.4.1980 and Family Benefit Scheme 1mder G.O.Ms. No. 3420 dated J.8.1980-Writ allowed by High Court-On appeal Division Bench partly modified the order and the benefit of these Schemes was given to all those Part-time Village Officers who had attained the age of 58 years on 7.1.1984--Appeal prefe"ed by State before Supreme Court--Collfention that E the provisio11s of Scheme are applicable only when the office was demitted in the manner set out in the schemes-These provisions were not applicable when by legislation posts were abolished-Held the contributions actually made by the concerned respondents under the Family Benefit Scheme should be refunded to them with interest at 6% p.a. CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 2762- 2788 of 1988. F From the Judgment and Order dated 25.8.87 of the Andhra Pradesh High Court in W.A No. 142/85 and W.P. Nos. 7928-30, 6941, 6943/87, 7544, 7877, 7997, 8075, 8078, 8178, 8372, 8241, 8401, 12874, 12731185, 3674, 3670, G 3665, 3667, 3671/87, 16984/86, 13200,85, 493/87, 9785 and 9789 of 1987. Smt. K. Amareshwari, K. Ram Kumar and V.R. Anumola, for the Appellants. S. Markandeya and Ms. C. Markandeya for the Respondents. H 715 716 SUPREME COURT REPORTS [1997] SUPP. 2 S.C.R. A The following Order of the Court was delivered : The respondents were holding the post of part-time Village Officers in the State of Andhra Pradesh. Under an Ordinance dated 6.1.1984, the posts of Part-time Village Officers in the State of Andhra Pradesh were abolished. The Ordinance was replaced by the Part-time Village Officers B Abolition Act being Act No. 8 of 1985. Sections 3 and 5 of the said Act provide as follows : c D E F G "3. The posts of part-time Village Officers in the State of Andhra Pradesh are hereby abolished with effect on and from the date of commencement of this Act, and every person who holds the post of part-time Village Officer in any part of the State of Andhra Pradesh shall, with effect on and from such date, cease to hold such post". "5. (1) Every person who ceases to hold post of part- time Village Officer by reason of section 3, shall be paid an amount for the total service put in by him as part-time Village Officer and such amount shall be determined in accordance with the provisions of sub-section (2). (2) The amount referred to in sub-section (1) shall be calculated at the rate of one-half of the monthly emoluments for every year of total service put in by the person referred to in sub-section (1). Explanation : For the purposes of this Section, (a) Where the total service, --ยท (i) includes a period which is a portion of a year; or (ii) is a period less than a year; the amount payable for the period referred to in sub-clause (i) or sub-clause (ii), as the case may be shall be an amount bearing to the amount payable for one year of total service, the same proportion as the said period bears to a period of one year of total service." Prior to the abolition of the posts of Village Officers, under G.O. Ms. No. 1772 dated 18.4.1980, the Government of Andhra Pradesh had H framed a scheme for gratuity which was applicable to the Village Officers f โข STATE v. B. SURYANARAYANA 717 and the Village servants. The Scheme inter alia, provides as follows : (i) Gratuity shall be paid at the rate of one months pay (honorarium) for every completed year of service to the Village Officers and Village servants subject to a maximum of 20 months pay. (ii) The gratuity is payable in the event of death, there being no age of superannuation in respect of these categories or at the time of demitting officer after attaining the age of 58 years in the case of Village Officers and 60 years in the case of Village Servants A B after giving a notice to the appoint
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