Authority: Court No. 13
Order Date: 24 August 2026
Case Overview
- Parties: Food Corporation of India (appellant) vs Union of India & others (respondents); counsel for appellant Mr. Devajyoti Barman, Ms. Sanjukta Basu Mallick; counsel for respondent No.4 Mr. Kisor Ray, Ms. Kriti.
- The appeal (M.A.T. 2545 of 2023) challenges the judgment dated 12 September 2023 in W.P.A. 16615 of 2023 concerning delayed gratuity payments under the Payment of Gratuity Act, 1972.
- A condonation application (CAN 1 of 2024) sought relief for a 40‑day delay in filing the appeal; a second application (CAN 2 of 2024) was linked to the appeal.
- The court considered a coordinate‑bench decision dated 24 September 2024 in M.A.T. 2397 of 2023 as the controlling precedent.
Final Outcome
- CAN 1 of 2024 is allowed; the 40‑day delay is condoned, and no costs are awarded.
- The appeal M.A.T. 2545 of 2023 is disposed, with the 24 September 2024 judgment governing it, subject to two modifications:
1. The appellant is not liable to pay interest on the period during which the gratuity amounts were deposited with the Additional Labour Commissioner‑cum‑Controlling Authority, to the extent of the deposited quantum.
2. The appellant remains liable for interest on the quantum and balance period for which the gratuity amount was not deposited with the Controlling Authority, as ordered in the 24 September 2024 judgment.
- The connected application CAN 2 of 2024 is also disposed.
- No order as to costs for any of the applications.
- All parties are directed to act on the server copy of the order downloaded from the official court website.
Topics: Legal; Gratuity