Authority: Supreme Court of India, Civil Appellate Jurisdiction
Order Date: 31 July 2026
Case Overview
- Parties: Appellant – Dipak Kumar Dutta; Respondents – Union of India & others, including Maulana Abul Kalam Azad Institute of Asian Studies (MAKAIAS).
- Proceedings: Appeals under Special Leave Petition (SLP) Nos. 7112‑7113 of 2025, arising from High Court, Calcutta judgments dated 23 December 2024 (MAT No. 204/2024 and MAT No. 2278/2023) that set aside a single judge’s order and approved compulsory retirement of the appellant.
- Background: Dutta served as Administrative‑cum‑Finance Officer at MAKAIAS from 2 April 2009 to 6 November 2015. A sexual‑harassment complaint by Ms. Priyanka Basu (Personal Secretary to Respondent No. 3, also Director of MAKAIAS) led to a suspension order dated 6 November 2015. Subsequently, a charge‑sheet for insubordination and lack of integrity was issued. Dutta’s writ petition challenging the suspension was dismissed. The Director of MAKAIAS later ordered compulsory retirement; Dutta challenged this via a writ petition, which the Single Judge of the High Court allowed, making adverse observations against the Director. MAKAIAS appealed, and the Division Bench allowed the appeal, prompting the present SLPs.
- Settlement Initiative: During pendency, counsel Mr. Swarnendu Chatterjee (for MAKAIAS) facilitated an amicable settlement. MAKAIAS issued an Office Memorandum dated 22 May 2026 converting the compulsory retirement penalty into a “golden handshake”.
- Office Memorandum Details:
- Effective conversion date: 9 May 2017.
- Suspension period (2015‑2017) regularized; due increment under the 7th Pay Commission granted.
- Leave encashment and gratuity already taken; no further amounts due on those heads.
- Initial payment amount specified: INR 10,14,141.00 (Rupees ten lakh fourteen thousand one hundred forty‑one only), with calculation sheets annexed (Annexure A‑C).
- Pension scheme chosen incorrectly; rectification required with cooperation from both parties.
- Signed by Dr. Sarup Prasad Ghosh, Director.
Final Outcome
- The Supreme Court, after considering the Office Memorandum and arguments of counsel, directed MAKAIAS to pay an additional amount of Rs 10,00,000 over and above the earlier offer.
- Total settlement amount: Rs 20,14,141 (Rupees Twenty Lakhs Fourteen Thousand One Hundred Forty‑One only) as full and final settlement, with no further claims.
- Payment timeline: Respondents to release the amount within eight weeks from the order date; the amount to be credited to the appellant’s bank account within four weeks from the order date.
- Additional directions:
- The appellant is entitled to withdraw the accrued Provident Fund.
- The appellant shall visit MAKAIAS to complete necessary corrections for pensionary benefit payments.
- The civil appeals are disposed of in terms of the signed order; any pending applications are deemed disposed.
Topics: Legal Settlement, Employment Dispute