THE MAHARASHTRA STATE CO-OPERATIVE BANK LTD.versusBABULAL LADE & ORS.

                         [2023] 3 S.C.R. 649                              649


 THE MAHARASHTRA STATE CO-OPERATIVE BANK LTD.                             A
                                  v.
                     BABULAL LADE & ORS.
             (Miscellaneous Application No. 1308 of 2020
                                  in                                      B
                    (Civil Appeal No. 232 of 2016)
                          MARCH 24, 2023
         [M. R. SHAH AND KRISHNA MURARI, JJ.]
                                                                          C
       Service Law: Salary/wages – Payment of – Payment of dues
of the employees of the sugar factory in liquidation by the appellant-
Bank, out of the sale proceeds from the auctioned property –
Appellant Bank deposited 25% of the total amount due, in this Court
as also deposited certain sum with the Industrial Court – Appellant
Bank then sought transfer of that amount along with interest to the       D
account of the Collector with the direction to distribute the amount
as per the entitlement of each and every employee of the sugar
factory after proper identification proportionately – Held: The
amount due and payable towards the wages/salaries of the
concerned employees of the sugar factory in liquidation to be paid
to them and/or to their legal heirs – Furthermore, the full particulars   E
including the bank account particulars of the concerned employees
required to see that the amount goes to the right person – Thus,
issuance of certain directions – Amount deposited with this Court
along with interest accrued and the amount deposited with the
Industrial Court be transferred to the Collector to distribute the        F
same to the said employees/legal heirs of the employees after proper
identification and verification of the claims – Appellant Bank also
permitted to withdraw the excess amount deposited.
      CIVIL APPELLATE JURISDICTION: Miscellaneous Application
No. 1308 of 2020 in Civil Appeal No. 232 of 2016.                         G
      From the Judgment and Order dated 04.12.2019 in C.A. No. 232
of 2016 of the Supreme Court of India.
      With

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                                 649
650             SUPREME COURT REPORTS                              [2023] 3 S.C.R.


A           Miscellaneous Application Diary No. 1755 of 2021 in Civil Appeal
      No. 232 of 2016.
           M. Y. Deshmukh, Ms. Manjeet Kripal, Adweetiya Sharma,
      Amitkumar Pathak, Satyajit A. Desai, Ms. Anagha S. Desai, Satya Kam
      Sharma, Gajanan N. Tirthkar, Saurabh Anand, Dharmendra Kumar Sinha,
B     Raju Sonkar, Ms. Mamta Srivastava, Mrs. Pooja Sonkar, Chander
      Shekhar Ashri, Advs. for the appearing parties.
             The Order of the Court was passed by
             M. R. SHAH, J.

C            Delay condoned.
             1. By Miscellaneous Application No. 1308 of 2020 in Civil Appeal
      No. 232 of 2016, the original appellant – applicant – The Maharashtra
      State Co-operative Bank Ltd. has prayed to transfer the amount of
      Rs. 3.52 crores deposited by the appellant – bank with this Hon’ble
D     Court in the account of Collector, Bhandara alongwith interest. It is further
      prayed to direct the Collector, Bhandara to distribute the amount as per
      the entitlement of each and every employee of the sugar factory after
      proper identification proportionately.
              1.1 One another I.A./M.A. is preferred by the bank permitting
      the bank to withdraw the excess amount so deposited by the appellant -
E
      bank with accrued interest till date, i.e., Rs. 4,95,94,737/-. In M.A. Diary
      No. 1755 of 2021, the bank has prayed to direct the employees of the
      respondent-sugar factory, whose legal dues are pending, to submit the
      relevant documents in support of dues and their claims so as to prove
      their legal dues and to furnish such a detail including the necessary details
F     of their bank accounts for remitting their legal dues and furnishing their
      particulars alongwith a tabulation of total dues from the sugar factory till
      date in view of the order passed by this Hon’ble Court dated 04.12.2019
      passed in Civil Appeal No. 232 of 2016.
              2. At the outset, it is required to be noted that by a detailed judgment
G     and order dated 04.12.2019 in Civil Appeal No. 232 of 2016, this Court
      has upheld the right of the employees of the sugar factory to receive the
      amount from the appellant - bank and has held that the applicant/appellant
      bank must pay the employees’ dues out of the sale proceeds from the
      auctioned property. However, it is required to be noted that so far as the
      liability of the appellant - bank would be to pay only the employees dues
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THE MAHARASHTRA STATE CO-OPERATIVE BANK LTD. v.                                  651
       BABULAL LADE & ORS. [M. R. SHAH, J.]

of salary/wages and so far as all other statutory dues in relation to            A
employees namely provident fund, gratuity, bonus etc. are concerned,
the liability has been fastened upon the subsequent purchaser. It appears
that during the pendency of the aforesaid appeal and while passing the
interim order, this Court directed the applicant/appellant bank to deposit
25% of the total amount of wages and pursuant to the same, the applicant/
                                                                                 B
appellant bank deposited the amount of Rs. 3.52 crores with this Court
and the same has been invested in the fixed deposit. It is reported that
alongwith interest, the amount comes to Rs. 4,95,94,737/-. It has come
on record that earlier pursuant to the order passed by the Industrial
Court, Bhandara, the appellant bank had deposited a sum of
Rs. 13,89,84,334/- by demand draft dated 11.02.2021 in favour of                 C
“Member, Industrial Court, Bhandara”.
        3. Thus, the amount due and payable towards the wages/salaries
of the concerned employees of the sugar factory in liquidation shall have
to be paid to them and/or to their legal heirs (in case the original employee
has died) out of the aforesaid amount (Rs. 13,89,84,334/- +                      D
Rs. 4,95,94,737/-), which shall have to be paid on the due verification
and identity as per the certificate issued by the Collector, as on 23.08.2011,
whereas a total sum of Rs. 13,89,84,334/- is due and payable to the
employees, which amount includes the amount due and payable towards
the statutory dues namely the provident fund, gratuity, bonus etc. However,
at the same time, it is required to be seen that the amount goes to the          E
right person, who is entitled to receive the amount due and payable to
him and for that purpose there shall be full particulars including the bank
account particulars of the concerned employees.
       4. Having heard learned counsel appearing on behalf of the
respective parties and taking into consideration the earlier order passed        F
by this Court in Civil Appeal No. 232/2016, the present applications are
disposed of with the following directions: -
       (i) The amount of Rs. 3.52 crores deposited by the appellant –
       bank, deposited with this Court pursuant to the earlier order passed
       by this Court with the interest accrued thereon be transferred in         G
       the account of the Collector, Bhandara so as to enable the Collector,
       Bhandara to distribute the same to the concerned employees/legal
       heirs of the employes of the sugar factory in liquidation;
       (ii) The amount of Rs. 13,89,84,3374/- lying with the Industrial
       Court, Bhandara along with the interest accrued thereon also be           H
652              SUPREME COURT REPORTS                           [2023] 3 S.C.R.


A            transferred to the Collector, Bhandara in the account of Collector,
             Bhandara;
             (iii) The Collector, Bhandara is hereby directed to pay/disburse
             respective employees’ dues of salaries/wages to the concerned
             employees/legal heirs of the employes of the sugar factory in
B            liquidation on proper identification and verification of the claims
             and to be deposited/paid directly in the bank account of the
             concerned employees/legal heirs of the employes of the sugar
             factory in liquidation along with the interest @ 7.5% on their
             respective dues.
C            (iv) The aforesaid amount to be disbursed to the concerned
             employees/legal heirs of the employes of the sugar factory in
             liquidation at the earliest but not later than 31st December, 2023,
             as observed hereinabove with the utmost transparent manner and
             proper identification and verification of the claims of the respective
             employees/legal heirs of the employes of the sugar factory in
D            liquidation.
             (v) The balance amount, if any, remaining after making the payment
             as above to the concerned employees/legal heirs of the employees
             of the sugar factory in liquidation as above, be dealt with in
             accordance with law and the balance amount be paid to the
E            appellant – bank towards dues of the bank.
             With this, present applications stand disposed of.

      Nidhi Jain                                             Applications disposed of.
      (Assisted by : Shashwat Jain, LCRA)
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