
The Punjab & Haryana High Court, led by Justice Jagmohan Bansal, has ruled that the dependents of an employee who has been missing for over seven years are entitled to ex-gratia compensation.
The case involves the petitioner’s father, who worked as an Octroi Peon for the Municipal Committee in Ambala. He was scheduled to retire on October 31, 1990, but went missing on May 1, 1990, and was never found. Despite his disappearance, he was treated as a retiree from the specified date, and his widow received gratuity, leave encashment, and provident fund benefits.
The petitioner, who was married at the time, lost her husband in 1994 and became dependent on her mother, who had no income of her own. After her father was legally declared “deemed dead,” the petitioner filed a claim for a compassionate appointment. However, her request was rejected in 1998 by the Municipal Committee on the grounds that a widowed daughter was not eligible for such an appointment.
In response, the petitioner filed a writ petition seeking the reversal of the decision. She argued that, under the 2003 policy, dependents were entitled to ex-gratia compensation of Rs. 2.5 lakh. She further claimed that, according to the 1970 policy, she was entitled to an ex-gratia compensation of Rs. 15,000, which had not been provided to her or her mother.
The respondents contended that the petitioner’s family had already received gratuity, leave encashment, and provident fund payments. They argued that the petitioner, as a married daughter at the time of her father’s disappearance, was not considered a dependent and therefore ineligible for compassionate appointment.
In its judgment, the court noted that the petitioner’s father went missing in May 1990, just before his retirement. His family had received the benefits they were entitled to, but the petitioner had not received ex-gratia compensation. The court observed that this compensation had not been provided because the employee had not been declared dead before his retirement date.
The court referred to the 1970 policy, which applied at the time of the employee’s disappearance, and concluded that the family should have received the ex-gratia payment of Rs. 15,000. The court further directed that a lump sum compensation of Rs. 50,000 be paid to the petitioner’s family, which would include the principal amount of Rs. 15,000 along with deemed interest.
The court ordered the respondent to make the payment within two months. The writ petition was disposed of with these directions.