Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARDS :: cpt :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: articles on VAT and GST in India :: VAT RATES :: due date for vat payment :: empanelment :: VAT Audit :: TDS
 
 
« News Headlines »
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful
 Your deposit may draw income tax notice
 Accepting payment under IDS 2016
 New disclosure scheme could see 50% tax and 4-year limit on cash use for unaccounted deposits
 Pay 50% tax on unaccounted deposits, or 85% if caught, says Modi government

Recoveries from VRS payments from rice mill workers were illegal
November, 27th 2007

An order making recoveries from boiler operators in Modern Rice Mills of TN Civil Supplies Corporation at Kadachanendal, Madurai, for alleged short out-turns, was set aside by the Madurai Bench of Madras High Court.

When a penalty was imposed, it resulted in civil consequences, and there must be proper enquiry in respect of each individual, and there could not be any collective misconduct, the Bench ruled.

According to petitioners, who were all boiler operators, they were allowed by Corporation to go under a VRS. After they were relieved from service, the Corporation demanded from them for making good the short out-turn.

In its circular, the Corporation has instructed officials to recover from boiler operators for short out-turn noticed in the Modern Rice Mills from persons responsible.

Petitioners contended that they were in no way connected with any short out-turns, and whatever work was assigned to them, that had been fully carried out.

According to them, so-called short out-turns were spread over from year 1985-86 to 2001-02, and on basis of total shortage, proportionate recoveries could not be made.

Mr Justice K. Chandru said that there was no proper enquiry held, and, hence, the contention that responsibility was not fixed in a scientific manner and that principles of natural justice were violated deserved to be accepted.

There could not be any collective misconduct, and misconduct must be individual and it must be personalised.

Therefore, impugned orders dated June 23, 2004 insofar as making recoveries under head short out-turn in respect of each of petitioners were being set aside.

Respondents were directed to hold a fresh enquiry and fix individual responsibility of petitioners after giving opportunity to them.

If the ultimate result was found in favour of petitioners, moneys which were recovered from VRS dues paid to petitioners must be refunded forthwith.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Privacy Policy

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions