Delhi HC Judgement on Dispute Between Management Committee and Directorate of Education

A recent Delhi High Court judgement addresses the dispute between the Management Committee and the Directorate of Education. The case involves the reconsideration of final calculations by the DOE, challenging objections from the Management Committee, and the release of amounts to the petitioners. Stay tuned to learn more about the court’s decision and its impact on the parties involved.

Facts

  • The cost incurred for engaging the Chartered Accountant/Auditor shall be borne by the Society.
  • The Director of Education can request necessary records from the School/Society to examine the amounts due.
  • The School/Society must provide full cooperation in the examination process.
  • The Director of Education must complete the final calculations within eight weeks from receiving the respective calculations from the Petitioners and the School/Society.

Arguments

  • DOE made calculations without considering that part of the arrears of the 6 CPC had already been paid by the Management Committee to the petitioners.
  • 20% of the amount has already been released to the petitioners as per the calculation by the Management Committee made in accordance with the judgment dated 04 May, 2024.
  • DOE calculated amounts payable to the petitioners for a period when the petitioners had not actually discharged their duties.
  • Management Committee raised objections included in the representation dated 22 December, 2023, which were not taken into account by the DOE in finalizing the calculations towards dues payable to the petitioners.
  • Management Committee raised objections to the DOE’s calculations based on two grounds.
  • The Management Committee is not impeded from releasing amounts to the petitioners as per calculations made by the DOE.
  • Judgment dated 04 May, 2023 in W.P.(C) No 4542/2021 has attained finality, and respondents must comply.
  • Dispute over 20% of the amount being released to the petitioners by the Management Committee.
  • Objections by Management Committee on payment for non-duty period were not entertained by the Court.
  • Management Committee cannot raise objections at this belated stage.
  • DOE has conducted a detailed exercise, finding the Management Committee liable to pay ₹5,51,53,744/- to the petitioners.
  • Petitioners were never impleaded nor heard in the petition despite being a necessary party.
  • ASC, GNCTD assures the exercise will be carried out by the Directorate of Education.

Analysis

  • The final calculations of the Directorate of Education (DOE) have been challenged by both the petitioners and the Management Committee.
  • The total amount calculated by the DOE as payable to the petitioners is ₹ 5,51,53,744/-.
  • Directions have been issued to the DOE in May 2024 to reconsider the calculations based on the representation of the Management Committee.
  • The Competent Authority of the Directorate of Education will communicate the details of the meeting to the petitioner-society in advance.

Decision

  • The Management Committee challenged the final calculations by the DOE through a writ petition.
  • A Coordinate Bench directed the DOE to reconsider the representation of the Management Committee regarding objections to the calculations.
  • An affidavit of undertaking by the General Secretary of the Society is to be filed within ten days.
  • The DOE must grant a hearing to the Management Committee before finalizing objections.
  • Petitioners and their representatives have the liberty to appear before the DOE during the consideration of the representation.
  • A previous Coordinate Bench directed a reconsideration of the representation submitted by the petitioner-society.
  • After DOE’s reassessment, the Management Committee must comply with all directions in the judgment of May 4, 2023, and release 20% of the amount within a week.
  • The remaining amount is to be disbursed in six equal installments over 12 months.
  • Both parties have the opportunity to raise objections to the calculations of the DOE.
  • The DOE should complete the assessment within a specified period and provide a final report to both parties.
  • Upon receipt of the report, the School/Society must release 20% of the amount due within a week.
  • Petitioners and the School/Society have to submit their calculations to the Director of Education within ten days.
  • The Director of Education may engage a Chartered Accountant or an Auditor for examination of calculations.

Case Title: HARSH TAKKAR SINDHWANI Vs. CL BHALLA DAYANAND MODEL SCHOOL, & ORS. (2024:DHC:3798)

Case Number: CONT.CAS(C)-296/2024

Click here to read/download original judgement

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