In a significant legal development, the Delhi High Court recently issued a judgment resolving a calculation dispute between the Directorate of Education and the Management Committee. The case involved a detailed assessment of amounts owed to the petitioners, amounting to ₹5,51,53,744. The Management Committee raised objections to the Directorate of Education’s calculations, leading to a thorough review by the Court. Explore the details of this impactful ruling and its implications for all parties involved.
Facts
- FAC: The cost for engaging the Chartered Accountant/Auditor to calculate the amounts owed under the 6 and 7 CPC shall be borne by the Society.
- The Director of Education has the authority to request necessary records from the School/Society to determine the amounts due and finalize calculations.
- The School/Society is obligated to provide full cooperation in the process of calculating amounts owed.
- The Director of Education is required to complete the exercise of final calculations within eight weeks from receiving calculations from both the Petitioners and the School/Society.
Arguments
- The DOE made calculations without considering that part of the arrears of 6 CPC had already been paid by the Management Committee to the petitioners.
- 20% of the amount has already been released to the petitioners according to the calculation made by the Management Committee.
- The DOE calculated the amounts payable to the petitioners for a period when they hadn’t actually discharged their duties.
- There are other objections raised by the Management Committee in their representation dated 22 December, 2023, which were not considered by the DOE in finalizing the calculations of dues payable to the petitioners.
- The Management Committee has raised objections to the calculations of the DOE on two grounds.
- The DOE will need to conduct a fresh assessment after considering the judgment passed on 01 May, 2024, in W.P.(C) No 6132/2024.
- The Management Committee is not impeded from releasing amounts to the petitioners based on calculations by the Directorate of Education.
- The judgment dated 04 May, 2023 in W.P.(C) No 4542/2021 and other related matters has attained finality, and the respondents must comply with it.
- Dispute regarding 20% of the amount being released to the petitioners by the Management Committee.
- Similar objections made by the Management Committee on payment for periods of non-duty were rejected by the Court in W.P.(C) No 4542/2021.
- Management Committee cannot raise objections that were previously rejected by the Court at this stage.
- DOE has conducted a detailed exercise, determining that the Management Committee owes ₹5,51,53,744 to the petitioners.
- Petitioners were not included in the said petition and thus not given a chance to be heard, despite being necessary parties.
- Mr. Jain, learned ASC, GNCTD assures that the exercise will be carried out by the DOE.
Analysis
- Final calculations of the Directorate of Education (DOE) challenged by both the petitioners and the Management Committee.
- Total amount payable to the petitioners by the DOE is ₹ 5,51,53,744.
- A detailed exercise was conducted by the DOE to calculate the amount payable as per the directions in the judgment.
- The Management Committee has raised objections to the calculations done by the DOE.
- Directions given for the DOE to consider the representation of the Management Committee and reassess its calculations.
- The Competent Authority of the Directorate of Education will inform the petitioner-society in advance about the meeting for consideration of the representation.
Decision
- The Management Committee challenged the final calculations by the DOE through a writ petition.
- The Court directed the DOE to consider the representation of the Management Committee and give an opportunity for a hearing.
- An affidavit of undertaking is to be filed by the Society within ten days.
- The Petitioners and their representatives have the liberty to appear before the DOE during the consideration of the representation.
- A Coordinate Bench of the Court directed the DOE to reconsider the representation submitted by the petitioner-society.
- The Management Committee must comply with all directions given in the judgment dated 04 May, 2023, including releasing 20% of the calculated amount within one week.
- The remaining amounts are to be disbursed in six equal installments within 12 months.
- Both parties are given the opportunity to raise objections to the calculations of the DOE.
- Calculations of amounts due must be submitted to the DOE within ten days, for examination by a Chartered Accountant or Auditor.
Case Title: SUNAINA CHOPRA Vs. CL BHALLA DAYANAND MODEL SCHOOL & ORS. (2024:DHC:3798)
Case Number: CONT.CAS(C)-158/2024
