In a recent judgment by the Delhi High Court, the dispute resolution process between the DAV College Managing Committee and the Directorate of Education has taken a significant turn. The court’s decision will have far-reaching implications on the ongoing legal battle between the two parties. Stay informed on the latest developments in this case which could reshape the landscape of educational institution governance. #LegalCase #DelhiHighCourt #DisputeResolution #ManagementCommittee #DirectorateOfEducation
Facts
- The Chartered Accountant/Auditor engaged for the calculations cost will be covered by the Society.
- The Director of Education is allowed to request necessary records from the School/Society for examination purposes.
- The School/Society is required to provide full cooperation in the process.
- The Director of Education must complete the final calculations and report within eight weeks from receiving calculations from both parties.
Arguments
- DOE made calculations without considering arrears already paid to petitioners by Management Committee.
- 20% of the arrears amount has been released to petitioners as per a previous judgment.
- DOE calculated amounts for a period when petitioners were not fulfilling their duties.
- Management Committee raised objections in a representation dated 22 December, 2023 which were not taken into account by the DOE.
- Management Committee objected to the calculations on two grounds.
- DOE needs to conduct a fresh assessment considering the judgment passed on 01 May, 2024 in W.P.(C) No 6132/2024
- The Management Committee has no impediment to release amounts to the petitioners based on calculations by the DOE.
- Judgment dated 4th May 2023 in W.P.(C) No 4542/2021 has attained finality and the respondents must comply.
- Dispute raised by counsel for the petitioners regarding 20% amount already released to them by the Management Committee.
- Objections of Management Committee about payment during non-duty period were not entertained by the Court in W.P.(C) No 4542/2021.
- Objections cannot be raised belatedly by Management Committee.
- DOE has conducted a detailed exercise, determining Management Committee’s liability of ₹5,51,53,744 to the petitioners.
- Petitioners were not heard in the said exercise despite being a necessary party.
- Directorate of Education assures that the exercise will be carried out.
Analysis
- The final calculations of the Directorate of Education (DOE) regarding the balance payment were challenged by both the petitioners and the Management Committee.
- A detailed exercise was conducted by the DOE, resulting in a total amount payable to the petitioners of ₹5,51,53,744.
- The petitioners raised objections to the calculations made by the DOE, indicating a lack of clarity and ambiguity in the process.
- The DAV College Managing Committee has not disbursed the directed amounts to the petitioners as per the court’s instructions.
- Directions have been given to the DOE to reassess its calculations based on representations from both the petitioners and the Management Committee.
- The Competent Authority of the Directorate of Education is required to inform the petitioner-society in advance about the meeting to consider the representations.
Decision
- The DOE has been directed to reconsider the representation submitted by the petitioner-society regarding the arrears of the 6th and 7th Central Pay Commission.
- The Management Committee shall comply with all directions given in the judgment dated 04 May, 2023, including the release of 20% of the calculated amount within one week of finalization.
- The remaining outstanding amounts are to be disbursed to the Petitioners in six equal installments within 12 months.
- Both petitioners and School/Society are to furnish their respective calculations of amounts due within ten days to the Director of Education.
- The Director of Education will review the calculations, and may engage a Chartered Accountant or an Auditor for assistance.
- After finalizing the calculations, the School/Society must release 20% of the due amounts within one week.
- Equal opportunity shall be provided to both parties to raise objections to the calculations of the DOE.
- The final report containing calculations shall be shared with both the Petitioners and School/Society, and 20% due amount must be released within a week of receiving the report.
Case Title: ASHA MEHNDIRATTA Vs. CL BHALLA DAYANAND MODEL SCHOOL & ORS. (2024:DHC:3798)
Case Number: CONT.CAS(C)-165/2024
