STEEL AUTHORITY OF INDIA LTD. versus CHOUDHARY TILOTAMA DAS & ORS.

STEEL AUTHORITY OF INDIA LTD. versus CHOUDHARY TILOTAMA DAS & ORS.

The SAIL Scheme for Leasing of Houses to Employees, 2002 was valid for only three months and applied only to regular/serving employees, not ex-employees such as the respondents. No legal right was vested in ex-employees for allotment of quarters on long-term lease, and subsequent circumstances (including increased production and shortage of quarters) show that granting such leases is infeasible. The High Court order compelling the appellant to allot quarters on long-term lease is set aside.

Parties
Appellant: Steel Authority of India Ltd.; Respondents: Choudhary Tilotama Das & Ors.
Jurisdiction
India
Judgment Date
12 February 2018
Procedural Posture
Civil Appeal / Appeal From High Court Order
Outcome
Appeal allowed; High Court order set aside.
Legal Topics
Voluntary Retirement Scheme, Allotment of Quarters, Long Term Lease Scheme
Service Law Voluntary Retirement Scheme Allotment of Quarters Long Term Lease Scheme

Case Brief

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Parties

Steel Authority of India Ltd.

Appellant

Choudhary Tilotama Das & Ors.

Respondents

Procedural Posture

Civil Appeal / Appeal From High Court Order

Legal Issues

  1. 1 Whether ex-employees who opted for VRS have a right to be considered for allotment of quarters on long-term lease basis under the SAIL Scheme for Leasing of Houses to Employees, 2002

Ratio Decidendi

The SAIL Scheme for Leasing of Houses to Employees, 2002 was valid for only three months and applied only to regular/serving employees, not ex-employees such as the respondents. No legal right was vested in ex-employees for allotment of quarters on long-term lease, and subsequent circumstances (including increased production and shortage of quarters) show that granting such leases is infeasible. The High Court order compelling the appellant to allot quarters on long-term lease is set aside.

Court Disposition

Appeal allowed; High Court order set aside.

Orders

  • Respondents or their legal heirs allowed to remain in occupation of quarters for 33 months from now, after which they must hand over vacant and peaceful possession to RSP.
  • Appeals disposed of in above terms.