Allahabad High Court Imposes ₹1 Lakh Cost On SBI For Sitting On Compassionate Appointment Claim
The Allahabad High Court has imposed a cost of Rs. 1 lakh on the State Bank of India for not deciding the application/ representation for compassionate appointment for 5 years.
While dealing with a writ petition where a son had approached the Court seeking direction to the Bank to decide his application for compassionate appointment, Justice Ajay Bhanot held,
“Costs of Rs. 100,000/- are imposed upon the respondent bank for failing to decide the representation of the petitioner in an expeditious time frame in light of the charter of their duties.”
Petitioner's father died in harness in 2019, petitioner applied for compassionate appointment through his mother in 2020. However, despite repeated representation, no decision was taken by the Bank till 2025. Thereafter, petitioner approached the High Court.
Petitioner pleaded that revised scheme promulgated on 16.03.2021 which provided the time limit of 6 months from the death of the employee for moving compassionate application, was applicable to petitioner as the first application was filed by him within 6 months of his father's death.
The Court observed that there are two types of delays in compassionate appointment: first, delay in filing the application before the authority, and second, delay in prosecuting the same. It further held that laches is when the aggrieved fails to invoke writ jurisdiction within time for decision of the application for compassionate appointment within an expeditious time frame.
“Delay in filing of the application or apathy in prosecution of the case before the Court for grant of compassionate appointment has not been countenanced by the Courts. Delay in filing of the application for appointment, or laches in instituting a writ petition before the Court raises a presumption that financial crises being faced by the family of the deceased has ceased to exist.”
The Court held that the revised scheme gave a leeway, in terms of time, to the progeny of the deceased who was pursuing higher education to apply for compassionate appointment, but since the petitioner, after completing his studies, was pursing family litigation, it could be presumed that the family's immediate financial need may have ceased to exist.
“The delay in approaching the Court was deliberate choice made by the petitioner and not a fait accompli forced by penurious circumstances. On the contrary as seen earlier the petitioner had busied himself in litigation for long years with his family members. He was always aware of his rights and possessed the wherewithal to approach this Court as well. In these circumstances the laches on the part of the petitioner in approaching this Court are not liable to be condoned. The writ petition is barred by delay and laches.”
Holding that misplaced sympathy and over liberal approach cannot be allowed in matters of compassionate appointment, the Court dismissed the writ petition on grounds of delay and laches on part of the petitioner as though he was aware of his rights, he approached the Court late. However, the Court also imposed a cost of Rs. 1 lakh on State Bank of India for not deciding the application expeditiously.
Case Title: Prinsu Singh v. Union Of India And 2 Others