TANVEER AHMED

KARACHI: The Sindh High Court (SHC) ordered the federal government and Pakistan Steel Mill (PSM) to settle the liabilities of more than 850 retired employees of PSM by May 15, 2020 as per the proposal of Finance Division.

A division bench of the SHC issued these orders in a written order judgment of a petition, filed by more than 850 employees of PSM against non-payment of their gratuities, leaves encashment and provident funds since 2013.

According to order, in response to the show cause notice issued in compliance of order dated 04.02.2020, Secretary Industries and Production, Additional Secretary Cabinet Division, Additional Secretary Finance, Additional Secretary Industries and Production with additional charge of Chief Executive Officer Pakistan Steel Mills (PSM) were present.

However, secretaries’ finance and Cabinet Division were not present although they were directed to appear on Saturday in person.

Replies to the show cause notice have been submitted by the Secretary Industries and Production and the Chief Executive Officer of PSM, and a report has been submitted by Additional Secretary Finance on behalf of the Secretary Finance.

The report filed on behalf of the Secretary Finance, stated that there is no provision in the budget for payment to PSM for post-retirement dues of retired employees of PSM, payments for retired employees of PSM cannot be arranged during the current financial year 2019-2020, and, Finance Division can propose to the Parliament the budgetary allocations for this purpose in the budget of the next financial year. i.e. 2020-2021.

the Court observed that the replies and report submitted were not only unsatisfactory, but were also disappointing as the respondents did not come up with any concrete proposal and/or a timeframe to settle the admitted liability of the petitioners.

Therefore, the said replies to show cause notice and the report submitted by Finance Division are hereby rejected, court stated.

After consulting the Secretary Industries and Production, Additional Secretary Cabinet Division and the Chief Executive Officer PSM, and with their concurrence, Additional Secretary Finance present in Court submitted a hand-written statement, which said, “It is submitted that Finance Division shall make arrange (!) of funds for the compliance of this court order from expected refund of unutilized amount as last date of refund of unutilized amount is 30-April and Finance Division shall try to arrange such funds by 15 May 2020.

Finance Division shall make arrange (!) as much as possible which may be up to 10 percent of present claims of petitioners and remaining amount of claim shall be arrange (!) by budgetary allocations in next budget of next financial year”.

The Court, though was not impressed with the statement as post-retirement benefits of the petitioners, which is their unalienable fundamental right guaranteed by the Constitution, cannot be withheld or delayed on the ground of lack of funds or on any other ground whatsoever, especially when the same is their only source of income after retirement.

However, before ordering attachment of the account(s) I fund(s) of the Federal Government in terms of order dated 04.02.2020, court granted last and final opportunity to the Federal Government and PSM to settle all the dues of the petitioners, subject to the condition that payments shall be made to them by the Federal Government in terms of the above-quoted statement without fail latest by 15.05.2020.

Court ruled that if the commitment/assurance /undertaking mentioned in the statement was not honoured by the Federal Government in letter and spirit, the account(s)/fund(s) of the Federal Government shall be attached forthwith for settlement of the dues of the petitioners.