IN THE COURT OF HON’BLE ILLAKA MAGISTRATE, FARIDABAD
Criminal Complaint No.:_______/2019
IN THE MATTER OF:
Loyal and Target Labour Association …Complainant
Versus
Larsen & Toubro Limited Switch Gear Factory & Ors. …Accused
P.S.: Sarai Khwaja, Faridabad
Sub: Action Taken Report
Hon’ble Sir,
It is most respectfully submitted that the Loyal and Target Labour Association
(Larsen & Tourbo Limited) Faridabad Switch Gear Employees Union, having office at
Mohalla Khattu Patti, Neemka Road, Tigaon District (“Complainant”)
At the outset, it is essential to note that Larsen & Toubro Limited (“Company”)
closed its Faridabad Switch Gear establishment with effect from 05.03.2008 in
accordance with the provisions of Section 25-FFF of the Industrial Disputes Act,
1947. In this regard, the Company had issued a letter dated 02.02.2008 to the
employees, informing that their services would come to an end from the close of
working hours of 05.03.2008 and that they would be paid their dues and compensation
as required under Section 25-FFF of the Industrial Disputes Act, 1947. A copy of the
Letter dated 02.02.2008 from the Company is annexed herewith and marked as
Annexure-1.
1. It is further to be noted that the voluntary deductions were actually made in
pursuance of a Memorandum of Settlement dated 21.10.2003, and the amount in
that respect has already been paid to the employees along with the interest @6%
p.a. It is noteworthy that the aforesaid Memorandum of Settlement dated
21.10.2003 was entered into between the Company and Bhartiya Kamgar Sena
under Section 2(p) r/w Section 18(1) of the Industrial Disputes Act, 1947
wherein a one-time deduction as well as monthly deductions from salaries of the
employees and contribution of the same to a Trust was agreed upon. Thereafter,
Larsen and Toubro Officers & Supervisory Association (“LTOSA”) sent a letter
on behalf of the employees of the company on 12.12.2003, wherein they
expressed the intention to participate in the scheme of deductions and voluntary
contributions to a Trust, namely, L&T Employees Welfare Foundation (“Trust”).
Accordingly, arrangements were made to deduct the amounts from the monthly
salaries and contribute it to the Trust. A copy of the letter dated 12.12.2003 is
annexed herewith and marked as Annexure-2.
2. Further, it is pertinent to note here that one of the employees, Mr. Wasudeo
Tanaji Narvekar, had challenged the validity of the said deductions from the
salaries vide Complaint (ULP) No. 919 of 2003, instituted before the Industrial
Court. The Industrial Court dismissed the said Complaint inter alia on the ground
that the deductions were made on the basis of Settlement Agreements entered
into between a recognised Union and Larsen & Toubro i.e., the Company. As
such, the deductions made by the Company has been duly upheld as being
legally valid by the Industrial Court. A copy of the Order dated 30.08.2011
passed by the Industrial Court in Complaint (ULP) No. 919 of 2003 is annexed
herewith and marked as Annexure-3.
3. In addition to the above, it is also important to mention that in 2009, the Trust
decided that the entire contribution made by the employees as voluntary
deduction under the Memorandum of Settlement dated 21.03.2003 be returned to
them along with interest @6% p.a and accordingly, the said beneficial interest
was cancelled by the Trust in three tranches i.e., 28.02.2009, 31.12.2009 and
30.11.2010.
4. In regards of the closure of the Faridabad Switch Gear establishment, it may also
be noted that all the eligible employees and workmen were paid their dues and
compensation in accordance with Section 25-FFF of the Industrial Disputes Act,
1947, despite which the Association of employees viz. L&T Employees
Association, Faridabad preferred a dispute before the Conciliation Officer,
Faridabad raising certain demands. During the pendency of the dispute before
the Conciliation Officer, the disputing parties decided to amicably settle the
dispute. In furtherance of the aforesaid discussion, on 04.02.2010, a settlement
was arrived at by and between the representatives of the Company and the
workers, in compliance of Section 12(3) of the Industrial Disputes Act, 1947.
5. In the settlement dated 04.02.2010, it was agreed that the Company would make
ex gratia payments to the employees in addition to their legal dues and two
equated instalments of Rs. 3,75,000/- were made. Thus, a full and final
settlement of all claims was arrived at between the parties in accordance with the
Settlement Agreement dated 04.02.2010. Despite the aforesaid settlement, in
February 2018 i.e., almost 8 years after the settlement, certain former workers of
the Company which included the representative of the Complainant herein, Mr.
Hari Kishan, filed a complaint before the Assistant Labour Commissioner,
Circle-1, Faridabad (“ALC”) seeking to reopen the disputes which were already
settled between the parties. The Company duly filed its response to the said
complaint vide communication dated 26.03.2018. On 27.03.2018, the matter was
heard by the Ld. ALC and the complaint was closed.
6. Thereafter, in October 2018, another vexatious complaint before the Ld. ALC by
Mr. Hari Kishan and certain people, seeking to reopen the disputes. On
05.11.2018, the Company duly filed its reply to the said complaint.
7. It is also worth noting here that certain former workers of the Company,
including Mr. Hari Kishan, started holding illegal dharnas at the premises of the
Company trying to disrupt the peaceful functioning of the Company. In that
respect, the Company filed a civil suit before the Sr. Civil Judge, Faridabad
District Court (“Trial Court”), bearing Civil Suit No. 428 of 2019 seeking
permanent injunction against the former workers, thereby restraining and
prohibiting them from holding any demonstrations, dharnas, gheraos, slogan
shouting, etc before the premises of the Company. The said suit is still pending
adjudication before the Court.
8. Notably, Mr. Hari Kishan, who is also Defendant No. 3 in Civil Suit No. 428 of
2019 pending before the Sr. Civil Judge, Faridabad District Court, stopped
appearing before the Ld. Trial Court despite filing a written statement, because
of which the Trial Court, vide its Order dated 25.08.2022, decided to proceed ex
parte against Mr. Hari Kishan i.e., Defendant No. 3 and certain other defendants
therein. A copy of the Order dated 25.08.2022 passed by the Ld. Sr Civil Judge,
Faridabad District Court in Civil Suit No. 428 of 2019 is annexed herewith and
marked as Annexure-4.
9. At this stage, it is also essential to mention that a writ petition titled ‘Loyal
Tigers Welfare Association v. Union of India & Ors.’ bearing W.P. No. 8870 of
2017 was filed before the Hon’ble High Court of Bombay, wherein allegations in
respect of the deducted amounts from wages and salaries of the workers and
employees were yet again raised against Larsen & Toubro Ltd. However, the said
writ petition was dismissed by the Hon’ble Bombay High Court vide its Order
dated 04.04.2022.
10. From the above, it is clear that the Complainant and its representatives are in the
habit of filing vexatious complaints across numerous forums in attempt to
reagitate an issue which has already been settled between the parties as far back
as in 2010, after the Faridabad Switch Gear establishment was closed in due
compliance of the provisions of the Industrial Disputes Act, 1947. The
Complainant and its representatives have aimlessly created multiplicity of
proceedings and failed to succeed in any of them for raising unfounded and
meritless allegations.