Pandey Ujjwal Anand vs Minwool Rock Fibres Ltd on 30 April, 2026

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    Delhi District Court

    Pandey Ujjwal Anand vs Minwool Rock Fibres Ltd on 30 April, 2026

           IN THE COURT OF DR. SUGANDHA AGGARWAL,
         DISTRICT JUDGE-04, PATIALA HOUSE COURTS, NEW
                              DELHI
    
                                    CIVIL SUIT NO. 356 OF 2020
                                    DLND010049072020
    
    
    IN THE MATTER OF:
    Pandey Ujjwal Anand
    R/o WZ-31A, Gali No. 13,
    Krishna Park, Tilak Nagar,
    New Delhi-110018
                                                                          ...Plaintiff
    
                                          Versus
    
    Minwool Rock Fibres Ltd.
    Through its Managing Director
    Corporate Office at:
    8-2-598/A/1/15, Plot No. 15,
    Road No. 10, Banjara Hills,
    Hyderabad-500034
                                                                        ...Defendant
    
    
    Date of filing the suit                       :      15.10.2020
    Date when reserved for judgment               :      25.03.2026
    Date of Judgment                              :      30.04.2026
    
                                  JUDGMENT
    

    1. This judgment shall decide the suit for recovery of sum of Rs.
    29,67,212/- filed by the plaintiff. Initially, the present suit was filed
    by the plaintiff under Order 37 of Code of Civil Procedure.
    However, the present suit was treated as ordinary suit for recovery
    vide order dated 28.10.2020.

    Digitally
    signed by
    SUGANDHA
    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 1 of 28 SUGANDHA AGGARWAL
    AGGARWAL Date:

    SPONSORED

    2026.04.30
    10:11:52
    +0530
    PLEADINGS

    2. The facts as averred in the plaint are that the plaintiff was
    appointed as Regional Manager-North for the defendant company.
    As per the terms of employment, the plaintiff joined his duty with
    effect from 15.01.2014 and his place of work was in Delhi. Plaintiff
    was issued a formal employment letter dated 18.02.2014 confirming
    his employment with the defendant company.

    3. As per the pay package, the gross salary of the plaintiff was
    Rs. 97,385/- per month and the total monthly payable salary was
    fixed at Rs. 1,04,333/- which was inclusive of other benefits. The
    defendant company opened the salary account for the plaintiff in
    UCO Bank, Naraina, Delhi, bearing account no. 102370110044094.

    4. It is further stated that since April 2014, the defendant
    company was not paying full monthly salary to the plaintiff. The
    plaintiff has also given the details of the salary which was payable
    and the actual amount which was paid from 27.03.2014 till
    13.01.2017. It is further stated that as on 01.12.2017, a total sum of
    Rs. 29,67,212/- was due to be paid towards the arrears of salary.
    Plaintiff approached the management of the defendant company
    several times for payment of the pending salary amount each and
    every time he was assured that the dues will be paid in some time.

    5. It is further contended that on 15.11.2017 plaintiff was
    working in his office at Delhi along with other employees. At
    around 12 noon, officials from Tata Finance along with police
    officials came to the office of defendant company and took over the
    possession of the office in compliance of a court order. It is stated
    that the said fact was duly intimated to the defendant company and

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 2 of 28
    Digitally signed
    by SUGANDHA
    AGGARWAL
    SUGANDHA
    Date:
    AGGARWAL 2026.04.30
    10:12:01
    +0530
    it seems that the company was already aware about it. Since then,
    the plaintiff had become jobless and subsequent to this event also
    plaintiff requested the defendant company to clear his arrears of
    salary.

    6. It is further stated that, as the salary remained unpaid, plaintiff
    issued a legal notice dated 01.11.2018 thereby calling upon the
    defendant company to clear the arrears of salary amounting to Rs.
    29,67,212/- along with interest @18% p.a. within 30 days of the
    receipt of legal notice. Defendant replied to the same vide reply
    dated 27.12.2018. It is stated that instead of making the balance
    payment, defendant raised false and frivolous grounds that the
    plaintiff was not punctual and regular in attending the office or that
    the plaintiff has not discharged his duties resulting in huge losses to
    the defendant company. It is contended that the plaintiff regularly
    attended the office and all the meetings. The attendance register
    which was maintained in the office and was also sent to the head
    office clearly proves the same.

    7. It is further contended that the plaintiff has personally visited
    the clients such as BHEL, L&T, LANKO etc. It was the defendant
    company who took advances from the clients but could not supply
    the material on time or the material supplied was defective. It is
    stated that owing to such conduct of the defendant company, losses
    were incurred but the same cannot be attributed to the plaintiff.

    8. As the arrears of salary remained unpaid, plaintiff was
    constrained to file the present suit seeking recovery of sum of Rs.
    29,67,212/-.

    9. The defendant filed the written statement through Sh. Arjun

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 3 of 28
    Digitally signed
    by SUGANDHA
    AGGARWAL
    SUGANDHA
    AGGARWAL Date:

    2026.04.30
    10:12:11
    +0530
    Badruka who was the authorized representative of the defendant
    company. He was duly authorised vide the Board Resolution dated
    15.05.2016.

    10. The defendant has averred that the suit is barred by limitation
    as the same has been filed on 14.10.2020 claiming arrears of rent
    from February 2014 to November 2017. It is further submitted that
    the suit is without any cause of action, the plaintiff has never raised
    any objection or demanded the unpaid salary for the entire service
    tenure of three years and it is only after he left his job that he filed
    the present suit.

    11. It is submitted that the plaintiff has not approached the court
    with clean hands as he has concealed an office order dated
    27.02.2014 issued by the defendant company to all its employees.
    By the said office order, the company has reduced the annual salary
    of all the employees by 50% and also offered exemption from
    serving notice period to the employees who did not wish to accept
    the said reduction. It is further stated that despite issuance of this
    office order, plaintiff chose to continue with the employment in the
    defendant company.

    12. It is further stated that plaintiff never worked as expected nor
    gave outstanding performances. In fact, he failed to implement
    defendant’s policies and rules which resulted in huge losses to the
    defendant company. The plaintiff was irregular in attending the
    office and out of the total service period of three and a half years,
    the plaintiff remained absent for approximately fourteen months.
    Defendant has also pointed out various irregularities committed by
    the plaintiff while performing his duties as an employee of the

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:12:21 +0530
    defendant company. It is stated that the plaintiff failed to collect the
    payments from various customers which remained pending. It is
    stated that the plaintiff also engaged himself in other businesses and
    occupations which was contrary to the rules and regulations of the
    defendant company.

    13. It is submitted that in view of the above conduct of the
    plaintiff, the defendant company suffered consistent business losses
    and therefore in fact it is the defendant company which is entitled to
    recover losses from the plaintiff and is not liable to pay any
    payment to the plaintiff. It is contended that in fact the office at the
    Naraina, New Delhi was also mortgaged against some business
    loans for which also the plaintiff was responsible. He was the
    incharge for management of the entire office situated at Naraina,
    New Delhi but due to his consistent absent from the job, huge losses
    were incurred. In fact when the representatives of the financial
    institution came to take the possession, the plaintiff was not found
    present in the office and he was forcibly called to the office.

    14. Besides this, the fact that the plaintiff was employed as
    Regional Manager-North w.e.f. 15.01.2014 is not disputed.
    However, it is reiterated that in view of the above-mentioned
    submissions, the defendant company is not liable to pay any amount
    towards the due of the salary.

    REPLICATION

    15. In his replication, the plaintiff denied the averments of the
    written statement while simultaneously reiterating and reaffirming
    the contents of the plaint.

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    Digitally signed
    by SUGANDHA

    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:12:30 +0530
    ISSUES

    16. After completion of the pleadings and from material on
    record, following issues were framed on 28.11.2022:-

    Issue no. 1: Whether the plaintiff is entitled for recovery of sum of
    Rs. 29,67,212/- as prayed in the prayer clause (a) of the plaint? OPP
    Issue no. 2: Whether the plaintiff is entitled to interest as prayed in
    the prayer clause (a) of the plaint? OPP
    Issue no. 3: Whether the suit is barred by limitation? OPD
    Issue no. 4: Whether the suit is without cause of action and is liable
    to be dismissed as such? OPD

    PLAINTIFF’S EVIDENCE

    17. In order to prove its case, plaintiff examined himself as PW-1.
    He has filed his evidence by way of affidavit in examination-in-
    chief which is Ex. PW1/A wherein he has reiterated the contents of
    plaint on oath. PW-1 has relied upon various documents i.e.
    (1) Appointment letter dated 18.02.2014 as Ex.PW1/1.
    (2) Letter dated 04.01.2014 as Ex.PW1/2.

    (3) Copy of pass book of plaintiff as Ex.PW1/3 (OSR).
    (4) Legal notice dated 01.11.2018 as Ex.PW1/4.
    (5) Reply of the legal notice by the defendant dated 27.12.2018 as
    Ex.PW1/5.

    (6) Copy of salary account opened by defendant as Mark A.

    18. PW-1 was cross-examined on behalf of defendant by Sh.
    Vivek Munshi, Ld. counsel and then discharged on 07.12.2023. No
    other witness was examined by the plaintiff. Thereafter, PE was

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:12:42 +0530
    closed on 07.05.2024.

    DEFENDANT’S EVIDENCE

    19. Defendant company examined its authorised representative Sh.
    Arjun Badruka as DW-1. DW-1 has tendered his evidence by way of
    affidavit which is Ex.DW1/A. DW-1 has relied upon documents
    which are as follows:

    (1) Board resolution dated 15.05.2016 as Mark DA.
    (2) Circular email dated 27.02.2014 as Ex. DW-1/2.
    (3) Salary payable ledger as Ex. DW-1/3.
    (4) Certificate under section 65-B of the Indian Evidence as Ex.

    DW-1/4.

    20. DW-1 was cross-examined on behalf of plaintiff by Sh. Vivek
    Singh, Ld. Counsel and then discharged. No other witness was
    examined by the defendant. Thereafter, defendant’s evidence was
    closed on 12.08.2024 and the matter was fixed for hearing of final
    arguments vide order dated 12.08.2024.

    ARGUMENTS

    21. Written arguments have been filed on behalf of both the
    parties. Arguments have been addressed in the court also.

    22. Ld. Counsel for the plaintiff has argued that the suit is well
    within limitation as the limitation period shall start running from
    30.11.2017 when the salary was to be paid last. It is further argued
    that admittedly on 15.11.2017 the plaintiff was called in the office to
    assist in the legal proceedings. This fact has been admitted by DW-1
    in his cross-examination which clearly shows that the plaintiff was

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:12:51 +0530
    working with the defendant in November, 2017 also.

    23. Ld. Counsel has further argued that as per the schedule placed
    on record by the plaintiff, the defendant was making part payment
    and therefore, there is continuous cause of action in favour of the
    plaintiff and limitation period shall be computed accordingly.

    24. It is further argued that the alleged circular by which salary of
    all the employees was reduced to 50% is false and baseless because
    subsequent to the date of the said circular, complete salary was
    disbursed to the plaintiff on few occasions. Further, the plaintiff
    shall be given advantage of the exemption of limitation period
    owing to Covid-19 Pandemic and in these circumstances the suit
    filed by the plaintiff is within limitation.

    25. In the written submissions it is stated that the appointment
    letter Ex. PW-1/1 along with offer letter Ex. PW-1/2 are admitted by
    the defendant and now the defendant is trying to mislead the Court
    by making wrong submissions with regard to Ex. PW-1/2.

    26. It is further submitted that while replying to the legal notice,
    the defendant has neither mentioned about any circular regarding
    reducing the salary to 50% nor any such averment that the dues
    were not paid to the plaintiff intentionally. This clearly shows that
    there was no such circular. It is further argued on behalf of the
    plaintiff that the defendant has examined only one witness who has
    not filed any attendance register to show that the plaintiff was
    irregular in performing his duties as alleged.

    27. Per contra, Ld. Counsel for the defendant has argued that the
    suit filed by the plaintiff is barred by limitation as the plaintiff is
    seeking arrears of salary for the period from February, 2014 till

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 8 of 28
    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:13:01 +0530
    November, 2017 and the present suit has been filed on 14.10.2020.

    28. It is further stated that the suit is without any cause of action
    and the plaintiff has concealed material facts from the Court. While
    the plaintiff was in service, office order Ex. DW-1/2 was issued and
    circular was also issued to the employees wherein the salary was
    reduced to 50%. Therefore, the plaintiff did not raise any demand
    while being in service and after leaving the employment, the
    plaintiff is trying to take advantage of his letter of appointment.

    29. It is further stated that the plaintiff was offered the position of
    Regional Manager (North) and was assured that he will be
    maximizing the business of the defendant company, however the
    plaintiff was negligent in discharging his official duties and was not
    even attending the office regularly. The plaintiff has failed to even
    collect the payment from several customers such as LANCO, BHEL
    and L&T etc.

    30. It is further contended that PW-1/plaintiff has admitted in his
    cross-examination that the last salary was received by him on
    13.11.2017 and he has filed the present suit on 15.10.2020 seeking
    arrears of salary from January, 2014 to November, 2017 which is
    clearly barred by limitation. Ld. Counsel for defendant has relied
    upon following judgments passed by Hon’ble Apex Court in support
    of his contentions : –

    (A) Union of India & Others Vs. Tarsem Singh,
    SLP (C) Nos. 3820-3821 of 2008, decided on
    13.08.2008.

    (B) Bhagirath Prasad Sharma Vs. State of Uttar-

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 9 of 28
    Digitally signed
    by SUGANDHA

    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:13:12 +0530
    Pradesh, 2024:AHC:111436 A.F.R,
    decided on 09.07.2024.

    (C) Shishuvihar Shaishanik Sanstha Chalisgaon &
    Another Vs. State of Maharashtra, W.P. No.
    8966 of 2022, decided on 21.10.2024.

    FINDINGS

    31. I have considered the rival contentions and have perused the
    record. My issue-wise findings are as follows:

    Issue no. 1: Whether the plaintiff is entitled for recovery of sum of
    Rs. 29,67,212/- as prayed in the prayer clause (a) of the
    plaint? OPP
    Issue no. 3: Whether the suit is barred by limitation? OPD
    Issue no. 4: Whether the suit is without cause of action and is liable
    to be dismissed as such? OPD

    32. The onus to prove issue no.1 was upon the plaintiff, whereas
    the onus to prove issues no.3 and 4 was upon the defendant.
    32.1 The findings on these issues are interconnected and
    overlapping, accordingly, these issues are taken up together for
    adjudication.

    32.2 The plaintiff has averred that he was employed as Regional
    Manager, North, vide appointment letter dated 04.01.2014, by the
    defendant company at a fixed CTC of Rs.12.52 lakhs per annum.
    The plaintiff has further averred that he joined his duties with the
    defendant company on 15.01.2014 and a formal appointment letter
    dated 18.02.2014 was thereafter issued to him.

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 10 of 28
    Digitally signed
    by SUGANDHA
    AGGARWAL

    SUGANDHA
    Date:
    AGGARWAL 2026.04.30
    10:13:20
    +0530
    32.3 These facts have not been disputed by the defendant. Thus,
    the fact that the plaintiff was employed with the defendant
    company as Regional Manager, North, on the terms and conditions
    contained in the appointment letter stands duly established.
    32.4 The plaintiff has further averred that, as per the appointment
    letter, his gross salary was Rs.97,385/- per month. However, since
    joining the defendant company, he was not paid his full salary. The
    plaintiff has furnished the break-up of the salary received by him
    from 2014 to 2017. He has further averred that he had been
    continuously pursuing the defendant for payment of his outstanding
    salary dues, which however remained unpaid.
    32.5 The defendant has not disputed that the plaintiff was
    appointed with a salary of Rs.97,385/- per month. It has been
    averred that, owing to financial constraints, the defendant company
    issued an office circular dated 27.02.2014 whereby all employees
    were informed that their salaries would be reduced by up to 50%.
    By way of the said circular the employees were also given an option
    to quit from the service, alongwith the exemption from serving the
    notice period. It is the contention of the defendant that, despite the
    said circular, all employees, including the plaintiff, chose to
    continue in employment. It is thus submitted that in these
    circumstances, the salary of the plaintiff stood reduced by upto
    50%, and that the plaintiff has concealed this material fact.
    32.6 It is further contended by the defendant that the plaintiff was
    irregular in attending his duties and, out of total tenure of three and
    half years, he remained absent for about fourteen months. It is also
    alleged that the plaintiff was not diligent in the discharge of his

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 11 of 28
    Digitally signed
    by SUGANDHA
    AGGARWAL
    SUGANDHA
    AGGARWAL Date:

    2026.04.30
    10:13:28
    +0530
    duties.

    32.7 It is the case of the defendant that the company was incurring
    losses, and the plaintiff was appointed as the Regional Manager,
    North, on the basis of his assurance that he would enhance the
    business of the company in the Northern Region. It is further stated
    that the plaintiff failed to recover the outstanding dues from several
    customers of the defendant company, including LANCO, BHEL,
    L&T, which allegedly resulted in substantial financial losses to the
    defendant. On this basis, it is contended that the defendant company
    is entitled to recover damages from the plaintiff and that the plaintiff
    is not entitled to recover any salary dues.
    32.8 It is further contended by the defendant that, in view of the
    aforesaid facts the present suit is without any cause of action. It is
    also averred that the suit, having been filed on 14.10.2020, seeks
    recovery of alleged salary arrears for the period 2014 to 2017, and is
    thus barred by limitation having been instituted beyond the
    prescribed period of three years.

    32.9 The plaintiff has sought recovery of arrears of salary. In
    order to succeed, the plaintiff is required to establish that he was
    employed with the defendant company, the agreed quantam of
    salary, and that the said amount was not paid to him. These
    foundational facts stand admitted by the defendant. Infact, the
    continuance of the plaintiff in the service of the defendant company
    till November 2017 stands duly established, inter-alia, the
    testimony of DW-1.

    32.10 The defendant has resisted the claim of the plaintiff primarily
    on the grounds that, by virtue of the office circular dated

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:13:37
    +0530
    27.02.2014, the salaries of all the employees were reduced by upto
    50%, and further, that the plaintiff was not diligent in discharge of
    his duties and was irregular in attending office.
    32.11 As the defendant has pleaded all the aforementioned facts,
    therefore the onus was upon the defendant to prove the same. The
    principles of burden to prove a particular fact is contained in Section
    104
    and 106 of Bhartiya Sakshya Adhiniyam, 2023. These
    provisions are reproduced herein as under:

    “104. Burden of proof.–Whoever desires any Court to give
    judgment as to any legal right or liability dependent on the
    existence of facts which he asserts must prove that those facts
    exist, and when a person is bound to prove the existence of
    any fact, it is said that the burden of proof lies on that person.

    Illustrations.

    (a) A desires a Court to give judgment that B shall be
    punished for a crime which A says B has committed. A must
    prove that B has committed the crime.

    (b) A desires a Court to give judgment that he is entitled to
    certain land in the possession of B, by reason of facts which
    he asserts, and which B denies, to be true. A must prove the
    existence of those facts.

    106. Burden of proof as to particular fact.–The burden of
    proof as to any particular fact lies on that person who wishes
    the Court to believe in its existence, unless it is provided by
    any law that the proof of that fact shall lie on any particular
    person.

    Illustration.

    A prosecutes B for theft, and wishes the Court to believe that
    B admitted the theft to C. A must prove the admission. B
    wishes the Court to believe that, at the time in question, he
    was elsewhere. He must prove it.

    xxxx”

    32.12 Therefore, in view of Sections 104 and 106 of the Bhartiya
    Sakshya Adhiniyam, 2023, the burden squarely lay upon the
    defendant to establish that an office circular dated 27.02.2014 was

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:13:47 +0530
    issued, whereby the salaries were reduced by up to 50%. It was
    further incumbent upon the defendant to prove that the plaintiff was
    irregular in attending his duties and that he failed to discharge his
    functions diligently. The defendant has taken a plea that the salary
    of the plaintiff was reduced by upto 50% vide office circular dated
    27.02.2014. In the written statement, it is stated that the said office
    circular was issued to all employees and was never challenged by
    the plaintiff. However, the defendant has failed to elaborate the
    mode and manner of circulation of the said circular to its
    employees.

    32.13 The plaintiff, who examined himself as PW-1, has
    categorically denied receipt of any such circular and has stated that
    no such circular was ever communicated to him. In order to prove
    the issuance and communication of the office order dated
    27.02.2014, the defendant has examined Sh.Arjun Badruka as
    DW-1.

    32.14 DW-1 has reiterated in his evidence that the office order
    dated 27.02.2014 was issued. However, in his affidavit in
    examination-in-chief, DW-1 has not disclosed the mode of
    circulation of the said circular to the employees. It has not been
    clarified whether the said circular was served individually upon
    each employee or was circulated through any common platform,
    such as group email or shared communication channel.
    32.15 It is only during cross-examination that DW-1 disclosed that
    the circular was circulated via email dated 27.02.2014 addressed to
    “[email protected].” It has been stated that the said email
    ID is accessible to all the employees as well as the management of

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    Digitally signed
    by SUGANDHA
    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:13:55 +0530
    the defendant company. Thus, it is evident that the said circular was
    not individually served upon each employee.
    32.16 Further the defendant has merely placed on record a printout
    of the alleged circular, which has been identified by DW-1 as Ex
    DW-1/2. However, the said printout does not bear any endorsement
    or authentication to establish that the circular was infact issued on
    27.02.2014. As per law, a printout taken from a computer system is
    required to be supported by a certificate under Section 63 of
    Bhartiya Sakshya Adhiniyam, 2023 (in the present case under
    Section 65 B of Indian Evidence Act), issued by a competent
    person, certifying the manner of its production and the correctness
    of its contents by a person who had taken out the printout thereby
    authenticating the correctness of the printout.
    32.17 As per the record, the defendant has placed on record a
    supporting certificate, which has been identified by DW-1 as Ex
    DW-1/4. However, the same was objected to on behalf of the
    plaintiff on the ground that it was not filed along with the written
    statement and was brought on record only at the stage of recording
    evidence, without seeking leave of the court. The said objection
    was kept open to be adjudicated at the final stage.
    32.18 During the course of trial the defendant has failed to disclose
    any justification as to why the certificate Ex DW-1/4 was not filed
    on record along with the written statement particularly when the
    printout Ex DW-1/2 has already been filed at that stage. Even
    otherwise, assuming the said certificate is taken into consideration
    the same does not satisfy the legal requirements to establish the
    genuineness of Ex DW-1/2.

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 15 of 28
    Digitally signed
    by SUGANDHA

    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:14:04 +0530
    32.19 Ex DW-1/2 purports to be an office circular dated
    27.02.2014, whereas the certificate Ex DW-1/4 reads that the
    printout was generated on 01.02.2026. Further, the certificate
    clearly states that it has been issued by DW-1, however, in Clause
    (C) thereof, DW-1 admits that he is not the person who has taken
    the printout of the email annexed with the written statement, and
    that the same was taken by some office staff.

    32.20 Moreover, DW-1 has admitted in his cross-examination that,
    as per the office circular Ex- DW-1/2, the reduction of salary by 50%
    was to take effect from 01.04.2014. The statement of salary placed
    on record would show that the plaintiff was paid a sum of
    Rs.97385/-, in the month of June 2014. Infact, a specific suggestion
    to this effect was put to PW-1 during his cross-examination. The
    relevant portion of the cross-examination reads as under:-

    I have not filed any application for calling the said
    attendance record. It is correct that I had hired for a net salary
    of Rs.97000/- approximately. I have received the full salary in
    the month of June 2014.

    At this stage, the plaintiff is shown the para no.5 and 6 of
    the plaint alongwith the para no.4 and 5 of affidavit in evidence.

    “Wherein it has been stated that the plaintiff has not received the
    full salary since the commencement of the job”.

    Q. I put it to you that whether the averments in the para no.5
    and 6 of the plaint or para no.4 and 5 of the affidavit in evidence
    are correct?

    Ans. I have received the full salary only twice during the entire
    employment.

    32.21 A reading of the aforesaid testimony shows that PW-1
    stated that he received the full salary in the month of June 2014 and
    admitting this fact to be correct he was confronted by the defendant

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    AGGARWAL
    SUGANDHA
    AGGARWAL Date:

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    with his earlier statement of the plaint claiming that he never
    received the full salary. This clearly establish that the defendant
    admitted that in June 2014 plaintiff has received net salary of
    Rs.97,385/- which was the complete salary. This admission assumes
    significance inasmuch as it established that, at least for the month of
    June 2014, the plaintiff was paid the complete salary of
    approximately Rs.97,385/-. This position is clearly inconsistent with
    the stand of the defendant that, pursuant to the alleged office
    circular (Ex.DW1/2), effective from 01.04.2014, the salaries of
    employees stood reduced by 50%.

    32.22 Thus, the conduct of the defendant itself belies its plea
    regarding uniform reduction of salary, and casts serious doubt on the
    genuineness and implementation of the alleged circular.

    Accordingly, the defendant has failed to prove that the salary of the
    plaintiff stood reduced in terms of any validly issued and duly
    communicated office order.

    32.23 The defendant has further averred that out of the total tenure
    of three and half years, the plaintiff remained absent from duty for
    about fourteen months.

    32.24 The onus to prove the aforesaid plea was upon the defendant.
    The defendant being the employer, would be in possession of the
    attendance record of plaintiff. Despite having taken a categorical
    plea that the plaintiff was irregular in attending office and despite
    examining DW-1, the defendant has failed to place on record the
    attendance register or any documentary evidence in this regard.
    32.25 Infact, a suggestion was put during the cross-examination of
    PW-1 by the defendant that he had not filed any attendance register
    on record. In response, PW-1 stated that he was not in possession of

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    SUGANDHA AGGARWAL
    AGGARWAL Date:

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    the record of the company and therefore, could not produce the
    same. Despite this explanation, the defendant did not produce the
    attendance record which was admittedly within its custody.
    32.26 Further, during cross-examination DW-1 admitted that the
    plaintiff used to mark his attendance in the attendance register and
    also conceded that the said record has not been filed with the
    written statement. This clearly shows that, despite being in
    possession of the best evidence, the defendant has withheld the same
    without any plausible explanation.

    32.27 Accordingly, an adverse inference is liable to be drawn
    against the defendant for non-production of the attendance record. In
    these circumstances, the defendant has failed to establish its plea
    that the plaintiff was irregular in attending office.
    32.28 The defendant has also alleged that the plaintiff was not
    diligent in discharging his duties. However, the said plea is a bald
    assertion, unsupported by any documentary evidence. Although,
    DW-1 has reiterated this contention in his testimony, he has not
    deposed that he was working with the plaintiff during the relevant
    period or that he had any personal knowledge of the plaintiff’s
    alleged lack of diligence.

    32.29 During cross-examination, DW-1 deposed that the defendant
    company had issued several reminders, emails and letters to the
    plaintiff for recovery of pending dues from its customers. However,
    none of the said communications have been placed on record to
    substantiate this claim. A suggestion was also given to DW-1 during
    his cross-examination but despite pointing out, the defendant neither
    placed any such communication on record nor gave any explanation
    for the same. Despite the aforesaid stand, the defendant company has
    not placed on record any document to substantiate its contention
    that payments were pending to be recovered from its customers.

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    SUGANDHA AGGARWAL
    AGGARWAL Date:

    2026.04.30
    10:14:26
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    Infact, as per the own case of the defendant company, the plaintiff
    remained in its employment for approximately three and half years.
    In the ordinary course of business, if an employee is irregular in
    attending duties or is not discharging his duties diligently, the
    employer would ordinarily issue memos or notices in that regard.
    32.30 In the present case, neither any action appears to have been
    taken by the defendant, nor has any document been placed on record
    to evidence the same. Accordingly, the defendant has failed to
    prove its plea regarding alleged negligence or lack of diligence on
    the part of the plaintiff.

    32.31 In view of the aforesaid discussion, it stands established that
    the plaintiff had a subsisting cause of action in respect of unpaid
    salary dues. However, it remains to be considered whether the claim
    of the plaintiff falls within the prescribed period of limitation .
    32.32 The plaintiff has claimed arrears of salary for the period
    from February 2014 till November 2017. He has instituted the
    present suit on 14.10.2020. The limitation in the present case is
    governed by Article 7 of the Schedule to the Limitation Act, 1963
    which prescribes a period of three years from the date when the
    wages accrue due.

    32.33 Learned Counsel for the plaintiff has argued that the plaintiff
    has issued a legal notice dated 27.12.2018 to the defendant. It is
    further contended that, from the testimony of DW-1, it stands
    established that the plaintiff continued in service of the defendant
    company till November 2017. It is also submitted that, as per the
    salary ledger placed on record by the defendant itself, the last salary
    payment was made till January 2017.

    32.34 It is argued that these facts duly establish that the defendant
    had continuously failed to pay the salary dues of the plaintiff till
    November 2017, thereby giving rise to a continuous cause of action .

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    SUGANDHA AGGARWAL
    AGGARWAL Date:

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    32.35 It is argued on behalf of the plaintiff that, in these
    circumstances, the period of limitation ought to be computed from
    November 2017, i.e. the date when the plaintiff ceased to be in
    service. It is further contended that a fresh cause of action also
    accrued in favour of the plaintiff upon service of legal notice dated
    27.12.2018 (Ex PW-1/5) upon the defendant. It is also argued that
    the plaintiff is entitled to the benefit of extension of limitation in
    view of the orders passed by the Hon’ble Supreme Court In Re:

    Cognizance for Extension of limitation, Suo Motu Writ Petition
    (Civil) No.3 of 2020.

    32.36 On this basis, it is argued that the suit has been filed within
    the period of limitation.

    32.37 Per contra, learned counsel for the defendant has argued
    that non-payment of salary does not constitute a continuous breach.
    It is submitted that each instance of non-payment of monthly salary
    gives rise to a separate and distinct cause of action. It is further
    contended that, even if it is accepted that the plaintiff continued in
    service till November 2017, the institution of the suit in October
    2020 would not bring within limitation the claims pertaining to the
    salary for the months prior to October 2017. In support of this
    contention, reliance has been placed upon certain judicial
    precedents.

    32.38 It has been correctly pointed out on behalf of the defendant
    that the period of limitation is to be computed from the date when
    the cause of action arises, and mere service of a legal notice does
    not extend the period limitation unless there is a written
    acknowledgment of liability by the defendant, or part payment is
    made in terms of law.

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    SUGANDHA AGGARWAL
    AGGARWAL Date:

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    32.39 In the present case, it is an admitted position that the last
    payment of salary was made in January 2017. There is no material
    on record to show any written written acknowledgment by the
    defendant admitting its liability to pay the alleged salary dues.

    Thus, mere service of legal notice would not extend the period of
    limitation.

    32.40 The question that now arises for consideration is whether
    non-payment of monthly salary can be termed as a continuous
    breach so as to give rise to a continuing cause of action, or whether
    each default constitutes a recurring breach giving rise to separate
    cause of action. This distinction has been elaborated by the Hon’ble
    Supreme Court in Union of India Vs. Tarsem Singh, SLP (C) Nos.
    3820-3821 of 2008, wherein it has been held as under:

    4. The principles underlying continuing wrongs and
    recurring/ successive wrongs have been applied to service law
    disputes. A `continuing wrong’ refers to a single wrongful act
    which causes a continuing injury. `Recurring/successive
    wrongs’ are those which occur periodically, each wrong
    giving rise to a distinct and separate cause of action. This
    Court in Balakrishna S.P. Waghmare vs. Shree Dhyaneshwar
    Maharaj Sansthan – [AIR 1959 SC 798], explained the
    concept of continuing wrong (in the context of section 23 of
    Limitation Act, 1908 corresponding to section 22 of
    Limitation Act, 1963) :

    “It is the very essence of a continuing wrong that it is an act
    which creates a continuing source of injury and renders the
    doer of the act responsible and liable for the continuance of
    the said injury. If the wrongful act causes an injury which is
    complete, there is no continuing wrong even though the
    damage resulting from the act may continue. If, however, a
    wrongful act is of such a character that the injury caused by it
    itself continues, then the act constitutes a continuing wrong.
    In this connection, it is necessary to draw a distinction
    between the injury caused by the wrongful act and what may
    be described as the effect of the said injury.”

    In M. R. Gupta vs. Union of India [1995 (5) SCC 628], the
    appellant approached the High Court in 1989 with a
    grievance in regard to his initial pay fixation with effect from

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    1.8.1978. The claim was rejected as it was raised after 11
    years. This Court applied the principles of continuing wrong
    and recurring wrongs and reversed the decision. This Court
    held :

    “The appellant’s grievance that his pay fixation was not in
    accordance with the rules, was the assertion of a continuing
    wrong against him which gave rise to a recurring cause of
    action each time he was paid a salary which was not
    computed in accordance with the rules. So long as the
    appellant is in service, a fresh cause of action arises every
    month when he is paid his monthly salary on the basis of a
    wrong computation made contrary to rules. It is no doubt true
    that if the appellant’s claim is found correct on merits, he
    would be entitled to be paid according to the properly fixed
    pay scale in the future and the question of limitation would
    arise for recovery of the arrears for the past period. In other
    words, the appellant’s claim, if any, for recovery of arrears
    calculated on the basis of difference in the pay which has
    become time barred would not be recoverable, but he would
    be entitled to proper fixation of his pay in accordance with
    rules and to cessation of a continuing wrong if on merits his
    claim is justified. Similarly, any other consequential relief
    claimed by him, such as, promotion etc., would also be
    subject to the defence of laches etc. to disentitle him to those
    reliefs. The pay fixation can be made only on the basis of the
    situation existing on 1.8.1978 without taking into account any
    other consequential relief which may be barred by his laches
    and the bar of limitation. It is to this limited extent of proper
    pay fixation, the application cannot be treated as time
    barred………”

    In Shiv Dass vs. Union of India – 2007 (9) SCC 274, this
    Court held:

    “The High Court does not ordinarily permit a belated resort
    to the extraordinary remedy because it is likely to cause
    confusion and public inconvenience and bring in its train new
    injustices, and if writ jurisdiction is exercised after
    unreasonable delay, it may have the effect of inflicting not
    only hardship and inconvenience but also injustice on third
    parties. It was pointed out that when writ jurisdiction is
    invoked, unexplained delay coupled with the creation of third
    party rights in the meantime is an important factor which also
    weighs with the High Court in deciding whether or not to
    exercise such jurisdiction.

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    SUGANDHA
    AGGARWAL Date:

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    In the case of pension the cause of action actually continues
    from month to month. That, however, cannot be a ground to
    overlook delay in filing the petition………. If petition is filed
    beyond a reasonable period say three years normally the
    Court would reject the same or restrict the relief which could
    be granted to a reasonable period of about three years.”

    5. To summarise, normally, a belated service related claim
    will be rejected on the ground of delay and laches (where
    remedy is sought by filing a writ petition) or limitation (where
    remedy is sought by an application to the Administrative
    Tribunal). One of the exceptions to the said rule is cases
    relating to a continuing wrong. Where a service related claim
    is based on a continuing wrong, relief can be granted even if
    there is a long delay in seeking remedy, with reference to the
    date on which the continuing wrong commenced, if such
    continuing wrong creates a continuing source of injury. But
    there is an exception to the exception. If the grievance is in
    respect of any order or administrative decision which related
    to or affected several others also, and if the re-opening of the
    issue would affect the settled rights of third parties, then the
    claim will not be entertained. For example, if the issue relates
    to payment or re-fixation of pay or pension, relief may be
    granted in spite of delay as it does not affect the rights of third
    parties. But if the claim involved issues relating to seniority or
    promotion etc., affecting others, delay would render the claim
    stale and doctrine of laches/limitation will be applied. In so
    far as the consequential relief of recovery of arrears for a past
    period, the principles relating to recurring/successive wrongs
    will apply. As a consequence, High Courts will restrict the
    consequential relief relating to arrears normally to a period
    of three years prior to the date of filing of the writ petition.

    32.41 In the aforesaid judgment, the Hon’ble Supreme Court
    declined the claim for payment of disability pension from the date it
    became due, on account of delay of 16 years. The said judgment
    draws a distinction between a continuing cause of action and a
    recurring cause of action. It clarified that a continuing cause of
    action arises where there is a continuing breach or continuous
    infringement of a right, resulting in a subsisting and ongoing injury.
    In such case, the wrongful act is of such a nature that it continues
    from day to day.

    32.42 On the other hand, a recurring cause of action arises where

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    individual wrongful acts occur periodically, each giving rise to a
    separate and complete cause of action. In such cases, each default
    constitutes an independent injury, complete in itself.
    32.43 It has been held by the Hon’ble Supreme Court in Union of
    India Vs. Tarsem Singh
    (supra) that non-payment or part payment
    of monthly salary does not constitute a continuing wrong but gives
    rise to a recurring cause of action. Each instance of non-payment of
    salary for a particular month constitutes a complete breach, entitling
    the employee to sue for recovery of such salary within a period of
    three years from the date when the salary for that month became
    due.

    32.44 In view of the aforesaid legal position, in the present case, it
    cannot be held that there was continuing breach on the part of the
    defendant in respect of non-payment of salary. The plaintiff has
    claimed arrears of salary for the period from February 2014 to
    November 2017. Admittedly, the last payment of salary was made in
    January 2017. In view of the settled legal position that non-payment
    of monthly salary gives rise to a recurring cause of action, the
    limitation for each unpaid month would commence from the date
    when such salary became due. Thus, any claim pertaining to salary
    which became due prior to three years from the date of institution of
    the suit would be barred by limitation. Accordingly, where the suit
    has been instituted on 15.10.2020, the claim for arrears of salary
    prior to October 2017 would be barred by limitation. Consequently,
    the claim of the plaintiff for arrears of salary for the period February
    2014 to September 2017 is ex facie barred by limitation.
    32.45 The plaintiff has also sought the benefit of extension of
    limitation in terms of the orders passed by the Hon’ble Supreme

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 24 of 28
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    AGGARWAL
    SUGANDHA
    Date:
    AGGARWAL 2026.04.30
    10:15:15
    +0530
    Court in In Re: Cognizance for Extension of limitation, Suo
    Motu Writ Petition (Civil) No.3 of 2020 during the Covid-19
    pandemic. The Hon’ble Supreme Court laid down certain
    directions extending the period of limitation in all proceedings,
    having regard to the extraordinary situation arising out of the
    pandemic. The relevant principles governing such extension are as
    follows: —

    2. Considering the reduction in prevalence of
    COVID-19 virus and normalcy being restored, the
    following order was passed in the Suo Motu
    proceedings on 08.03.2021:

    1. In computing the period of limitation for any
    suit, appeal, application or proceeding, the period
    from 15.03.2020 till 14.03.2021 shall stand
    excluded. Consequently, the balance period of
    limitation remaining as on 15.03.2020, if any, shall
    become available with effect from 15.03.2021.

    2. In cases where the limitation would have expired
    during the period between 15.03.2020 till
    14.03.2021, notwithstanding the actual balance
    period of limitation remaining, all persons shall
    have a limitation period of 90 days from
    15.03.2021. In the event the actual balance period
    of limitation remaining, with effect from
    15.03.2021, is greater than 90 days, that longer
    period shall apply.

    3. The period from 15.03.2020 till 14.03.2021 shall
    also stand excluded in computing the periods
    prescribed under Sections 23 (4) and 29A of the
    Arbitration and Conciliation Act, 1996, Section
    12A
    of the Commercial Courts Act, 2015 and

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    AGGARWAL
    SUGANDHA
    AGGARWAL Date:

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    provisos (b) and (c) of Section 138 of the
    Negotiable Instruments Act, 1881 and any other
    laws, which prescribe period(s) of limitation for
    instituting proceedings, outer limits (within which
    the court or tribunal can condone delay) and
    termination of proceedings.

    4. The Government of India shall amend the
    guidelines for containment zones, to state.

    “Regulated movement will be allowed for
    medical emergencies, provision of essential goods
    and services, and other necessary functions, such
    as, time bound applications, including for legal
    purposes, and educational and job-related
    requirements.”

    32.46 If the aforesaid exemptions are applied, the case of the
    plaintiff would fall within the second category of cases covered
    under the directions issued by the Hon’ble Supreme Court in suo
    motu proceedings. In such circumstances, while computing the
    period of limitation, the period from 15.03.2020 till 14.03.2021 is
    liable to be excluded.

    32.47 However, even after granting the benefit of the said
    exclusion, the claim of the plaintiff would remain governed by the
    principle that each month’s unpaid salary gives rise to a separate
    cause of action. Accordingly, the limitation for recovery of salary
    dues would extend to a period of three years prior to the date of
    institution of the suit, subject to the aforesaid exclusion.
    32.48 In view thereof, the claim of the plaintiff for salary dues
    from March 2017 onwards would fall within the period of

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    SUGANDHA AGGARWAL
    AGGARWAL Date:

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    limitation. Accordingly, the plaintiff is held entitled to recover his
    salary dues for the period from March 2017 till 15.11.2017.

    All the issues at hand are decided in terms of aforesaid
    findings.

    Issue no. 2: Whether the plaintiff is entitled to interest as prayed in
    the prayer clause (a) of the plaint? OPP

    33. The onus to prove this issue was upon the plaintiff. The
    plaintiff has claimed the interest @ 18% per annum on his salary
    dues from the date when his salary became due till actual
    realisation. There is no agreed rate of interest between the parties.
    The interest @ 18% per annum as prayed by the plaintiff shall be
    exhilarated. I am the of considered view that the interest @ 6% shall
    serve the ends of justice. Accordingly, interest @ 6% is awarded on
    the salary of each month from the date when it became due till filing
    of the suit.

    33.1 Plaintiff is also awarded interest @ 6% on the total
    recoverable principal amount from the date of filing of the suit till
    actual realisation.

    RELIEF:

    34. In view of the above discussion the suit is partly decreed in
    favour of the plaintiff and decree for recovery of salary dues @
    Rs.97385/- from March 2017 till 15.11.2017 is passed in favour of
    the plaintiff.

    34.1 Plaintiff is also held entitled for interest @ 6% on the salary
    of each month from the date when it became due till filing of the

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 27 of 28
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    AGGARWAL
    SUGANDHA
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    suit.

    34.2 Plaintiff is also awarded interest @ 6% on the total
    recoverable principal amount from the date of filing of the suit till
    actual realisation.

    34.3 Cost of litigation is also awarded in favour of the plaintiff.

    35. Decree-sheet be prepared accordingly. File be consigned to
    record room after due compliance.

    Digitally signed
    by SUGANDHA

                                                 SUGANDHA     AGGARWAL
                                                 AGGARWAL     Date:
                                                              2026.04.30
                                                              10:15:52 +0530
    
                                               (Dr. Sugandha Aggarwal)
                                                     District Judge-04,
                                             Patiala House Court, New Delhi
    
    
    
    

    This judgment contains 28 pages and all pages have
    been duly signed by me.

    Announced in the open court on
    30th April 2026

    (Dr. Sugandha Aggarwal)
    District Judge-04,
    Patiala House Court, New Delhi

    CS No. 356/2020 Pandey Ujjwal Anand v. Minwool Rock Fibres Ltd. Page 28 of 28

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