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Case Law Details

Case Name : Alok Malhotra Vs Institute Of Chartered Accountants Of India (Delhi High Court)
Appeal Number : W.P.(C) 5659/2023
Date of Judgement/Order : 02/05/2023
Related Assessment Year :
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Alok Malhotra Vs Institute Of Chartered Accountants Of India (Delhi High Court)

In a significant ruling, the Delhi High Court directed the Institute of Chartered Accountants of India (ICAI) to reconsider a non-speaking order against an anomaly in salary caused by an Accelerated Promotion Scheme. This verdict came about in the case of Alok Malhotra vs Institute Of Chartered Accountants Of India, setting an important precedent for salary disparities in similar scenarios.

Analysis: The petitioner, Alok Malhotra, had retired as Deputy Secretary from the ICAI after more than 39 years of service. His primary grievance was that following the restoration of the Accelerated Promotion Scheme in 2015, he was receiving less pay than his juniors. Despite numerous representations to ICAI highlighting this pay anomaly, no corrective measures were taken, and the petitioner’s pleas were rejected by a non-speaking and unreasoned order.

The Delhi High Court, upon examination, found that the ICAI’s order did not provide any reasons for rejecting the petitioner’s claim. They emphasized the necessity for reasoned and speaking orders by authorities to ensure transparency and accountability, particularly in matters of pay fixation and pay anomalies.

Conclusion: The Delhi High Court’s ruling in the case of Alok Malhotra vs Institute Of Chartered Accountants Of India has significant implications for issues pertaining to pay anomalies and disparities. By directing the ICAI to pass a reasoned and speaking order, the court underscores the necessity for transparency in dealing with such matters. This judgment sets a precedent for similar cases, ensuring that employees are given an explanation for decisions affecting their salaries and, in this case, ensuring an anomaly caused by an Accelerated Promotion Scheme is properly addressed.

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