Lawgist8Recovery of gratuity
If the amount of gratuity payable under this Act is not paid by the employer, within the prescribed time, to the person entitled thereto, the controlling authority shall, on an application made to it in this behalf by the aggrieved person, issue a certificate for that amount to the Collector, who shall recover the same, together with compound interest thereon 1[at such rate as the Central Government may, by notification, specify], from the date of expiry of the prescribed time, as arrears of land revenue and pay the same to the person entitled thereto:
2[Provided that the controlling authority shall, before issuing a certificate under this section, give the employer a reasonable opportunity of showing cause against the issue of such certificate:
Provided further that the amount of interest payable under this section shall, in no case exceed the amount of gratuity payable under this Act.]
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1. Subs. by Act 22 of 1987, s. 8, for "at the rate of nine per cent. per annum" (w.e.f. 1-10-1987).
2. The provisos inserted by s. 8, ibid. (w.e.f. 1-10-1987).
- 1 Short title, extent, application and commencement
- 2 Definitions
- 2A Continuous service
- 3 Controlling authority
- 4 Payment of gratuity
- 4A Compulsory insurance
- 5 Power to exempt
- 6 Nomination
- 7 Determination of the amount of gratuity
- 7A Inspectors
- 7B Powers of Inspectors
- 8 Recovery of gratuity
- 9 Penalties
- 10 Exemption of employer from liability in certain cases
- 11 Cognizance of offences
- 12 Protection of action taken in good faith
- 13 Protection of gratuity
- 14 Act to override other enactments, etc
- 15 Power to make rules
