Gratuity

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Ranjit Kumar Singh (Querist)
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15 October 2011 Dear Experts,
As per Gratuity Act,it is mandatory for a employee to work for a continuous period of 5 Yr before leaving a organisation otherwise Gratuity would not be paid to him except in case of death,disablement.
But the my question is if the organisation closed before 5 yr,So
will employees of that organisation be paid gratuity??????Plz rply soon
Thnx in Advance

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
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15 October 2011 MY DEAR IT IS EXCEPTIONAL CASE AS DEATH,DISABLEMENT,DISCONTINUES OF BUSINESS...BECAUSE DISCONTINUES OF BUSINESS IS NOT RELEIVE THE COMPANY FOR PAYMENT OF GRATUITY...BECAUSE IT IS NOT REASONABLE GROUND..SO AS PER MY PRACTICAL VIEW GRATUITY SHALL BE GRANTED TO EMPLOYEE

Ranjit Kumar Singh

Ranjit Kumar Singh (Querist)
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15 October 2011 Actually practically i m agree with ur answer but could u plz give me any proof where it will be written that Gratuity shall be granted if an organization closed before 5 yr.plzzzz

CA VISHAL RANA,CS,B.Com,AMFI

CA VISHAL RANA,CS,B.Com,AMFI (Expert)
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15 October 2011 RANJIT THERE IS NO ANY CASE LAW FOR YOUR PROBLEM...BECAUSE IT IS NOT WRITTEN IN LAW,,,SO IF I TAKE INTERPRATATION AS PER HEYDON'S RULE "THEN IT WILL BE REMEDY TO ASSESSE" SO TAKE INTERPRATATION OF LAW

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