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SC relief for Punjab govt in DA arrears case; stays HC contempt proceedings

Apex court slams ‘arm-twisting’ tactics by petitioners, asks state govt to submit disbursement roadmap for pending employee arrears by December 1.

Updated on: Nov 5, 2026, 15:13:15 IST
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New Delhi: The Supreme Court on Thursday stayed criminal contempt proceedings initiated by the Punjab and Haryana high court against chief secretary KAP Sinha and others in a case related to payment of pending dearness allowance and dearness relief to employees.

The Supreme Court on Thursday stayed criminal contempt proceedings initiated by the Punjab and Haryana high court against chief secretary KAP Sinha and others in a case related to payment of pending dearness allowance. (File photo)
The Supreme Court on Thursday stayed criminal contempt proceedings initiated by the Punjab and Haryana high court against chief secretary KAP Sinha and others in a case related to payment of pending dearness allowance. (File photo)

A bench of Justices BV Nagarathna and R Mahadevan passed the order while hearing a plea filed by the additional chief secretary challenging the high court order to initiate criminal contempt proceedings against Sinha and other officials.

The bench noted that the chief secretary was directed to remain present in person in the high court in the matter on Thursday.

“Stay of further proceedings in... until further orders,” the top court said.

Senior advocate Vikas Singh appeared for the petitioner in the top court. “Why are you interested in sending the chief secretary to jail? We will stay the contempt proceedings,” the bench told the counsel appearing for the petitioner seeking contempt action before the high court.

The bench also asked the counsel appearing for the contempt petitioner as to how can they rely on an internal communication allegedly issued by the chief secretary to the state departments.

The top court said it has perused the October 12 order of the high court and also a subsequent order, which directed the chief secretary to remain present before it in the matter.

“Further proceedings in the criminal contempt are stayed until further orders,” it said.

During the hearing, the bench observed, “Government servants must herein come on contract basis. Then only they will have accountability.”

The bench also heard two petitions against another order of the high court in a matter concerning payment of pending dearness allowance to employees and pensioners.

The state told the bench that the present government received around ₹13,000 crore legacy arrears from the previous dispensation.

The top court asked the state government to apprise it about how much pending amount could be disbursed on or before March 31, 2027.

“You have got a breather. Please come up with a positive response,” the bench said, and posted the matter for hearing on December 1.

The top court also said no coercive steps be taken against the petitioners, including the state government, who challenged the high court’s August 3 order before it.

On August 3, the high court directed the Punjab government to clear pending dearness allowance of employees and pensioners within a fortnight.

The high court had dismissed the appeals filed by the state government and the Punjab State Power Corporation Limited against the single bench’s direction to release pending DA to the employees and pensioners.

The high court had also directed that till all such dues were cleared, the government shall not resort to any unproductive expenditures, such as large-scale advertising campaigns in print or social media, as these expenses cannot justify the denial of dues admissible to the employees.

On April 8, a single-judge bench of the high court had quashed a liquidation plan on payment of dues and directed payment of all “arrears/pending instalments” by June 30 at rates applicable to IAS/IPS/IFS officers.

On October 12, the high court issued a notice of motion to the chief secretary to show cause why criminal contempt proceedings should not be initiated against him.

The plea filed in the apex court against the high court order initiating criminal contempt proceedings said the proceedings originated from miscellaneous applications filed in a writ petition and a letters patent appeal (LPA) that had already been disposed of.

It said the applicants had sought action over alleged non-compliance with the court’s earlier judgment, even though the original petitioners had already initiated separate civil contempt proceedings on the same issue.

 
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