Delhi High Court, in Smt. Draupati Devi vs. Union of India & Ors. [W.P.(C) 8675/2022 & CM APPL. 66870/2023], rejected the employer’s claim to recover an excess payment made to a deceased employee by withholding leave encashment. The court referred to State of Punjab and Others vs. Rafiq Masih (White Washer) and Ors. [(2015) 4 SCC 334], where the Supreme Court held that an employer could recover excess payments only if the recovery is made within a short period. Consequently, the court directed the employer to release the leave encashment due to the employee.
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