KOCHI: The KSRTC submitted before the High Court on Thursday that the implementation of the revival package chalked out by it to overcome pension liability and heavy loan burden is the only method by which the financial crisis can be resolved.
Counsel for KSRTC argued that there was no dispute as such, while admitting that the pension will have to be disbursed, and submitted that owing to the financial crunch what is now required is not litigation, but a comprehensive resolution.
The Corporation pointed out that the revival package which has been accepted by the government should be implemented. Most of the directions contained in the government order giving recognition to the revival package has also been complied with. Since the KSRTC is functioning under the instruction of the government, all matters including appointment, promotion and grant of pension are under the control and direction of the government, the KSRTC submitted.
The state government submitted that it cannot provide financial assistance including the liability to pay pension to the retired employees. It is not in a position to shoulder any further liability of the KSRTC, especially in view of the financial constraints being faced by the state.
The KSRTC being a separate entity, it has to find out resources on its own for meeting its liabilities and it cannot always depend on the government for the working capital requirements, including the liability to pay pension funds to its employees, the government said. After conclusion of the arguments Justice Dama Sheshadri Naidu reserved its order in the case.