Wrongly calculated excess payment cannot be recovered from employee: Supreme Court

Recently the Supreme Court in the case of Thomas Daniel vs. State of Kerala &Ors. C.A.No.7115/2020, examined the issue as to whether increments granted to the employee, while he was in service, can be recovered from him almost 10 (ten) years after his retirement on the ground that the said increments were granted on account of an error. The Supreme Court observed that if the excess amount was not paid on account of any misrepresentation or fraud by the employee or if such excess payment was made by the employer by applying a wrong principle for calculating the pay/allowance or on the basis of a particular interpretation of rule/order which is subsequently found to be erroneous, such excess payment of emoluments or allowances are not recoverable.