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1990 Supreme(SC) 498

K. RAMASWAMY, N. M. KASLIWAL
Action Committee South Eastern Railway Pensioners – Appellant
Versus
Union Of India – Respondent


Advocates:
A.M.KHANWILKAR, A.Subhashini, B.K.PRASAD, N.R.CHAUDHARY, P.C.MOITRA, R.B.DATAR, S.N.MUKHERJEE, SHANKAR GOPAL PAGIRE

JUDGMENT

KASLIWAL, J.—This petition under Article 32 of the Constitution of India has been filed by petitioner 1, an association of the retired employees of the South Eastern Railway and petitioner 2 being the convenor of the association. For convenience sake we would hereinafter refer to the above class of pensioners as petitioners. According to the Railway Boards letter No. PC III/79/DP/1 dated June 11, 1979 the Ministry of Railways extended the benefit of merger of Dearness Pay (DP) up to 272 points price index level with average emoluments for calculation of pensionary benefits to the railway servants retired on or after September 30, 1977. It further stipulated that the railway employees retired on or after September 30, 1977 but not later than April 30, 1979 will have an option to choose either of the two alternatives i.e. in favour of the existing rule to have their pension calculated without merger of DP on 272 points price index level or with merger of the same. Such employees were given time up to December 31, 1979 to exercise their option. It was further stated therein that those who will retain their option in existing schemes will be allowed graded relief on pension to














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