JUDGMENT

S.B. SINHA, J.- These appeals involving identical questions of fact and law were taken up for hearing together and are being disposed of by this common judgment.

2. The appellants in these appeals are retired teachers of the university and private aided colleges (to whom UGC scales of pay were applicable). They have retired during the period 1-1-1996 to 31-3-1998. So far as the teachers of •the university or private aided colleges are concerned, indisputably, they were being paid the same salary as was being paid to the teachers of the government colleges. The appellants in Civil Appeal No. 1391 of 2006 have retired from the Karnataka Regional Engineering College, Surathkal, Karnataka which was established by the Government of India at the request of the Government of Karnataka. It is a Centrally aided institution as envisaged under Entry 64 of List I of the Seventh Schedule to the Constitution of India. So far as the said institution is concerned, its expenditure used to be borne by the Government of India and the State of Karnataka. It, however, has been notified by the Government of India as a deemed University with effect from 26-6-2002.

3. It is not in dispute that the revised scales of pay as recommended by the Pay Revision Committee became applicable to the appellants with effect from 1-1-1986. It is also not in dispute that the UGC scales of pay were applicable to them. The Government of Karnataka, by a letter dated 17-12-1993, directed that the matter relating to the fixation of pension on the basis of UGC pay scales would be governed by Rule 296 of the Karnataka Civil Services Rules (hereinafter referred to as "the Rules"), providing for computation of emoluments for the purpose of pension and gratuity of a government servant. In the said letter it was stated: c "The term 'emoluments' has been defined and redefined from time to time whenever pension has been revised by executive orders. The term emoluments for purpose of pensionary benefits as defined in GO dated 17-8-1987 includes among other things the last pay drawn. It is, therefore, clarified that the pay drawn by the teachers of degree colleges in respect of whom UGC scales have been extended by GO No. ED 88 UNI 88 dated 30-3-1990 w.e.f. 1-1-1986 and who have opted to UGC scales of pay, the last pay drawn by them in UGC scales of pay among other things may be treated as emoluments for purpose of pensionary benefits under GO No. FD 20 SRS 87 (I) dated 17-8-1987."

4. In continuation of the said letter dated 17-12-1993, the Government of Karnataka by letter 12-10-1994, clarified that the pay drawn by the teachers of degree colleges in respect of whom UGC scales of pay had been extended by GO No. ED 88 UNI 88 dated 30-3-1990, may be treated as emoluments for the purpose of settling pensionary benefits under GO No. FD 20 SRS 87 (I) dated 17-8-1987. It was further stated:

"It is further clarified that the clarification issued already on 17 -12-1993 equally applies in respect of teachers of aided degree colleges also to whom the benefit of UGC scales of pay as contemplated in GO No. ED 88 UNI 88 dated 30-3-1990 have been extended. Action may be taken accordingly." 5. By a notification bearing GO No. ED 442 dated 12-5-1988, the Government of Karnataka extended the revision of pensionary benefits contemplated by the aforesaid order dated 17-8-1987 to the teachers of the aided educational institutions, whose pension was to be paid out of the Consolidated Fund of the State. It stands admitted that whereas 80% of the additional amount required for discharging the said liability was to be borne by the Central Government, 10% thereof was to be borne by the institution concerned and the rest 10% amount was to be raised by way of additional generation of revenue; as would appear from the letter of the Ministry of Human Resource Development, Department of Education, Government of India dated 17-8-1998.

6. It is furthermore not in dispute that the Central Government pursuant