The central legal point established in the judgment is the interpretation and application of the relevant Regulation for the Army in determining the entitlement to gratuity and commutation of pension for retired army personnel with pending judicial proceedings.

1. This appeal is directed against the judgment dated 13.3.2000 passed by the learned single Judge of this court whereby the writ application filed by the respondent was allowed and the appellants were directed to make payment of the amount of Gratuity and also to compute the pension of the respondent within a period specified in the said judgment.

2. The facts necessary for disposal of the present appeal are that the respondent was in Defence Service and working as a Nayak, 3 Air Formation Signal Regiment in the Indian Army. He retired on 31.3.97. While he was in service a criminal case under section 302 I.P.C. was registered against him on 20.5.93. After his retirement he was granted provisional pension and was not paid Gratuity and his request for commutation of pension was not acceded to by the appellants on the ground that in terms of the Pension Regulations for the Army he is not entitled to commutation of pension and payment of Gratuity till the disposal of the criminal case.

3. The learned single Judge allowed the claim of the respondent on the ground that the Regulations for the Army provides for withholding of pension etc. only in a case of conviction in a serious crime or if he has been found guilty of grave misconduct and as the criminal proceeding was only pending against the respondent so his claim for payment of Gratuity and commutation of pension cannot be denied.

4. Learned counsel for the appellant submitted that there is a provision under the Regulation that if a judicial proceeding is pending against an employee then he is entitled to only provisional pension and he cannot get Gratuity or commutation of provisional pension. The relevant Regulation 3-B runs as follows:

Grant of Provisional Pension 3-B. A service personnel (including a Commissioned Officer) against whom any departmental or judicial proceedings are pending or instituted after retirement in respect of an event which took place not more than 4 years before such institution may on his retirement be authorised provisional pension. No Gratuity (including DCRG) and no provision of commutation of pension shall be authorised until the conclusion of such proceeding.

5. From perusal of the same it appears that if any departmental or judicial proceeding is pending or instituted after retirement against an army personnel in respect of an event which took place not more than 4 years before such institution, in that case only provisional pension is to be paid and no Gratuity shall be authorised until the conclusion of such proceeding. Similarly no commutation of provisional pension is permitted during the pendency of the departmental or judicial proceeding. Admittedly the judicial proceeding is pending against the respondent.

In that view of the matter in terms of the aforesaid Regulation he is only entitled to the provisional pension and is not entitled to Gratuity and commutation of pension. It appears that the relevant Regulation was not brought to the notice of the learned single Judge as a result of which the learned single Judge allowed the claim of the respondent.

6. In view of the aforesaid statutory provision which is applicable in the case of the respondent the judgment dated 13.3.2000 passed by the learned single Judge is set aside. The writ application filed by the respondent is dismissed.

7. This appeal is accordingly allowed.