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2001 Supreme(Del) 1245

High Court Of Delhi
K.P.AGGARWAL - Appellant
Versus
UNION OF INDIA - Respondent
Civil 3104 of 1999
Decided On : 09/08/2001

Advocates Appeared:
P.Chaturvedi, SANJAY JAIN

Headnote:Service Law - Pension — Restoration of commuted pension — Question involved is whether 15 year period for restoration of commuted pension is to be calculated from date of retirement or from the date of receiving of commuted value of pension — Many Supreme Courts judgments award restoration from the date of commutation and not from the date of retirement — Petitioner entitled to restoration of commuted value of pension when commuted pension credited in his account from the date — Petition dismissed.

       Held:

       In view of the above, the petitioners case is fully covered by the Supreme Court decision in R. Gandhis case (supra) and he would be entitled for restoration of commuted value of pension on the expiry of 15 years from the date when commuted value of pension was credited in his account i.e. w.e.f. 2nd May, 1989 and not from the date of his retirement.

Sharda Aggarwal

( 1 ) PETITIONER joined as a Stenographer in the office of Director General of Audit, Central Revenue, New Delhi on 9/12/1995 and worked upto 25/2/1965. He went on deputation to Cement Corporation of India Ltd. on 1/2/1968 where he got absorbed and his resignation was accepted from the post of Stenographer w. e. f. 1/2/1968. The petitioner was informed by the respondent that he was entitled to pro-rata pension w. e. f. 9/12/1985. Vide judgment dated 9/12/1986, the Supreme Court of India in the case of Common Cause (A Regd. Society) and Ors. v. Union of India and Ors. , 1987 (1) SCC 142, issued directions to the Union of India to restore l/3rd of commuted value of pension with regard to civilian employees after 15 years from the date of retirement w. e. f. 1/4/1985. These directions were implemented by the Government vide OM dated 5/3/1987. The benefit of this OM was later on extended vide OM dated 30/9/1996 to all the Government servants who got absorbed in Public Sector Undertakings/autonomous/statutory Bodies notwithstanding the fact that having commuted the full pension they were not in receipt of monthly pension.

( 2 ) RELYING on the office orders dated 5/3/1987 and 30/9/1996 of the Government of India, petitioner made number of representations resting with his final representation dated 26/8/1997 claiming the restoration of his commuted value of pension after 15 years from the date of his retirement i. e. 1/2/1968. Though 15 years from the date of his retirement completed in the year 1983, he claimed restoration w. e. f. 1/4/1985 being the effective date as directed in the Common Cause case. The petitioner s pension was actually commuted and the commuted value and credited to his bank account on 2/5/1989. The respondent, relying on some office orders subsequent to 5/3/1987 and 30/11/1996, rejected the petitioner s representation vide its order dated 10/9/1997-23/9/1997 holding that the period of 15 years, except in cases there the commuted value is paid during the first month of retirement, is to be reckoned from the date of commutation and not from the date of retirement. The petitioner challenged the above order of the respondent in OA No. 548/98 before the Central Administrative Tribunal (in short the Tribunal), which was dismissed vide the impugned order dated 25/1/1999. Aggrieved by the same, the petitioner has preferred the present writ petition before this Court.

( 3 ) THE short question for consideration in this petition is whether 15 years period for restoration of commuted pension is to be calculated from the petitioner s deemed date of retirement i. e. 1/2/1968 or from 2/5/1989 which was the date he received the commuted value of pension.

( 4 ) LEARNED counsel for the petitioner vehemently contended that the office order dated 5/3/1987 which implemented the Supreme Court directions in Common Cause case (supra) and office order dated 30/9/1996 extending the benefit of restoration of commuted pension to all the Government servants absorbed in Public Sector Undertakings/autonomous/statutory Bodies etc. still hold the field and the period of 15 years in the case of the petitioner should be reackoned with effect from the date of his retirement and not from the date of commutation of his pension.

( 5 ) LEARNED counsel for the respondent refutes the contention of the petitioner and submits that the Common Cause case was considered by the Supreme Court in subsequent decisions holding that the 15 years period is to be reackoned from the date of commutation of pension. In fact it is also pointed out that the present matter is covered by a recent Supreme Court judgment reported as R. Gandhi v. Union of India and Anr, (1999) 8 SCC 106. Reference has also been made to office memorandum dated 22/8/1990 which had revised the earlier memorandum dated 5/3/1987 and provided for retoration of the commuted value of pension after 15 years from the date of commutation and not from the date of retirement. The office me





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