IN THE HIGH COURT OF DELHI AT NEW DELHI
Sanjeev Sachdeva, Manoj Jain, JJ.
Krishan Kumar Singh – Appellant
Versus
Union of India & Ors. – Respondents
W.P.(C) 11211 of 2017
Decided On : 02-06-2023
Pensionary Benefits - Resignation - NABARD Pension Regulations, 1993 Regulation 4, Regulation 18, NABARD Staff Rules 1982 Rule 19 (3A)
Fact of the Case:
The petitioner sought pensionary benefits after resigning from NABARD, claiming that he was entitled to pension on completion of 10 years of service. NABARD contended that resignation entailed forfeiture of past service and made the petitioner ineligible for pension. The petitioner filed a writ petition seeking relief.
Finding of the Court:
The court found that the petitioner's resignation led to forfeiture of past service, making him ineligible for pensionary benefits. The court rejected the petitioner's argument that resignation should be considered as voluntary retirement, citing the clear distinction between the two concepts.
Issues: Whether an employee who tenders an unconditional resignation is entitled to pension under Regulation 18 of the NABARD Pension Regulations, 1993.
Ratio Decidendi: The court held that resignation entails forfeiture of past service, making the employee ineligible for pensionary benefits. The distinction between resignation and voluntary retirement was emphasized, and the court rejected the petitioner's attempt to equate the two concepts.
Final Decision: The writ petition lacked merit and was dismissed by the court.
JUDGMENT
Manoj Jain, J.
1. Petitioner has invoked writ jurisdiction of this Court seeking directions to the respondents to release pensionary benefits to him in accordance with Regulation 4 of NABARD Pension Regulations, 1993 (hereinafter referred to as the Regulations).
2. Let us have a quick glance over the facts.
3. Petitioner had earlier worked in Indian Army as Clerk (General Duty) from 22.12.1972 to 14.02.1982 (nine years and 54 days).
4. After leaving Indian Army, he joined National Bank for Agriculture and Rural Development (hereinafter referred to as `NABARD') on 29.10.1984.
5. His previous service rendered in Indian Army was also duly considered and acknowledged and he was even granted `family allowance' for such past service.
6. He, however, tendered resignation on 01.08.1996. He contends that since he was in the government service for more than 21 years, inclusive of his said stint in Indian Army, he was entitled to pensionary benefits. According to him, as per Regulation 4 of the Regulations also, he was entitled to get pension on completion of mere 10 years of service.
7. His such resignation was duly accepted by NABARD and thus, he ceased to be in the service of NABARD with effect from 06.09.1996.
8. There was exchange of correspondence between him and NABARD on release of pensionary benefits but he was apprised that he was not eligible for grant of pension as his entire service stood forfeited on account of the fact that he had resigned.
9. Petitioner kept on sending various letters and representations from time to time and since he did not get any positive reply, he, eventually, sent a legal notice dated 16.12.2014 under Section 80 CPC to NABARD. In such notice, he, inter alia, claimed that he was compelled by some officers of NABARD to submit unconditional resignation. According to him, despite such resignation, he was eligible to get pensionary benefits. By virtue of aforesaid legal notice, he called upon NABARD to pay due amount within two weeks along with interest and other incidental charges.
10. Such legal notice was replied by NABARD and in its reply dated 09.01.2015, it was reiterated that in terms of Regulation 18 of the Regulations, in case of resignation, the entire past service stood forfeited and consequently, he was not entitled to any pension. It was also informed to him that as per Rule 19 (3A) of NABARD Staff Rules 1982, no employee could qualify for pension unless he had completed 20 years of qualifying service.
11. It is in the aforesaid backdrop that he has filed the present writ petition seeking following relief:
"a) Issue an appropriate writ or order to set-a-side the impugned order dated 09.01.2015 passed by the respondent no.4 and impugned order dated 31.05.1997which was issued in utter violation of the principles of natural justice as well as constitutional mandates.
b) To direct the respondents authorities to pay the entire arrears of pension admissible to the petitioner as per the Regulations with effect from the date of his resignation 01.08.1996 till the date of actual payment along with interest at the rate of 24% per annum in view of Regulation 4 of NABARD Pension Regulations, 1993.
c) Declare that the word "Resignation" used in Regulation 18 may be declared to be unreasonable, void, unconstitutional and ultra vires to Article 14 of the constitution of India."
12. As per counter affidavit submitted by Respondents No. 2 to 4, the petitioner had put in 11 years and 10 months of service with NABARD and on the basis of his resignation, he was relieved on 06.09.1996. It is reiterated that since he had resigned, he became ineligible for grant of any pension as his `entire service' stood forfeited in terms of Regulation 18 of the Regulations. It is also claimed that the petitioner is guilty of delay and laches as despite the fact that he had resigned in the year 1996, writ petition has been filed after a gap of more than 20 years. It is, however, admitted that as per Regulation
Resignation entails forfeiture of past service, making the employee ineligible for pensionary benefits.
Resignation and retirement have different legal implications, and the scope of a pension scheme may not extend to resigned employees.
The main legal point established in the judgment is that the distinction between voluntary retirement and resignation, as well as the forfeiture clause under the Indian Overseas Bank (Employees') Pen....
An employee if has attained the age of 50 years and has spent 20 years of service, he would be entitled to seek voluntary retirement and so consequential benefits
The judgment established the distinction between resignation and voluntary retirement, upheld the disqualification of pensionary benefits in case of resignation, and emphasized that the petitioner kn....
(1) There is distinction between “resignation” and “voluntary retirement” – Though both involve voluntary acts, they operate differently.(2) When legislature, in its wisdom, brings forth certain bene....
Resignation does not qualify as voluntary retirement under Rule 66 of the Pension Rules, and service on fixed pay is not eligible for pension.
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