The court established that the government holds a duty to ensure timely pension payments, and delays lead to potential liability for interest on arrears.

JUDGMENT :

V. KAMESWAR RAO, J.

1. This petition has been filed with the following prayers:-

“a. Issue a Writ of Certiorari or any other appropriate Writ, Order or Direction of like nature, quashing and setting aside order dated 07/11/2022 issued by the Respondents;

b. Award interest at GPF rates from the date of entitlement of pension or the date of application till actual payment of arrears i.e., 21/12/2020;

c. Award costs of the proceedings;

d. Pass such other/further order in favour of the Petitioner and in the interest of justice.”

2. The petitioner herein assails the order dated 07.11.2022, whereby the respondents have rejected the representation of the petitioner for claim of interest on the ground that there was no delay in the payment of commuted pension on arrears.

3. The submissions of Ms. Esha Mazumdar, learned counsel appearing for the petitioner are the following:-

i. The petitioner is a senior citizen and a retired Captain (Ex-Commandant) from Vayudoot Pvt. Ltd., Safdarjung Airport, New Delhi. He was recruited in December 1972 as a temporary co-pilot in the Air Wing of the Border Security Force (BSF). After nearly ten years of service, he was sent on deputation in January 1982 to Vayudoot, from where he ultimately superannuated.

ii. Upon his permanent absorption in Vayudoot, the petitioner’s name was struck off from the permanent strength of BSF, and his lien against the permanent post stood terminated under FR-14A(d) w.e.f. 12.09.1983. He submitted his Last Pay Certificate and deposited Rs.7,554/- towards leave salary, pension contribution, and penal interest for the foreign service period from 12.04.1982 to 30.09.1983.

iii. At the time of his absorption, the petitioner applied for and was granted pensionary benefits, including DCRG and leave encashment. He exercised the option under Rule 37-A of the CCS (Pension) Rules, 1972 to commute 100% of his pension and received a lump sum of Rs.66,612/- in lieu of monthly pension.

iv. She drew our attention to the judgments and circulars, which relate to the law regarding grant of restoration of pension with respect to absorbee petitioners such as the petitioners herein:

a) Common Cause v. Union of India ( AIR 1987 SC 210 ); to implement this judgment, the Government issued anO.M. dated 05.03.1987

b) Welfare Association of Absorbed Central Government Employees in Public Enterprises v. Union of India (1996 (2) SCC 187), wherein, the Court struck down Para-4 of theO.M. dated 05.03.1987 in furtherance of which Government issued an O.M. dated 30.09.1996,

c) Welfare Association of A.C.G.E. v. Arvind Verma (AIR 1998 SC 2862

d)P.V. Sundara Rajan v. Union of India ( 2000 SC 3387 ), K. Ganesan v. The Registrar (2007 SCC OnLine Mad 1496)

e) Union of India v. K. Ganesan (Dead) through LRs, Civil Appeal Nos. 6048 & 6371 of 2010

f) Review Petitions Nos. 465/2017 and 472/2017 in Civil Appeal Nos. 6048 & 6371 of 2010, the Department of Pension & Pensioners’ Welfare issued O.M. dated 23.06.2017 and Corrigendum dated 21.07.2017

v. The petitioner addressed a letter dated 03.02.2012 to the IG (Pers), DG, BSF seeking release of his pension w.e.f. 12.09.1983, asserting no pension had ever been paid. Replies from the Assistant Director (Accounts) and Personnel Directorate, BSF stated that all pensionary benefits had already been released at the time of absorption and that nothing remained pending. No response was given regarding his entitlement and pending issues before the Supreme Court were not apprised to him.

vi. Upon learning of the Supreme Court orders in August 2019, the petitioner submitted a representation dated 26.08.2019 to the Deputy Director (Accounts), DG, BS