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2026 Supreme(Mad) 519

IN THE HIGH COURT OF JUDICATURE AT MADRAS
M.DHANDAPANI, J.
S. Subramanian – Petitioner 
Versus
The State of Tamilnadu Rep. by its Secretary to Government, Health and Family Welfare Department – Respondent
W.P.Nos.47695, 47697, 26183 and 26188 of 2025 And W.M.P.No.29494 of 2025
Decided On : 27-01-2026

Advocates Appeared:
For the Petitioners: Mrs. Nalini Chidambaram, Senior Counsel for M/s. C. Uma.
For the Respondents:Mr. K. Tippu Sulthan, Government Advocate, Ms. G. Vardhini Karthik, Mr. Manorajan.

Recovery from retired employees is impermissible when excess payments are not due to misrepresentation or fraud.

Headnote:(A) Constitution of India - Article 226 - Writ of Mandamus and Writ of Certiorarified Mandamus - Petitioners sought to challenge the reduction of pension and recovery of excess payments based on incorrect pay fixation under government orders - Court ruled that recovery from retired employees is impermissible where excess payments were not due to misrepresentation or fraud. (Paras 8, 12, 13, 14)

Facts of the case:
The petitioners, appointed as Leprosy Inspectors and later re-designated as Health Inspectors, contested the withdrawal of their 5% Personal Pay after retirement and the consequent recovery of amounts already paid to them. (Paras 6-8)

Findings of Court:
The court found the recovery of sums from the petitioners unsustainable in law and upheld their claims to maintain previously granted pay and pensions. (Paras 13, 14)

Issues: The primary issues were whether the Personal Pay could be merged with the revised scale of pay and the legality of recovering excess payments after retirement. (Paras 8, 12)

Ratio Decidendi: The court emphasized that recovery from retired employees is not permissible absent misrepresentation or fraud, reaffirming existing government policy. (Paras 13, 14)

Result: Writ petitions allowed regarding recovery; direction given to refix pension amounts accordingly.

Table of Content
1. details of petitioners' appointments and 5% personal pay. (Para 6)
2. petitioners argue against the withdrawal of personal pay. (Para 7 , 8)
3. government's justification for denial of personal pay. (Para 9 , 10)
4. court's recognition of established legal principles regarding recovery from retired employees. (Para 11 , 12 , 13)
5. court's decision to quash the recovery and refix pension. (Para 14)
6. final order regarding the allowance of certain writ petitions and directions for refund. (Para 15 , 16 , 17)

ORDER :

M.DHANDAPANI, J.

Since the issue involved in these writ petitions are interrelated, they are heard together and disposed of by way of a common order.

2.W.P.No.47695 of 2025 has been filed seeking issuance of Writ of Mandamus directing the Office of Accountant General (A&E), Tamil Nadu, Chennai 4th respondent herein to pay the pension on basic pay of Rs.34,750/- instead of Rs.36,850/- with eligible allowances every month without any deduction to the petitioner by commuting the pay of the petitioner on the date of retirement by merging the 5% PP with the revised scale of pay as on 10.09.1998.

3.W.P.No.47697 of 2025 has been filed seeking issuance of Writ of Certiorarified Mandamus calling for the records of the Office of Accountant General (A&E), Tamil Nadu, Chennai dated 31.05.2019 having Ref.No.AG (A&E)/PEN PO6/10621447/3/R0621447 and having Ref.No.P08/4/10823980/ADK dated 25.09.2019 issued by the 4th respondent herein and quash the same in so far as the Office of the Accountant General (A&E), Tamil Nadu, Chennai holds that Personal Pay of 5% is allowed only on the pre revised scale of pay and not in the revised scale of pay and consequently direct the Block Medical Officer, Community Health Centre, Manampathi, 5th respondent herein to refund the sum of Rs.3,18,610/- to the petitioner along with interest at 12% till date of refund.

4.W.P.No.26183 of 2025 has been filed seeking issuance of Writ of Certiorarified Mandamus calling for the records of the Office of Accountant General (A&E), Tamil Nadu, Chennai dated 27.06.2024 having Ref No.PO8/3/10829334/ADK and 04.11.2024 having Ref.No.AG (A&E)/PEN/PO8/10830153/4/R0830153 4th respondent herein and quash the same in so far as the Office of the Accountant General (A&E), Tamil Nadu, Chennai holds that Personal Pay of 5% is allowed only on the pre revised scale of pay and not in the revised scale of pay and consequently direct the District Treasury, Dharmapuri 5th respondent herein to refund the sum of Rs.6,60,552/- to the petitioner along with interest at 12% till date of refund.

5.W.P.No.26188 of 2025 has been filed seeking issuance of Writ of Mandamus directing the Office of Accountant General (A&E), Tamil Nadu, Chennai 4th respondent herein to pay the pension amount of Rs.44,500/- every month without any deduction to the petitioner by commuting the pay of the petitioner on the date of retirement by merging the 5% PP with the revised scale of pay as on 01.09.1998.

6.The brief facts of the case is that the petitioners were appointed as Leprosy Inspector on 10.09.1988 and 11.03.1988 respectively and was subsequently re-designated as Health Inspector Grade-I pursuant to various Government Orders. According to the petitioners, 5% Personal Pay (PP) which was sanctioned under G.O.Ms.No.664 dated 24.08.1992, was rightly merged with their revised scale of pay as per the proceedings of the second respondent dated 27.07.2015, and their pay was fixed accordingly upon award of Selection Grade. While so, the fourth respondent, by proceedings dated 31.05.2019 & 25.09.2019 and 27.06.2024 & 04.11.2024 respectively, held that the 5% Personal Pay ought to have been merged only with the pre-revised scale of pay and not with the revised scale, resulting in reduction of the petitioners last drawn salary and consequent reduction of pension. Further, a sum of Rs.3,18,610/- and Rs.6,60,552/- respectively, was ordered to be recovered treating the same as excess pay drawn, which amount wa

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