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IN THE HIGH COURT OF JUDICATURE AT ALLAHABAD , LUCKNOW BENCH, LUCKNOW
Attau Rahman Masoodi, Subhash Vidyarthi
Dan Bahadur Yadav – Appellant
Versus
Managing Director And Ceo Bank Of Baroda Corporate Center Mumbai – Respondent
JUDGMENT :
Subhash Vidyarthi, J.
1. Heard Sri Salik Ram Yadav, the learned counsel for the petitioner and Sri Prashant Kumar Srivastava for the opposite parties.
2. By means of the instant writ petition filed under Article 226 of the Constitution of India , the petitioner has challenged the validity of a note appended to Regulation 41 of Bank of Baroda (Employees’)
Pension Regulation, 1995 which reads as under: -
“(2) An employee who had commuted the admissible portion of pension is entitled to have the commuted portion of the pension restored after the expiry of a period of fifteen years from the date of commutation.”
3. The petitioner has sought a direction to the opposite party to restore full pension of the petitioner immediately after expiry of 9.81 years, instead of 15 years as provided in the aforesaid provision.
4. The petitioner retired from Bank of Baroda on 31.03.2013 and he got1/3rd of his pension commuted in accordance with the following provisions contained in Chapter VIII of Bank of Baroda (Employees’)Pension Regulations, 1995: -
“41. Commutation.
(1) An employee shall be entitled to commute for a lump sum payment of a fraction not exceeding one-third of his pension:
Provided
The court upheld the 15-year period for restoration of commuted pension as neither arbitrary nor unreasonable, affirming binding legal precedent.
The existing 15-year period for pension commutation restoration is upheld as lawful, with no justifications for its reduction.
The court upheld the 15-year recovery period for pension commutation value, emphasizing it prevents unjust enrichment while balancing pensioners' rights and financial sustainability.
The court upheld the 15-year pension recovery period, deeming it non-arbitrary based on established precedents.
Pension regulations must be interpreted to ensure restoration of commuted portions aligns with similar state provisions, reinforcing the right to equitable treatment under statutory benefits.
The acceptance of pension commutation terms creates a binding contract, and the 15-year recovery period is upheld as reasonable and not subject to judicial review.
The court affirmed the right to restore commuted pensions following guidelines set by precedents and statutes, quashing prior denials.
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