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2025 Supreme(Online)(CAT) 13962

CENTRAL ADMINISTRATIVE TRIBUNAL
MRS. ANJALI BHAWRA, A
Daljit Singh – Appellant
Versus
Union of India – Respondent
O.A.No. 060/00431/2024



Advocates:
For the Appellant: Sh. Jagdeep Jaswal
For the Respondents: Sh. K.K. Thakur, Ms. Monika Kondal

The failure of the employer to release retirement dues based on procedural lapses does not justify withholding pensionary benefits.

Headnote:(A) Administrative Tribunals Act, 1985 - Section 19 - Retirement Benefits - Disbursement of pensionary dues - The applicant's retirement dues were unjustifiably withheld due to procedural delays attributed to the administration, not the applicant. The Tribunal holds that non-deposit of an identity card cannot justify withholding of dues. (Paras 1, 2, 5, 9)

(B) Pension Preparation - Obligation of the employer - The employer must initiate pension processes well before the retirement date; failure to do so leads to undue hardship for the employee. (Paras 7, 8)

Facts of the case:
The applicant, having retired on 28.02.2021, faced delays in receiving retirement benefits due to the employer's procedural inefficiencies and non-provision of the identity card, which was later submitted under duress.

Findings of Court:
The Tribunal established the employer's responsibility for the delay in disbursement of dues and ordered the prompt payment of all pending retirement benefits with interest from the date of identity card submission.

Issues: The key issue was whether the failure to submit an identity card could justifiably delay the release of pensionary benefits.

Ratio Decidendi: The court determined that the failure to complete pension process well before retirement rested on the employer, affirming that the identity card submission was a mere formality in this context.

Result: The application was allowed, directing the immediate payment of dues.

Table of Content
1. introduction of the applicant's claim and context of retirement dues. (Para 1 , 2)
2. applicant's arguments regarding the delayed disbursement of retirement benefits. (Para 3 , 4 , 5)
3. observation on employer's duty to prepare pension papers timely. (Para 6 , 7)
4. court's reasoning on the withholding of dues based on the identity card. (Para 8)
5. conclusion and directions for the payment of retirement benefits. (Para 9 , 10)

ORDER

HON’BLE MRS. ANJALI BHAWRA, MEMBER (A):

1. This Original Application has been filed under Section 19 of the Administrative Tribunals Act 1985, whereby, the applicant has sought for the following relief:

“That respondents may kindly be directed to pay interest at the rate of 12% per annum on the delayed payment of retiral dues as mentioned above, till such amounts were actually paid to the applicant, in the interest of justice.“

2. The applicant in its OA has submitted the following:-

i) The applicant initially joined the respondent department as Motor Pump Attendant (SK) w.e.f. 02.05.1988. Later on, the designation of his post was changed to Fitter General Mechanic (SK) and he has retired from service Fitter General Mechanic (HS-II) on 28.02.2021. At the time of retirement of the applicant, one Sh. Chanderdeep Singh (Office Superintendent) started harassing and humiliating the applicant as regards submissions of his pension papers and official duties. The applicant was harassed number of times by calling in one office or the other for appending his signatures, but when he went there, he was told that either the documents are not ready or are lying in another section/office. The applicant was made to run from pillar to post for signing his papers. However, before his retirement all the pension papers were duly filled and applicant was expecting that he would be released his all retiral dues on 01.03.2021, the day following his retirement on 28.02.2021.

ii) The applicant was deprived of all retiral dues except GPF and at the time of retirement all retiral dues were withheld by the department for the reasons best-known to them. The applicant thereafter on his oral requests was released the amount of leave encashment on 14.06.2021. His regular pension was started only in July, 2022, after more than one year of retirement. The other retirement benefits i.e. arrears of pension w.e.f. 01.03.2021 till 30.06.2022, the retirement gratuity, the commutation of pension and CGEGIS were not released, even after expiry of more than two years. Regular pension was given from July' 2022 and amount for commutation of pension was also being deducted, but neither commutation of pension has been made nor arrears of pension were released till date. At the time of retirement of the applicant, no chargesheet or criminal proceedings or any outstanding was pending against the applicant and therefore, respondents were required to release all retiral dues to the applicant on 01.03.2021, however, respondents have failed to release all retiral dues of the applicant, in wholly illegal and arbitrary manner.

iii) Further, it is stated by the applicant that respondent no. 4 issued the PPO dated 20.05.2021 (Annexure A/1), but still the benefits were not released to the applicant. The retiral dues of the applicant were withheld only because the applicant could not deposit his identity card. The applicant has also deposited his Identity card in the respondent department in November, 2021, still his benefits were unnecessarily delayed by the respondents. There is no rule to withhold retirement benefits only because the applicant could not submit his identity card. From the letter dated 07.07.2021 (Annexure A/2), it is clear that demand for ID card was raised for the first time in June, 2021 much after the date of retirement of the applicant on 28.02.2021. In normal course, the retiral dues are disbursed irrespective of the fact that ID card is deposited back or not, but respondents with legal malice just to harass the applican

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