O R D E R

Delivered by Mr. Justice Rajiv Joshi, Member (J)

Heard Shri Jaswant Singh, learned counsel for the applicant and Shri Chakrapani Vatsyayan, learned counsel for the respondents and with the consent of learned counsel for both the parties, the instant original application is being disposed of at the admission stage itself.

2. The instant Original Application, under Section 19 of the Administrative Tribunals Act, 1985, has been filed by the applicant seeking following reliefs:

“a) That this Hon'ble Tribunal be pleased to quash the impugned order dated 27.1.2026 (Annexure-A-1 to this Ο.Α.).

b) That this Hon'ble Tribunal be pleased to hold and declare that the Applicant is entitled to be placed and have their pay fixed in the Non Functional Grade (NFG) Pay Scale of Rs. 9300-34800 in Pay Band-II, with Grade Pay of Rs. 5400/-, with all consequential benefits, with effect from the dates that they had completed four years of regular service in the Grade Pay of Rs. 4800/-(or equivalent pay scale).

C) That this Hon'ble Tribunal be pleased to issue a suitable time-bound order direction to the respondents to release the entire arrears of salary and or other emoluments payable to the Applicant as a consequence of the aforesaid grant of the Grade Pay of Rs. 5400/- to them from the due date, along with interest at such rates as might be found just and reasonable in the facts and circumstances of the case.

d) That this Hon'ble Tribunal be pleased to grant such other relief, as the Applicant might be found entitled to in the facts and circumstances of the case.

e) That this Hon'ble Tribunal be pleased to award the costs of this Original Application in favour of the Applicant, throughout.”

3. The brief facts, as stated by the applicant, are that the applicant is presently working on the post of Inspector in the Office of Central Board of Indirect Taxes of Customs (hereinafter referred as ‘CBIC’). The applicant was initially appointed as Inspector on 28.11.2011 and was granted the benefits of first MACP after completion of 10 years of regular service on 28.11.2021 with grade Pay of Rs.4800/- and after completing four years in the said Grade Pay on 28.11.2025, the applicant is entitled for Non-Functional Grade of Rs. 5400/-.

3.1 Prior to implementation of recommendations made by the 6th Pay Commission and formulation of the Revised Pay Rules, 2008, the cadre of Inspectors in the CBIC was in the pre-revised pay scale of Rs.6500-10500 and the cadre of Superintendent was in the pre-revised pay scale of Rs.7500-10500. However, after implementation of 6th Pay Commission, the Inspectors were placed in the Pay Band-II carrying the scale of Rs.9300-34800 with Grade Pay of Rs 4600/- and Superintendents were placed in Pay Band-II carrying the scale of Rs. 9300-34800/- in Rs. 4800/- Grade Pay.

3.2 Under the recommendations of the 6th CPC, the erstwhile Annual Career Progression Scheme (ACP) of granting two financial up-gradations in the 12th and 24th years of service were replaced by the Modified Career Progression Scheme (MACP) wherein the employees became entitled to receive three financial up-gradations in the 10th, 20th and 30th years of their service.

3.3 The Central Board of Excise and Customs, Department of Revenue, Ministry of Finance, Government of India vide a letter dated 21.11.2008 issued the following clarification:-

3. The Department of Expenditure have now clarified that the 4 year period is to be counted w.e.f. the date on which an officer is placed in the pay scale of Rs. 7500-12000 (pre-revised). Thus, if an officer has completed 4 years on 1.1.2006 or earlier, he will be given the non functional upgradation w.e.f. 1.1.2006. If the officer completes 4 years on a date after 1.1.2006, he will be given non-functional upgradation from such date on which he completes 4 years in the pay scale of Rs. 7500-12000 (pre-revised).

3.4 However, the CBIC vide letter dated 11.02.2009 issued a further clarification on the subject stating therein