IESL: Pension battles in court

one year ago...4th July, 2008- WP(C) 7487/2002
In the High Court of Delhi at New Delhi

The short question that falls for consideration in all these writ petitions is whether the petitioners are entitled to claim pension on a pro-rata basis even when they do not qualify for grant of service pension under the Rules regulating their service conditions. The question is no longer res integra in the light of four division bench decisions rendered by this Court holding that the Pension Regulations for the Army do not envisage grant of pro-rata pension to those who have not rendered qualifying years of service. Before we refer to the said decisions we may extract Regulation 132 of the Pension Regulations for the Army for ready reference:
“132. The Minimum period of qualifying service (without weightage) actually rendered and required for earning service pension shall be 15 years.”

What is important is that the recommendation made by the Pay Commission and its acceptance apply only two cases in which the existing rules regulating grant of service pension to the employees provide for payment of pension upon completion of 10 years of qualifying service. The recommendations do not go further to suggest that pension must become payable on completion of 10 years of service even in cases where the existing service rules regulating the grant of such benefit did not provide for such payment. Mr. Dhull was unable to point out any provision in the pension regulations or elsewhere according to which pension may have been paid to any ex-army personnel upon his completing 10 years of service. Indeed there could be no provision in the light of the specific provisions contained in the Regulation 132 extracted earlier stipulating 15 years minimum qualifying service for purposes of pension. In the absence of any existing system of payment of service pension upon completion of 10 years of service prevalent in the Indian Army acceptance of the Pay Commission recommendations by the government would be of no assistance to the petitioner.”

The above, in our view, provides a complete answer to the submissions made on behalf of the petitioners that pro-rata pension becomes admissible by reason of the acceptance of the recommendations of the Fourth Pay Commission. The recommendations, it is noteworthy, simply envisage continuance of the existing system of payment of pension wherever such system is prevalent. They do not introduce a new system nor do the recommendations purport to reduce the qualifying service from 15 years to 10 years. So long as Regulation 132 of the Pension Regulations for the Army continues on the Statute Book and so long as the same has not been modified or amended to reduce the qualifying period from 15 years to 10 years or to provide for pro-rata
pension, the petitioners cannot stake any claim for such payment.

In the result, these petitions fail and are hereby dismissed but in the circumstances without any orders as to costs.
Sd/- T.S. THAKUR,J
Sd/- S.N. AGGARWAL, J

Read full court ruling:
Petitioners: IESL and Other Ranks
Related Reading
Indian Ex-services League and Other Ranks VS Union Of India: Supreme Court of India
Comments: A six year effort battling in courts. Truly we are a Nation saddled with Rules and Regulations that is mind boggling to decipher!