Dear Brig Kamboj,
In an idle reverie, I worked out the total terminal benefits received by two Cols who had put in identical lengths of service. Of them one retired in Dec 2005 and the other was luckier and served one month longer. The difference in their take home packages is a whopping nineteen lacs of rupees, tax free. Some friends tell me that this kind of anomalies have occurred during the previous pay commissions also. True. But the magnitude this time is far greater.
As far as I can see it, the hard feelings this time are unlikely to die out in a hurry. The legal eagles tell me that the government is pretty sure that they can hold their ground in the court of law. Indeed they may be able to make the case drag on for years on end, but I doubt that they can ever face the veterans face to face.
I do not see this 'movement' dying in a hurry!
The worksheet is given for those who care for figures.
Regards,
Maj Gen Surjit Singh (Retd)
Daylight Robbery which can haunt the Pre 2006 Retirees till doomsday
The typical military officer retiring these days is a Col or Col (TS). At the time of superannuating, he receives some terminal benefits, apart from his pension. I took the case of two such colonels one of whom retired in Dec 2005 and the other in January 2006, for the sake of comparison.
Benefits/ Jan 2006/ Dec 2005
Gratuity/ 10,00,000/ 3,50,000
Leave encashment/ 6,96,000/ 4,14,000
Commutation/ 18,91000/ 9,40,000
Total/ 35,87,000/ 17,04,000
The monthly pension is as under:
Full pension/ 31,200/ 26,050
Commuted portion/ 15,600/ 6,509
Residual pension +DA-CV(Jul 09)/ 24,024/ 26,574
With each passing year, Jan 2006 retiree will get a greater sum, because his DA will accrue on a larger ‘basic’ pension, and by 2012, his monthly pension will also be higher.
The Bottom Line
It is evident that the officer who retired just one month later gets about nineteen lac rupees more than his colleague who went home just one month earlier. The difference in their dates of birth could be just one day! (And this amount is tax free). Even at a conservative 10% rate of interest, this can yield a monthly income of Rs 16,000 per month, with the capital intact. The officer born just one day later therefore becomes that much richer.
Saturday, August 29, 2009
Imphal: Army pensions misused by State Bank of India
Source: Hueiyen News Service / Newmai News Network
Imphal, August 28 2009: The individual bank accounts of 360 Army pensioners who have their respective bank accounts with State Bank of India (SBI), Chakpikarong branch, Chandel district of Manipur, for the purpose of drawing their respective monthly pensions are found misused by the branch manager, Chitrabhon Singh with his subordinate staff by way of forging their specimen signatures on the loose withdrawal cheques/ slips, alleged a press statement issued by RT Dahring, secretary of Ex-Servicemen's Association, Chandel district of Manipur.
The branch manager and his subordinate staff had abandoned the premises of SBI at Chakpikarong bazaar on October 18, 2008 after a hot argument with one ex-serviceman on October 17 over a matter concerning sanction of loan, claiming that they will not operate the bank until and unless the bank is provided with security guards and since then the SBI branch at Chakpikarong bazaar remained closed totally, informed the press statement.
Thereafter, the functioning of the SBI Chakpikarong branch started on December 8, 2008 from the premises of SBI Kakching branch, Thoubal district, where the account balance of the pensioners were transferred to A/C No 30644212885, belonging to the branch manager, Chitrabhon Singh, without the knowledge and consent of the pensioners, it stated.
Monthly pension of the Army pensioners were withdrawn by forging their signatures and the withdrawn amounts were distributed to the pensioners at their houses by one of the bank staff who is a local man, after deduction of certain amounts varying from Rs 300 to Rs 1000 from each and every pensioner, which many of the pensioners refused to accept, further alleged RT Dahring.
Monthly pension of even those who had already expired have been found withdrawn which have caused unnecessary problems in the process of conversion to family pension, and some pensioners have not received their pension for more than one year due to the lack of transparency of the bank staff, lamented the pensioners.
Highlighting the plight of the pensioners and requesting necessary corrective actions, the Chandel district ex-servicemen's association had submitted a representation to the chief minister of Manipur to provide security guards to SBI Chakpikarong branch to ensure functioning of the bank at Chakpikarong itself rather than at Kakching in the interest of the pensioners and the public, stated the press release, and it further stated that the grievances faced by the pensioners had also been highlighted to the Union defense minister and GOC, 57 Mountain Division, C/O 99 APO.
If the request of the ex-servicemen's association is not attended and redressed immediately, they would resort to any other form of action as they deem fit, the press statement warned.
Chandel Army pensions misused
Imphal, August 28 2009: The individual bank accounts of 360 Army pensioners who have their respective bank accounts with State Bank of India (SBI), Chakpikarong branch, Chandel district of Manipur, for the purpose of drawing their respective monthly pensions are found misused by the branch manager, Chitrabhon Singh with his subordinate staff by way of forging their specimen signatures on the loose withdrawal cheques/ slips, alleged a press statement issued by RT Dahring, secretary of Ex-Servicemen's Association, Chandel district of Manipur.
The branch manager and his subordinate staff had abandoned the premises of SBI at Chakpikarong bazaar on October 18, 2008 after a hot argument with one ex-serviceman on October 17 over a matter concerning sanction of loan, claiming that they will not operate the bank until and unless the bank is provided with security guards and since then the SBI branch at Chakpikarong bazaar remained closed totally, informed the press statement.
Thereafter, the functioning of the SBI Chakpikarong branch started on December 8, 2008 from the premises of SBI Kakching branch, Thoubal district, where the account balance of the pensioners were transferred to A/C No 30644212885, belonging to the branch manager, Chitrabhon Singh, without the knowledge and consent of the pensioners, it stated.
Monthly pension of the Army pensioners were withdrawn by forging their signatures and the withdrawn amounts were distributed to the pensioners at their houses by one of the bank staff who is a local man, after deduction of certain amounts varying from Rs 300 to Rs 1000 from each and every pensioner, which many of the pensioners refused to accept, further alleged RT Dahring.
Monthly pension of even those who had already expired have been found withdrawn which have caused unnecessary problems in the process of conversion to family pension, and some pensioners have not received their pension for more than one year due to the lack of transparency of the bank staff, lamented the pensioners.
Highlighting the plight of the pensioners and requesting necessary corrective actions, the Chandel district ex-servicemen's association had submitted a representation to the chief minister of Manipur to provide security guards to SBI Chakpikarong branch to ensure functioning of the bank at Chakpikarong itself rather than at Kakching in the interest of the pensioners and the public, stated the press release, and it further stated that the grievances faced by the pensioners had also been highlighted to the Union defense minister and GOC, 57 Mountain Division, C/O 99 APO.
If the request of the ex-servicemen's association is not attended and redressed immediately, they would resort to any other form of action as they deem fit, the press statement warned.
Chandel Army pensions misused
Ex-servicemen plan stir on ‘One rank one pension’
Saturday, Aug 29, 2009The Hindu: Special Correspondent
NEW DELHI: The Indian Ex-servicemen Movement on Friday threatened to re-launch their agitation by returning their medals protesting against the government’s recent decision on ‘One rank one pension” stating it did not meet the demand.
Addressing a press conference, the Movement president Lt. Gen (Retd) Raj Kadiyan and his deputy Major General (Retd) Satbir Singh said here that while announcing it, the government said that in order to improve the pension of retired Lt. Generals, it proposed that a separate pay scale may be created for the officers of the level and this would be extended to Additional Secretaries.
“What a clever way for a Committee tasked solely with looking into the issues of One Rank One Pension that pertains to Defence Forces and for which ex-servicemen have been struggling, to benefit their own class,” the Movement said in its release.
It said while less than one per cent of defence officers rose to the rank of Lt. Generals, more than 70 per cent bureaucrats become additional secretaries. Lt. Gen. Kadiyan said, unlike a bureaucrat who continued to serve till 60 years, in the services, the personnel retired as per their rank.
He said while the bulk of persons below the officers rank retired around 35 years, most officers retired around 54 years, when they became Colonels or equivalent ranks in the Navy and Air Force.
Since, the avenues of promotion were restricted, a Brigadier ranked officer retired around 56 years and so on. “There is no provision in the government to retain the retired personnel till 60.”
He said the demand was that equal pension benefits should be given to the retiring personnel based on the duration of their service irrespective of the time they retired.
Ex-servicemen plan stir on ‘One rank one pension’
NEW DELHI: The Indian Ex-servicemen Movement on Friday threatened to re-launch their agitation by returning their medals protesting against the government’s recent decision on ‘One rank one pension” stating it did not meet the demand.
Addressing a press conference, the Movement president Lt. Gen (Retd) Raj Kadiyan and his deputy Major General (Retd) Satbir Singh said here that while announcing it, the government said that in order to improve the pension of retired Lt. Generals, it proposed that a separate pay scale may be created for the officers of the level and this would be extended to Additional Secretaries.
“What a clever way for a Committee tasked solely with looking into the issues of One Rank One Pension that pertains to Defence Forces and for which ex-servicemen have been struggling, to benefit their own class,” the Movement said in its release.
It said while less than one per cent of defence officers rose to the rank of Lt. Generals, more than 70 per cent bureaucrats become additional secretaries. Lt. Gen. Kadiyan said, unlike a bureaucrat who continued to serve till 60 years, in the services, the personnel retired as per their rank.
He said while the bulk of persons below the officers rank retired around 35 years, most officers retired around 54 years, when they became Colonels or equivalent ranks in the Navy and Air Force.
Since, the avenues of promotion were restricted, a Brigadier ranked officer retired around 56 years and so on. “There is no provision in the government to retain the retired personnel till 60.”
He said the demand was that equal pension benefits should be given to the retiring personnel based on the duration of their service irrespective of the time they retired.
Ex-servicemen plan stir on ‘One rank one pension’
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