Government delays pension dues for retired officials despite CAT order

Siddharth More one of the applicants

It took nine long months for the central government to implement the order of The Central Administrative Tribunal (CAT), Mumbai, which directed the central government to clear the retirement emoluments and revise the pension of three retired senior officials of Dattopant Thengadi National Board for Workers Education and Development (DT-NBWED) within three months from the order's passing in February 2023.

A contempt proceeding letter was also issued by their advocate, and in response, the department intimated that upon approval from the Ministry of Labour and Employment, each of them would now receive approximately an addition of Rs 16 lakh towards retirement emoluments and an increased monthly pension of Rs 55,000 plus (including pension, DA and medical).

The applicants

The applicants include Mallikarjun Mathapati, 63, Shivalingappa Sandimani, 63, and Siddharth More, 63.

According to them, they were entitled to a pension based on their last pay or the average of the last ten months, whichever was more advantageous to them, as per Pension Rules, 1972, and government instructions from time to time.

Yet to get letter

More is currently recovering after a major surgery, and is still waiting for the letter from the department headquarters in Delhi. More said, "My two colleagues, received letters informing them of the implementation of the CAT order. The accounts department at the headquarters in Delhi confirmed that they dispatched my letter on October 10 through speed post, but I am still waiting."

90 days to 9 months

More added, "I am pleased that the Ministry of Labour and Employment has acknowledged the CAT order. However, instead of the mandated 90 days for implementation, it has now been nine months since the order was passed." He continued, "I was going through a financial crisis. It was only when our advocate, Rajeshwar Panchal, sent a letter to the department head, suggesting we might file a contempt petition, that we received a positive response."

"In the reply, the department requested the advocate not to initiate contempt proceedings, as the Ministry of Labour and Employment accepted the CAT order. According to the revised letter received by two of my colleagues, they can expect a lump sum of around additional Rs 16 lakh in retirement arrears and an increase in monthly pension to Rs 55,000 plus, including pension, DA and medical charges, starting from next month."

Deteriorating health

Speaking about his deteriorating health, More added, "This money means a lot, especially considering I've spent the last few months in and out of the hospital due to my poor health condition. I had to spend nearly Rs 7 lakh, and I am still recuperating."

Money not received yet

MS Mathapati, Regional Director (retired) from Belgaum, shared, "I have received a letter informing me about the revised calculations of my arrear dues. However, the funds have not been transferred to my bank account yet. The letter also mentions that the department may consider appealing the CAT order, along with other conditions. I hope that the revised pension will be implemented from the coming month, November."

Advocate Rajeshwar Panchal

The case

Advocate Rajeshwar Panchal, who represented the retired employees, explained, "These three applicants approached me with grievances. Consequently, I filed three cases before the Central Administrative Tribunal (CAT) in Mumbai. The Bench allowed their cases, noting that similarly situated employees of the Board had already been granted similar relief."

Other side

Panchal added, "In fact, the GOI and the Board opposed the case during the arguments before the CAT, citing an order from the Jabalpur High Court. This order was based on a judgment in the case of SS Dangi vs. Union of India, which I had handled before the Mumbai Bench seven to eight years ago. Thankfully, the Jabalpur High Court eventually (on July 26, 2022) vacated the stay and dismissed the government's appeal against the Jabalpur Bench's order."

Order

Regarding the order, Harvinder Kaur Oberoi, Member (J), CAT, Mumbai, stated, "The respondent had relied heavily on an interim stay granted by the Madhya Pradesh HC to deny pensionary benefits on the revised pay scale. As the said petition has now been finally decided, it is appropriate to direct the respondents to release the pensionary benefits to the applicants in accordance with the conditions set out by the Madhya Pradesh HC , within three months."

Advocate speak

In conclusion, Panchal expressed, "I am very glad that the respondents have not forced us to file a petition for contempt. Retiral dues of any public servant are property within the meaning of Article 300A of the Constitution. However, it is common for retired public servants, especially senior citizens, to be dragged to court even to get their retirement dues. It may be late compliance, but it means a lot for my clients, who received nearly Rs 16 to 17 lakh towards the differential amount and will continue to receive a monthly pension at the revised rate, which will be almost Rs. 35,000/- exclusive of a 40% commutation. My clients have expressed their gratitude to me for the justice I could get for them."

Rs 16lakh
Approx additional amount the employees will now receive