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Chandigarh Administration And Others vs Central Administrative Tribunal And ...
2024 Latest Caselaw 20314 P&H

Citation : 2024 Latest Caselaw 20314 P&H
Judgement Date : 18 November, 2024

Punjab-Haryana High Court

Chandigarh Administration And Others vs Central Administrative Tribunal And ... on 18 November, 2024

Author: Arun Palli

Bench: Arun Palli

                           Neutral Citation No:=2024:PHHC:149305-DB




      IN THE HIGH COURT OF PUNJAB AND HARYANA AT
                     CHANDIGARH


                                                 CWP No.25266 of 2024
                                                 Reserved on: 30.09.2024
                                                 Pronounced on: 18.11.2024


Chandigarh Administration and others                  ....Petitioners

                                V/s

Central Administrative Tribunal and others            ....Respondents



CORAM: HON'BLE MR. JUSTICE ARUN PALLI
       HON'BLE MR. JUSTICE VIKRAM AGGARWAL


Present:    Ms. Madhu Dayal, Advocate with
            Ms. Shubreet Kaur, Advocate, for the petitioners.
            ***
VIKRAM AGGARWAL, J.

1. Challenge in the instant writ petition is to the order dated

14.12.2023 (Annexure P-1) passed by the Central Administrative Tribunal,

Chandigarh Bench, vide which the Original Application (OA) filed by

respondent No.2 was allowed and the petitioners were directed to pay

interest to respondent No.2 @ 6% per annum on the amount accrued to him

on revision of pension with effect from 01.08.2008 till the actual payment

was made, within a period of two months.

2. Respondent No.2 Randhir Singh retired as Lecturer

(Geography) on 31.07.2008 from the Government Model Senior Secondary

School, Sector 21, U.T., Chandigarh. The commutation of pension was

sanctioned on 21.11.2008. The basic pension was fixed at Rs.6166/- per

month. The commuted pension was calculated as Rs.2466/- per month and,

therefore, the pension payable after commutation was Rs.3700/- per month.

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Neutral Citation No:=2024:PHHC:149305-DB

This pension was to be disbursed through respondent No.5 i.e. State Bank of

India, Sector 10, Chandigarh.

3. Respondent No.2 preferred an original application before the

Central Administrative Tribunal, Chandigarh Bench, claiming Rs.8,68,893/-

on account of interest @ 24% per annum on delayed payment of

Rs.3,50,608/- in view of revision of pension which was paid after a delay of

10 years, 3 months and 26 days. Since respondent No.2 was not getting full

pension, he submitted communications dated 21.04.2018 (Annexure A-3)

and 02.05.2018 (Annexure A-4) requesting for release of pension as per the

latest circular of Chandigarh Administration. In response, he received a

letter dated 04.05.2018 (Annexure A-5), stating that his pension had already

been revised vide order dated 02.07.2010 in view of revision of 5th Pay

Commission with effect from 01.01.2006.

4. Letters dated 09.07.2018 (Annexures A-6 and A-7) were also

written by respondent No.2 with regard to payment of pension followed by

another letter dated 13.07.2018 (Annexure A-8) in response to which, he

received communication dated 21.08.2018 (Annexure A-8A) revising his

pension from Rs.6166/- per month to Rs.9622/- per month w.e.f. 01.08.2008.

Commuted pension was also revised to Rs.3848/- per month. The commuted

portion of pension @ Rs.1382/- was also restored along with the original

portion of the pension of Rs.2466/-. It was the case of respondent No.2 that

he was getting less pension to the tune of Rs.3456/- per month from

01.08.2008 to 27.11.2018 and his pension was revised w.e.f. 21.08.2018 i.e.

after 10 years, 3 months and 26 days of his retirement.

5. The sum of Rs.3,50,608/- was received without any interest

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Neutral Citation No:=2024:PHHC:149305-DB

leading to the filing of the original application.

6. The OA was opposed. The contesting respondents i.e. the

Chandigarh Administration (respondents No.2 to 5 in the OA and petitioners

herein) submitted a short reply opposing the claim of respondent No.2. It

was averred that the pay-scales of Punjab Government employees were

revised w.e.f. 01.01.2006 vide notification dated 27.05.2009, which was

later on adopted by the Chandigarh Administration. After its adoption, the

pay-scales of respondent No.2 were got revised from the office of the

Accountant General vide sanction dated 02.07.2010 (Annexure R-1). It was

averred that the revised pension case of respondent No.2 had been prepared

and sent on 19.02.2018 and even subsequently after revision on 17.01.2020.

The dismissal of the OA was also prayed for on the ground of limitation.

7. The Central Administrative Tribunal, allowed the OA, as has

been mentioned in the opening part of this judgment, leading to the filing of

the instant writ petition.

8. Learned counsel for the petitioner strenuously urged that the

impugned order dated 14.12.2023 (Annexure P-1) is not sustainable because

there was no fault at the end of the petitioners and further, interest could

have been granted for a maximum period of three years prior to the filing of

the original application. It was also submitted that revised pension had

already been paid as per letter dated 21.08.2018 and, therefore, the award of

interest by the Tribunal is unjustified. Learned counsel also submitted that

the Tribunal had failed to consider the ground of delay as respondent No.2

had failed to raise his grievance in time.

9. Having considered the submissions made by learned counsel for

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Neutral Citation No:=2024:PHHC:149305-DB

the petitioners, we find the writ petition to be devoid of merit. Respondent

No.2 retired as Lecturer (Geography) from the Government Model Senior

Secondary School, Sector 21, U.T., Chandigarh (petitioner No.4) on

31.07.2008. He was entitled to revised pay-scales w.e.f. 01.01.2006 and

revised pension w.e.f. 01.08.2008 as per the recommendations of the 5th Pay

Commission. As against this, the revised pension order was issued on

02.07.2010 mentioning that the pension/family pension would commence

from 01.08.2008. However, despite this, the revised pension was not

released to respondent No.2 and he was continued to be paid unrevised

pension as per old pay-scales. It was only when respondent No.2

approached his school (petitioner No.4) vide communication dated

02.05.2018 that he was being paid pension as per the old pay structure that

the matter was looked into. Respondent No.2 was then informed that his

case for release of revised pension has been held up for want of bank details

which were then supplied by respondent No.2. Accordingly, vide

communication dated 21.08.2018, the pension of respondent No.2 was

revised w.e.f. 01.08.2008. It, therefore, emerges that the pension of

respondent No.2 was revised w.e.f. 01.08.2008 though vide communication

dated 21.08.2018, meaning thereby that he was deprived of the amount that

he was entitled to for a period of more than 10 years. The petitioners and the

bank did not even bother to check up as to what pension was being paid to

the retired employee little realizing that most of the times, employees are not

aware of the intricacies of calculations. Considering the entire facts, the

Central Administrative Tribunal rightly came to the conclusion that

respondent No.2 would be entitled to interest on the delayed payment. It,

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Neutral Citation No:=2024:PHHC:149305-DB

therefore, rightly ordered payment of interest @ 6% per annum on the

amount accrued to respondent No.2 on revision of pension w.e.f. 01.08.2008

till the actual payment was made.

10. We do not find any illegality in the aforesaid decision because

there is an admitted delay in revision of the pension and its payment and that

too for no fault of respondent No.2.

11. The issue of limitation would not arise, for the pension was

revised on 21.08.2018 and payment was made without interest leading to the

filing of the original application in 2019. It cannot, therefore, be said that

there was delay in filing the original application.

12. The argument that interest could have been paid for a maximum

period of three years is also devoid of merit. Learned counsel for the

petitioners has not been able to point out any such provision restricting the

period to three years, especially when the fault was at the end of the

petitioners and not at the end of respondent No.2.

13. In view of the aforesaid facts and circumstances, we do not find

any merit in the instant writ petition and the same is accordingly dismissed.

              (ARUN PALLI)                     (VIKRAM AGGARWAL)
                  JUDGE                              JUDGE

Reserved on: 30.09.2024
Pronounced on: 18.11.2024
vcgarg

             Whether speaking/reasoned:               Yes
             Whether reportable:                      Yes/No




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