From: Kishan Gopal Behl [mailto:email@example.com]
Sent: 24 March 2010 07:48
To: Kamboj Chander
Subject: Re: IMPORTATNT EMAIL REGARDING MAJORS & EQUIVALENTS - "REPORT MY SIGNAL" - EMAIL 138/2010 - 23 MAR 2010 (A to G)
Supreme Court Judgment to restore Rank Pay dues, being denied to Defence Officers from 1.1.1986, is not a Bonanza but late Pay.
President Dehradun Ex-Services League.
The Hon’ble Supreme Court of India in their Judgment has ordered to restore deductions made from Basic Pay of Defence officers equivalent to the Rank Pay and include Rank Pay as additional Pay from 1.1.1986 and revise all Pay/Pension calculations based on that. It is not a Financial Bonanza as being published in media but is restoration of dues being denied to them for such a long time. It cannot compensate the losses suffered by many in different fields due to these and especially by those who left us and their families. Though it a matter of happiness that the Hon’ble Supreme Court has up held justice long being denied but all the same it is sad that the culprits have been left unpunished and no strictures have even been passed against those who openly flouted the Court Judgments and did not follow the laid down Court rules and precedents.
When SLP was dismissed by the Supreme Court of India on Hon’ble Kerala High Court Judgment the MOD should have immediately implemented the orders for all affected rather than restricting those to only the appellant. as there was a Judgment of Hon’ble Supreme Court already available where the Court had delivered a judgment asking Govt. that the concerned departments should set right the similar mistakes as pointing out in a particular case without referring to the Court again. There are precedents where the MOD has rectified such mistakes on this basis and differences were either paid or recovered without reference to any court of law. In this case persons having similar cases should not have been made to go to courts and the MOD should have settled the cases accordingly at their own rather than delaying it for so many years. It has unnecessarily delayed matters and made many officers suffer especially those who have left us during this long period and family pensioners. Anyhow we hope that the refixing of Pay/Pension will be done fast and payment of arrears will be paid soon. We hope that this time the arrears will be worked out by the CDA concerned and final figure will be given to PDAs to pay rather than asking PDAs to work out arrears and pay which caused lot of confusion and delay as experienced earlier during payments of 6th CPC.
Very many people may not know that Rank Pay was introduced by the IV Central Pay Commission as Special Pay and was to be paid in addition to the substantive pay of the post/rank held. It was shown on the Pay Slip as Rank Pay paid but instead of giving additional pay, as sanctioned by the IV CPC, an equivalent amount was deducted from the substantive Pay, fixed for the Rank This amounted, to not only denying the officers the additional rank pay but lowering the Basic Pay, in comparison to their counter parts in civil, on which status, DA and other allowances are worked on. This Rank Pay became double under the 5th CPC award with 100% merger of DA but the increased portion was only paid as Rank Pay and the earlier deduction continued. The 6th CPC also made all calculations on the reduced Basic Pay and accordingly awarded lower status and Grade to Defence Officers in comparison with their civilian counterparts and there was a chaos and protests where Govt. had to revise Grade Pay but did not go into the root cause, which was less basic pay which needed to be restored. If you restore the basic pay some of the officers automatically will jump into next scale and get entitled to better scale and Grade, especially junior ranks. Thus to say that it has nothing to do with 6TH CPC is wrong. The Pay and Allowances/ Pension fixed by 6th CPC on the basis of reduced Basic Pay needs to be revised.
All officers who were serving on 1.1.1986 and where reduction in Basic Pay has been made, it has to be restored and arrears paid for the period the deductions continued, depending upon the rank held. The amount will vary as the rank goes up as deductions have been made as per rank held at that time. 50% of the deducted amount will be due from the date one retired. Officers of the rank of Maj Gen and above, who served as Col/ Brigadier during the period are eligible for arrears for that period they served in that rank after 1.1.1986.
It may not be correct to say that the officers who were commissioned/ retired post 1996 will not be affected as these facts were not brought to the notice of the 5th and 6th CPC and officers were paid at less Basic Pay and half of the Rank Pay due to them. The rank pay got doubled during 5th CPC, due to merger of 100% DA but only half was paid to officers and half continued to be deducted from basic pay e.g. the rank pay of a Capt. had become Rs.600/- during 5th CPC but they were paid Rs.300/- as Rank Pay and rest was deducted from basic pay. Since Rank Pay has to be included in the Pay while calculating an Officers Pay /Pension, wherever it has not been taken into consideration, either full or half, while working, the emoluments have to be recalculated and difference paid as arrears with 6% interest there on.
In a historic Judgment the Apex Court has held on 08.03.2010( T.P.(C) No. 56/2007 that the judgment dated 05.10.1998 of Kerala High Court P.P.No.2448/1996 and as confirmed by the Division Bench of the same High Court in W.A.No.518/1999(Appeal) is correct and benefit of this judgment be extended to all eligible officers of Armed Forces With 6% interest on the amount due.
Gist of Rank Pay Judgment of the Supreme Court of India
5. The matter was heard and finally disposed of by the Hon'ble Supreme court by the Bench of Hon'ble Mr. Justice Markendey Katju & Hon'ble Mr. Justice R.M. Lodha today i.e. 08.03.2010 (Court-7, Item-84). The Apex Court has held that the judgment dated 05.10.1998 of the Hon'ble Single Judge of Kerala High Court in P.P. No. 2448/1996 as confirmed by the Hon'ble Division Bench of the same High Court in W.A. NO. 518/1999 (Appeal) was correct and reasonable and as such the benefit of this judgment be extended to all eligible officers of Armed Forces. The Hon'ble Apex Court awarded 6% interest on the amount due to the officers. The Hon'ble Supreme court disposed of the transfer petition and allowed the writ petitions of the petitioners.
Since the Rank Pay has been deducted from the Basic Pay and all calculations are worked on basic pay it involves refixing of basic pay and working out emoluments on that basis and then working out arrears from 01-01-1986.