Kerala High Court
Shankar Satish vs Union Of India on 9 July, 2025
Author: Amit Rawal
Bench: Amit Rawal
1
W.P(C) Nos.18298 & 46795 of 2024
2025:KER:50833
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE AMIT RAWAL
&
THE HONOURABLE MR.JUSTICE P. V. BALAKRISHNAN
WEDNESDAY, THE 9TH DAY OF JULY 2025 / 18TH ASHADHA, 1947
WP(C) NO. 18298 OF 2024
(AGAINST THE ORDER/JUDGMENT DATED 23.01.2023 IN OA
NO.275 OF 2018 OF ARMED FORCES TRIBUNAL,REGIONAL
BENCH,KOCHI)
PETITIONERS:
1 UNION OF INDIA,
REPRESENTED BY THE CHIEF OF NAVAL STAFF
INTEGRATED HEADQUARTERS, MOD (NAVY) D-IIWING,
SENA BHAVAN, NEW DELHI, PIN - 110011
2 THE VICE CHIEF OF NAVAL STAFF,
CHAIRMAN, SECOND APPELLATE COMMITTEE FOR
DISABILITY PENSION INTEGRATED HEADQUARTERS, MOD
(NAVY) D-II WING, SENA BHAVAN, NEW DELHI, PIN -
110011
3 PRINCIPAL DIRECTOR OF PAY & ALLOWANCES
D-II WING, IHQ, MOD (NAVY), SENA BHAVA NEW
DELHI, PIN - 110105
BY ADVS.
SRI.ABDUL RAOOF PALLIPATH
SHRI.M.S.KIRAN, SC, NATIONAL COMMISSION FOR
INDIAN SYSTEM OF MEDICINE (NCISM)
2
W.P(C) Nos.18298 & 46795 of 2024
2025:KER:50833
RESPONDENT:
CAP(IN) S SATHISH VSM (RETD)
P NO.02166-Y, AGED 65 YEARS, PPO
NO.0000043/2012 FLAT NO.I-0, KRISHNA GLADE,
105/1, 1ST MAIN SHESHADRIPURAM RD PALACE
GUTTAHILLI CIRCLE, KUMARA PARK (W) BANGALORE,
PIN - 560020
BY ADVS.
SRI.T.R.JAGADEESH
SRI.V.A.VINOD
SHRI.ADI NARAYANAN
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY
HEARD ON 09.07.2025, ALONG WITH WP(C).46795/2024, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
3
W.P(C) Nos.18298 & 46795 of 2024
2025:KER:50833
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE AMIT RAWAL
&
THE HONOURABLE MR.JUSTICE P. V. BALAKRISHNAN
WEDNESDAY, THE 9TH DAY OF JULY 2025 / 18TH ASHADHA, 1947
WP(C) NO. 46795 OF 2024
PETITIONER:
SHANKAR SATISH
AGED 66 YEARS
FLAT NO I-0, KRISHNA GLADE, 105/1, 1ST MAIN
SHESHADRIPURAM RD, PG CIRCLE, KUMARA PARK (W),
BANGALORE, KARNATAKA, PIN - 560020
BY ADV SHANKAR SATISH(PARTY-IN-PERSON)
RESPONDENTS:
1 UNION OF INDIA
REPRESENTED BY THE CHIEF OF NAVAL STAFF,
INTEGRATED HEADQUARTERS, MOD (INDIAN NAVY), D-
II WING, SENA BHAVAN, NEW DELHI, PIN - 110011
2 THE VICE CHIEF OF NAVAL STAFF
CHAIRMAN, SECOND APPELLATE COMMITTEE FOR
DISABILITY PENSION, INTEGRATED HEADQUARTERS,
MINISTRY OF DEFENCE (NAVY), SENA BHAVAN, NEW
DELHI, PIN - 110011
3 THE PRINCIPAL DIRECTOR OF PAY AND ALLOWANCES
D-II WING, INTEGRATED HEADQUARTERS, MINISTRY OF
DEFENCE (NAVY), NEW DELHI, PIN - 110011
4
W.P(C) Nos.18298 & 46795 of 2024
2025:KER:50833
BY ADV SHRI.S.BIJU, ADV.M.S.KAVERI SENIOR PANEL
COUNSEL
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY
HEARD ON 09.07.2025, ALONG WITH WP(C).18298/2024,
THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
5
W.P(C) Nos.18298 & 46795 of 2024
2025:KER:50833
AMIT RAWAL,
&
P.V.BALAKRISHNAN,JJ.
-------------------------------------
W.P(C) Nos.18298 & 46795 of 2024
---------------------------------
Dated this the 9th day of July 2025
COMMON JUDGMENT
P.V.BALAKRISHNAN,J These writ petitions are filed challenging the order dated 23.01.2023 in O.A.No.275/2018, passed by the Armed Forces Tribunal, Regional Bench, Kochi.
2. W.P.(C) No.46795/2024 is filed by the applicant and W.P.(C) No.18298/2024 is filed by the respondents in O.A.No.275/2018.
3. The applicant, a Captain in the Indian Navy, was commissioned on 01.07.1980 and retired on superannuation on 31.03.2012. According to the applicant, while he was in service, contracted Lumbar Spondylosis, Cervical Spondylosis and loss of hearing. But the Release Medical Board refused to evaluate the degree of his disability at the time of his 6 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 examination, before retirement. Aggrieved by the denial of disability pension by the adjudicating authority, the applicant preferred an appeal before the Appellate Committee and the same was rejected. In the second appeal preferred before the Appellate Authority, a Reconciliation Medical Board was constituted to assess the applicant's disabilities. In 2015, the recommendation of the Reconciliation Medical Board was forwarded to the respondents. However, there was no response from their part. Therefore, the applicant filed O.A.No.90/2017 before the Armed Forces Tribunal and it directed the respondents to dispose off the second appeal, within two months. Consequently, Annexure A-6 order dated 13.12.2017 was passed and the applicant was granted disability element of pension @40% from the date of retirement i.e., 01.04.2012 to 31.12.2015 and @50% from 01.01.2016 onwards, with the benefit of rounding off. Accordingly, arrears amounting to Rs.15,35,141/- was paid to the applicant on 06.03.2018, but without any interest. According to the applicant, due to the delayed payment, he was constrained to pay a sum of Rs.73,333/- as income tax 7 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 for the years 2013-14,2014-2015 and 2015-16 and, the tax liability would not have accrued on him if the disability pension was sanctioned in time, on retirement. That apart, the applicant is also not given the rounding off benefit as held by the Apex Court in Union of India & others v. Ram Avtar [(2014) SCC OnLine SC 1761]. Hence, the applicant preferred O.A.No.275/2018 before the Armed Forces Tribunal claiming interest, rounding off benefit and refund of the amount paid by him as income tax.
4. The Tribunal, on an appreciation of the materials on record and after hearing both sides,allowed the O.A. in part. It directed the third respondent to issue Corrigendum PPO (Pension Payment Order) granting disability element of pension to the applicant with rounding off benefit @50% from 01.04.2012 till 31.12.2015 and to pay the arrears for the said period after adjusting the payment already made @40%. But, the Tribunal did not grant the applicant interest for the arrears paid and to be paid or directed refund of the amount paid by the applicant as income tax.
5. It is aggrieved by the non granting of interest, W.P. 8 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 (C) No.46795/2024 has been preferred by the applicant and, it is on the contrary, respondents on account of granting of the benefit of rounding off from the date of retirement, have preferred W.P.(C) No. 18298/2024.
6. Heard Sri.Shankar Satish, the applicant who appeared in person and and Adv.Abdul Raoof Pallipath learned Central Government Counsel appearing for the respondents/ Union of India and others.
7. The applicant submitted that, the failure on the part of the Tribunal to grant interest for the arrears of the disability pension, already paid and for the arrears to be paid after rounding off is illegal and cannot be sustained. He relied on an unreported judgment of the Apex Court dated 20.09.2016 in Davinder Singh v. Union of India and others (Civil Appeal No.9946/2016) and contended that the respondents are bound to pay interest for the delayed payment of the pension arrears. He further submitted that, it is only because of the laches and negligence on the part of the respondents, the disability pension, which the applicant was entitled at the time of retirement, has not been paid in 9 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 time and therefore, interest @9% may be granted for the entire amount.
8. Per contra, the learned Counsel for the respondents/Union of India and others submitted that the applicant could not point out any mala fide or willful negligence on the part of the respondents in sanctioning and paying the disability pension. He further submitted that, merely on the reason that there was an inordinate delay in granting any financial benefits to the Armed Forces Personnel, one cannot claim interest unless and until any kind of vitiating element is substantiated by the applicant, with cogent evidence. He argued that, as per Annexure A6 order dated 13.12.2017, broad-banding benefit has been granted only with effect from 01.01.2016 and, therefore, the order passed by the Tribunal in granting the said benefit from 31.03.2012 is illegal and cannot be sustained.
9. The first question to be considered is whether the granting of rounding off benefit to the disability element of pension of the applicant by the Tribunal from the date of retirement i.e., from 31.03.2012 onwards is correct or not? It 10 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 is not in dispute that the applicant has superannuated from his service on 31.03.2012. It is to be seen that as per Annexure A6 order dated 13.12.2017, the applicant was sanctioned grant of disability pension @40% for life with effect from his date of retirement and @50% for life only with effect from 01.01.2016, after broad-banding the assessed disability. The question whether a person, who had retired on superannuation with disability, is entitled to get rounding off benefit has been answered by the Apex court in the decision in Union of India and others v. Ram Avtar (cited supra) and Davinder Singh's case (cited supra). The Apex Court has, in these decisions, categorically held that the applicant in such cases must be granted the benefit of rounding off from the date of retirement. Therefore, we find no error in the order of the Tribunal granting disability element of pension @50% for life after rounding off, from 31.03.2012 onwards i.e; date of retirement.
10. The next point to be considered is whether the applicant is entitled to interest for the delayed payments made by the respondents and also for the amount of 11 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 disability pension awarded by the Tribunal on the basis of rounding off. The materials on record show that even though the applicant had retired on 31.03.2012, the Release Medical Board did not assess his disability and that it is only when the applicant challenged the non-granting of disability pension, the Second Appellate Authority constituted the Reconciliation Medical Board and assessed the disabilities. It is very pertinent to note that even though the Reconciliation Medical Board assessed the disability of the applicant and forwarded the recommendation in January 2015 itself, Annexure A6 order granting disability pension has been passed only on 13.12.2017, and that too on the basis of the orders passed by the Tribunal, in an application moved by the applicant. It is also to be seen that it is thereafter, the arrears of pension, as ordered in Annexure A6, was paid. The records thus shows that it is only due to the inaction and laches on the part of the respondents, the delay in ascertaining the disability and payment of disability pension with arrears, had occurred. It would be apt to keep in mind that the applicant was entitled to get the disability element of pension thus assessed 12 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 immediately after his retirement and, therefore, it can be stated that the same will definitely cause undue hardship and financial loss to the applicant. Be that as it may, as rightly contended by the applicant, the Hon'ble Apex Court in Davinder Singh's case (cited supra) has also upheld the rights of an applicant to get interest for the delayed payments, including arrears which were granted by rounding off the disability.
11. In the light of the afore discussions, we find that the applicant is entitled to 6% interest p.a. for the arrears paid to him with effect from the date of his retirement. Similarly, the applicant is also entitled to get 6% interest p.a. on the amount equivalent to the additional 10% of the rounding off benefit granted by the Tribunal, from the date of his retirement.
12. In the result, W.P.(C) No.18298/2024 is dismissed and W.P.(C) No.46795/2024 is allowed in part as follows:
i) The petitioner/applicant is granted @ 6% interest p.a. for the arrears of disability pension paid to him in 2018, from the date of his 13 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 retirement.
ii) The petitioner/applicant is also entitled to @ 6% interest p.a. on the additional 10% of the rounding off benefit granted by the Tribunal, from his date of retirement, till payment.
iii) The 3rd respondent is directed to issue Corigendum Pension Payment Order to the applicant incorporating the afore benefits and to pay off the amount thus ordered within a period of four months.
Sd/-
AMIT RAWAL Judge Sd/-
P.V. BALAKRISHNAN Judge dpk 14 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 APPENDIX OF WP(C) 46795/2024 PETITIONER EXHIBITS Exhibit P1 ORIGINAL APPLICATION OA 275 OF 2018 Exhibit P2 REPLY OF RESPONDENT IN OA Exhibit P3 ORDER OF HON'BLE AFT DT 23-01-2023 Exhibit P4 EXTRACT OF GUIDE TO MEDICAL OFFICER, 2002 Exhibit P5 EXTRACT OF GUIDE TO MEDICAL OFFICERS, 2008 Exhibit P6 MOD LETTER 1(2)/2002/ D(PEN-C) DT 01 SEP 2005 Exhibit P7 EXTRACT OF NAVY (PENSION) REGULATIONS, 1964 Exhibit P8 EXTRACTS OF GOI LETTER NO.
1(2)/97/D(PEN-C) DT 31-01-2001 Exhibit P9 EXTRACT OF CCS (PENSION) RULES 2021 15 W.P(C) Nos.18298 & 46795 of 2024 2025:KER:50833 APPENDIX OF WP(C) 18298/2024 PETITIONER EXHIBITS Exhibit P1 A TRUE COPY OF THE ORIGINAL APPLICATION IN O.A NO. 275/2018 ON THE FILE OF ARMED FORCES TRIBUNAL REGIONAL BENCH AT KOCHI Exhibit P2 THE TRUE COPY OF THE REPLY STATEMENT Exhibit P3 A TRUE COPY OF THE ORDER IN OA 275/2018 DATED 23.01.2023 OF THE HON'BLE ARMED FORCES TRIBUNAL REGIONAL; BENCH KOCHI ARMED FORCE TRIBUNAL RESPONDENT EXHIBITS Exhibit R1(a) True copy of relevant extract of Rule 8 of Chapter I of Guide to Medical officers, 2002.
Exhibit R1(b) True copy of relevant extract of Rule 3 and 12 of Chapter VII of Guide to Medical Officers, 2008 Exhibit R1 (c) True copy of MoD letter No. 1 (3)/2002/D (Pen/Policy) dated 15 Feb 2010.
Exhibit R1(d) True copy of GOI (MoD) letter No. 1(2)/97/D (Pen-C) dated 31 Jan 2001 Exhibit R1(e) True copy of letter F No. 3 (11)2010-D (Pen/Legal)-Pt V dated 18 Apr 2016 Exhibit R1 (f) True copy of relevant extract of part 1 Chapter II Sec.4 Rule No.33 of Naval Pension Regulations 1964.
Exhibit R1(g) True copy of relevant extract of Rule 94 (c) of the Pension Regulations for the Army , Part I (2008) Exhibit R1 (h) True copy of Govt of India Office memorandum No. 45/22/97-P and PW (c) dated 03.2.2000.