Central Administrative Tribunal - Cuttack
Ms Ctm Suguna vs Dopt on 25 May, 2022
1 O.A.No. 260/00363 of 2019
CENTRAL ADMINISTRATIVE TRIBUNAL
CUTTACK BENCH, CUTTACK
O.A.No. 260/00363 of 2019
Reserved on: 13.05.2022 Pronounced on: 25.05.2022
CORAM:
THE HON'BLE MR. SWARUP KUMAR MISHRA, MEMBER (J)
Ms. C.T.M. Suguna, IAS (Retd.), aged aobut 62 years,
D/o late C.T.Marudhachalam, Former Principal
Secretry-cum-Commissioner Consolidation, Odisha,
residing at- Plot No. 98/3130, Kalinga Nagar,
Ghatikia, Bhubaneswar-751003.
..... Applicant
For the Applicant : Mr. D.K.Mohanty, Counsel
-Versus-
1. Union of India represented through its Secretary
to Government of India, Ministry of Personnel, PG &
Pensions, Department of Personnel and Training,
New Delhi-110001.
2. The Chief Secretary, Government of Odisha,
Secretariat, Bhubaneswar, Dist. Khurda- 751001.
3. The Accountant General (A&E), Odisha,
Bhubaneswar, -751001.
..... Respondents
For the Respondents : Mr. J.K.Nayak, Counsel for UOI
Mr. J.Pal, Counsel for State
2 O.A.No. 260/00363 of 2019
ORDER
Swarup Kumar Mishra, Member (J):
The applicant, who is an IAS Officer of Odisha cadre (RR 1989), retired on 31.01.2018 (AN) has filed this O.A. seeking to quash the letter under Annexure-A/5 dated 13.02.2019 of the Accountant General (A&E) Odisha Region stating therein that question of payment of interest by them does not arise since they have timely processed and paid the pension and that they are not responsible for withholding the pension from May, 2018 to July 2018 with further prayer to direct the respondents to pay interest @ 18% on delayed payment of her retirement dues from the date it became due till the actual payment was made.
2. Respondents No.2 filed their counter stating inter alia that there is no policy or provision of the government of Odisha for payment of interest on delayed payment of pension, the prayer of the applicant does not deserve for any consideration. Be it an IAS Officer of Group-D, the procedure prescribed under the Rules is to be applied. Taking into consideration the ensuing date of retirement of the applicant (31.01.2018), Respondents No. 2 has furnished the dates of events to 3 O.A.No. 260/00363 of 2019 justify the steps taken for release of pension and other pensionary dues as under:
"30.08.2017: Ms C.T.M. Suguna, IAS(Retd) was requested to submit pension papers vide this Department letter No. 18524/AIS.I 27.11.2017: Pension papers received in GA&PG Department.
28.11.2017: Necessary clearance and NDC were sought for vide GA&PG Department letter No.27237/AIS.I dated 28.11.2017 and 27238/AIS.I dated 28.11.2017.
23.12.2017: Vigilance clearance was received in GA&PG Department.
29.12.2017: Pension papers were forwarded to the AG(A&E), Odisha vide CGA&PG Department letter No. 30414/AIS.I dated 29.12.2017.
20.01.2018: Provisional pension was sanctioned vide GA&PG Department letter No. 2123/AIS.I dated 20.01.2018.
24.01.2018: Original Service Book of Ms Suguna, IAS(Retd) was sent to the AG(A&E), Odisha vide GA&PG Department letter No. 2300/AIS.I dated 24.01.2018.
31.01.2018: Pension papers were returned from the AG(A&E), Odisha vide their letter dated 23.01.2018 for want of certain documents.
01.02.2018: In response to the letter from AG(A&E), Odisha required documents like Input Data Sheet, Form-II, Copy of Adhar and PAN card, etc. were sought for from the Board of Revenue, Odisha, Cuttack vide this Department letter No. 3127/AIS.I dated 01.02.2018.4 O.A.No. 260/00363 of 2019
08.03.2018: Reminder from AG(A&E), Odisha for submission of pension papers of Ms. Suguna, IAS(Retd.) was received in this Department.
15.03.2018: Reminder was sent to the Board of Revenue, Odisha, Cuttack vide this Department letter No. 7368/AIS.I dated 15.03.2018 for submission of documents.
07.04.2018: Revised pension papers as per the OSRP Rules, 2017 in favour of Ms. Suguna, IAS(Retd) was received from the Board of Revenue in this Department.
07.04.2018: Revised pension papers received from the Board of Revenue were forwarded to the AG(A&E), Odisha vide GA & PG Department letter No.9804/AIS.I dated 07.04.2018.
25.04.2018: Ms. CTM Suguna, IAS(Retd.) submitted the zero option form as per instruction of AG(A&E), Odisha and requested for Cessation Certificate of Provisional Pension.
26.04.2018: Zero option form was submitted to AG(A&E), Odisha vide GA&PG Department letter No. 11642/AIS.I dated 26.04.2018 and the Board of Revenue was requested for the Cessation Certificate in favour of Ms. Suguna, IAS(Retd.) vide Memo No. 11643/AIS.I dated 26.04.2018.
09.05.2018: AG(A&E), Odisha returned the pension papers for want of Cessation Certificate, Drawal Particulars of Provisional Pension and Final NDC.
22.05.2018: With reference to the letter from the AG(A&E), Odisha the Board of Revenue, Odisha, Cuttack were requested for Cessation Certificate and other documents vide GA & PG Department letter No. 14298/AIS.I dated 22.05.2018.
26.05.2018: NDC on Quarter from GA(Rent) Department was received in GA&PG Department.
30.05.2018: Cessation Certificate was received in GA&PG Department.5 O.A.No. 260/00363 of 2019
02.06.2018: Pension papers along with drawal particulars of Provisional Pension and other documents were resubmitted to the AG(A&E), Odisha vide GA&PG Department letter No 15581/AIS.I dated 02.06.2018.
19.06.2018: Ms CTM Suguna opted for drawal of Gratuity from Special Treasury No 1, Bhubaneswar. Same was forwarded to the AG(A&E), Odisha vide GA&PG Department letter. No 16960/AIS.I dated 19 06 2018.
06.07.2018: AG(A&E). Odisha sanctioned the gratuity amounting to Rs.10,00,000/- only which was inadvertently forwarded to the CPAO, New Delhi by AG(A&E), Odisha.
25.07.2018: Remaining Gratuity amounting to Rs. 10,00,000/- only was released by AG(A&E), Odisha.
04.08.2018: Gratuity Payment Order (GPO) for total of Rs 20,00,000/- were sent to Treasury for drawal of gratuity in favour of Ms. Suguna, IAS(Retd.) vide GA&PG Department letter No. 22420/AIS.I dated 04.08.2018."
In stating so, it has further been averred that Rule 19(A) of the AIS(DCRG) Rules, 1958 provides that if the payment of Gratuity or DCRG has been authorized after three months from the date when its payment became due, interest at the rate prescribed by the Central Government from time to time shall be paid on the amount of gratuity or death-cum-retirement gratuity in respect of the period beyond three months. The applicant while submitted her pension papers on 27.11.2017 opted to draw the pensionary benefits from CPAO New Delhi ,as such, the AG, (A&E) Odisha, Bhubaneswar pointing out certain 6 O.A.No. 260/00363 of 2019 deficiency/want of documents returned the pension papers of the applicant on 23.01.2018 for resubmission. Later on, the applicant changed her option on 19.06.2018 for drawal of Gratuity from special Treasury No. 1, Bhubaneswar and after completing all formalities the same were released in favour of the applicant. Thus, according to Respondent No.2, there was no delay in settlement of the pension and other pensionary dues. The applicant in absence of any provision under rules is not entitled to the interest either on pension or on gratuity as claimed by her and, therefore, this O.A. being devoid of merit is liable to be dismissed.
3. Respondent No. 3 A.G. Odisha has also filed counter in which it has been stated that applicant's pension papers were submitted by the Pension Sanctioning Authority (PSA in short), Addl. Secretary to Govt. of Odisha, vide letter dated 29.12.2017. On scrutiny of pension case, it was observed that various relevant documents, including original Service Book, input data sheet, Xerox copy of Adhar Card, PAN Card, 1st page of bank pass book etc. were wanting and, hence, his pension papers were returned to PSA for compliance under intimation to the applicant vide letter dated 23.01.2018. After some communications, PSA vide letter dated 07.04.2018 resubmitted pension papers of the 7 O.A.No. 260/00363 of 2019 applicant after sanctioning provisional pension w.e.f. 01.02.2018. Since Cessation Certificate of provisional pension was not submitted, applicant's pension papers were once again returned to PSA to re- submit with required documents. The PSA resubmitted the pension papers on 02.06.2018. Further, the applicant vide her representation dated 19.06.2018 intimated about her option to draw Gratuity at Special Treasury No.1, Bhubaneswar. Accordingly, Pension Payment Order and Gratuity Payment Order were authorized on 06.07.2018 and 25.07.2018 respectively. It is submitted that on reply to applicant's representation, it was intimated vide letter dated 13.02.2019 that on receipt of Pension Papers/Final NDS from PSA vide letter dated 19.06.2018, the pension case was processed and authority dated 06.07.2018 was issued in time. The provisional pension for the month of February to April, 2018 was sanctioned but to facilitate authorization of regular pension by this office through Central Pension Accounting Section, New Delhi, Cessation Certificate was issued without further sanction of provisional pension from May, 2018 onwards. Since, there was no delay on the part of AG Odisha question of payment of interest did not arise, which was intimated to the applicant in letter under Annexure-A/5 dated 13.02.2019 . 8 O.A.No. 260/00363 of 2019
4. By drawing the attention of this Tribunal to the various provisions of pension rules and law, Ld. Counsel for the applicant submitted that had the respondents processed the pension papers prior to one year of her retirement, the delay in disbursement of the statutory dues of pension and pensionary benefits could have been avoided and, therefore, the delay being not attributable to the applicant, she is entitled to the interest both on pension and gratuity. Further, it has been stated that the applicant is an All India Service office rand is covered and governed by the provision of CCS (Pension) Rules 1972 and AIS (DCRG) Rules, 1958 and, therefore, the stand of the respondents that as there is no provision in the OCS (Pension) Rules, the applicant is not entitled to pension cannot be countenanced in facts and law. Hence, he has prayed for grant of the relief claimed in the O.A.
5. On the other hand, Ld. Counsels appearing for the respective respondents by reiterating the date of events have made all endeavour to persuade this Tribunal that there being no delay and the delay, if any, occasioned was not intentional but for reasons of collecting all papers from different places of work of the applicant and that the change of option from drawal of gratuity the applicant is not entitled to the interest.
9 O.A.No. 260/00363 of 2019
6. After giving thoughtful consideration to the arguments advanced by the respective parties, this Tribunal does not appreciate the date of processing of the pension papers of the applicant on the face of specific provision and reiteration by the DoP&T by issuing O.Ms. time and again inter alia stating that timelines have been prescribed under the CCS (Pension) Rules, 1972 for each activity involved in the processing of a pension case and for payment of pension and gratuity to a retiring Government servant. As per this timeline, the process of verification of service and other preparatory work should be undertaken one year before a Government servant is due to retire on superannuation, the Government servant should submit the forms six months before retirement, the Head of Office should send the pension case to the PAO four months before retirement and the PAO should issue PPO and send it to CPAO one month before retirement. The CPAO is required to issue the Special Seal Authority within 21 days thereafter. The applicant is an All India Service officer and is not governed by the Odisha Pension Rules but by the CCS(CCA) Pension Rules and the AIS (DCRG) Rules, 1958. It is not a case where the applicant retired prematurely rather she retired from service on the date already prefixed on reaching the age of superannuation w.e.f. 31.01.2018. Rule 56 of CCS (Pension) 10 O.A.No. 260/00363 of 2019 Rules provides that every Head of Office shall undertake the preparatory work for processing of pension case one year before the date on which a Government servant is due to retire on superannuation, or on the date on which he proceeds on leave preparatory to retirement, whichever is earlier. Rule 65 of the CCS(Pension) Rules, 1972 deals with regard to interest on delayed payment of gratuity, pension and family pension wherein it has been provided that in all cases where provisional pension or provisional family pension or provisional gratuity has not been sanctioned in accordance with these rules or where the payment of pension or family pension or gratuity has been authorized later than the date when its payment becomes due, including in the cases of retirement otherwise than on superannuation, and it is clearly established that the delay in payment was attributable to administrative reasons or lapses, interest shall be paid on arrears of pension or family pension or gratuity at the rate and in the manner as applicable to General Provident Fund amount in accordance with the instructions issued from time to time. It has been held by the Hon'ble Supreme Court in a series of judgments reported as R.P.Kapur vs. Union of India, 1999 (8) SCC 110; R.R. Bhanot vs. Union of India, 1994 (2) SCC 406; State of Kerala vs. 11 O.A.No. 260/00363 of 2019 N.Padmanabhan Nair, 1985 Vol. 1 SCC 429; O.P.Gupta vs. Union of India, 1987 (4) SCC 328 and Uma Agarwal vs. State of U.P., 1999 (3) SCC 438, that if there is any delay in grant of pension, the pensioner is entitled to interest on the pension paid with delay inasmuch as pension is not a bounty, which is granted by the Government. Payment of interest on delayed payment of gratuity is mandatory and not discretionary when such delay in the payment of gratuity was not due to the fault of the employee [H. Gangahanume Gowda v. Karnataka Agro Industries Corpn. Ltd., (2003) 3 SCC 40,].
7. Further, it has come to the notice that as against the order of this Tribunal in OA No. 590/2011 (Balaram Jena Vs. UOI & Ors.), the applicant approached before the Hon'ble High Court in W.P.(C) No. 12927/2012 and the Hon'ble High Court of Odisha, by placing reliance on the decision in the case of Dhruba Charan Panda Vs. State of Orissa, 1999 (II) OLR 433, vide order dated 22.04.2022 was pleased to direct payment of interest on the delayed payment of pensionary dues from the date it became due to him till the actual payment was made. In the instant case, as it is borne from the record the delay was occasioned due to the fault of the respondents in not timely processing the pension papers of the applicant as per the DoP&T O.M. referred to above. 12 O.A.No. 260/00363 of 2019
8. In view of the facts and law stated above, it is held that the applicant is entitled to interest at the rate applicable to GPF deposits on the delayed pension from the date it became due till actual payment is made. The applicant shall also be entitled to the interest on the gratuity after three months of moratorium period from the date of retirement till the amount is actually paid, which the Respondents are directed to calculate and pay to the applicant within a period of 90 days from the date of receipt of a copy of this order.
9. O.A. is accordingly allowed by leaving the parties to bear their own costs.
(SWARUP KUMAR MISHRA) Member (Judicial) RK/PS