Dismissed

State of Karnataka v. Dr. S. Rajendran, IFS (Retd.)

Karnataka HC4 Jun 2024/5492/2024

Case brief

AI extract

What is this about?

The State challenged the Central Administrative Tribunal's order directing interest on delayed payment of commuted value of pension, relying on a later Office Memorandum prohibiting such interest. The court found the memorandum postdated and did not apply, and the petition was filed after unexplained delay, dismissed it, and directed payment of interest within three months.

What did the court decide?

Writ petition dismissed; State directed to pay Tribunal-ordered interest on delayed commuted pension within three months, else further interest at 9% per annum.

State of Karnataka Vs Dr. S. Rajendran… — Pension and Retirement Benefits | Karnataka HC (2024)

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NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 4^TH DAY OF JUNE, 2024

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PRESENT

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THE HON'BLE MRS. JUSTICE ANU SIVARAMAN AND

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THE HON'BLE MR. JUSTICE ANANT RAMANATH HEGDE WRIT PETITION NO. 5492 OF 2024 (S-CAT)

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BETWEEN:

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STATE OF KARNATAKA REP. BY ITS CHIEF SECRETARY VIDHANA SOUDHA BENGALURU-560 001

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…PETITIONER

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(BY SRI. M. *RAJAKUMAR, AGA)

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AND:

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Digitally signed by CHANNEGOWDA PREMA Location: High Court of Karnataka

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Dr. S. RAJENDRAN, IFS (RETD.) S/O P. SANTHANAKRISHNAN AGED 69 YEARS R/AT. NO.8, IAS OFFICERS' COLONY 5^TH CROSS, 16^TH MAIN, BTM II BENGALURU-560 076

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…RESPONDENT

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(BY Dr. S. RAJENDRAN - RESPONDENT-IN-PERSON)

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THIS WRIT PETITION IS FILED UNDER ARTICLUES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT IN THE NATURE OF CERTIORARI IN OR OTHER WRIT OR ORDER SETTING ASIDE THE ORDER DATED 02.09.2022 PASSED BY THE CENTRAL ADMINISTRATIVE TRIBUNAL AT

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*corrected as per the chamber order dated:26.06.2024.

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2 - NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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BENGALURU IN O.A.No.170/001257/2019 (ANNEXURE-A) INSOFAR AS THE INTEREST ON COMMUTATION PENSION AND CONSEQUENTLY SET ASIDE THE ORDER PASSED IN M.A.No.311/2023.

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THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, ANU SIVARAMAN J., MADE THE FOLLOWING:

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ORDER

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We have heard the learned Additional Government

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Advocate appearing for the petitioner/State and the respondent/party-in-person.

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Learned Additional Government Advocate appearing for the petitioner in this writ petition contends that the order of the Central Administrative Tribunal, Bengaluru Bench, Bengaluru, (hereinafter referred to as 'the Tribunal' for short), insofar as it directed payment of interest on the delayed payment of commuted value of pension was erroneous. It is stated that the respondent has initiated the proceedings for execution of the said direction in the year 2023. It is contended that the direction of the Tribunal awarding interest on the commuted value of pension is liable to be set aside.

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3 - NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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In support of this contention, learned Additional Government Advocate appearing for the petitioner has relied on Annexure 'D' - Office Memorandum dated 31.10.2022, which is filed along with the writ petition. It is submitted that the said Office Memorandum issued by the Ministry of Personnel, P.G. & Pensions, Government of India, prohibits the grant of interest for commutation of pension since the pensioner continues to receive the full pension till the date of commutation of pension.

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The respondent, who appears in person, submits that the said Office Memorandum has no application to his case. It is brought to our notice that the order dated 02.09.2022 of the Tribunal is under challenge in this writ petition filed after nearly 2 years without any explanation for the delay. Further, it is contended that Annexure 'D' - Office Memorandum relates to the CCS (Commutation of Pension) Rules, 1981, that the

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respondent being an IFS Officer is governed by the provisions of All India Services (Commutation of Pension)

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4 - NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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Regulations, 1959. It is further contended that even if the principles stated in Annexure 'D' are to be applicable, the same would apply only in normal cases and not in a case where the Tribunal had found that the delay in paying the amounts due to the applicant before it was unjustified and directs payment of interest in exercise of the discretionary jurisdiction vested in it. It is further contended that there

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is undue delay on the part of the Department in challenging the order of the Tribunal, which is dated 02.09.2022 and therefore, the interest on the delayed payment of commuted value of pension has been further delayed by the deliberate actions of the petitioner.

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Having considered the contentions advanced,

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we notice that Annexure 'D' order only clarifies that in reply to a query that interest need not to be paid on the delayed payment of commuted value of pension in view of the fact that the pensioner would be in receipt of his full pension until commutation. The said order is dated 31.10.2022 since the order of the Tribunal under challenge

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5 - NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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was dated 02.09.2022, it is not the case of the petitioner that the said order was either in force or had been brought to the notice of the Tribunal before it passed such an order . It is further contended by the respondent that the rule referred to in Annexure 'D', does not affect his case and as such Annexure 'D' would have no application to this case.

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In any view of the matter since Annexure 'D',

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which is relied on is later in point of time to the order of the Tribunal which is challenged before us, we are of the opinion that the question does not require to be considered. Further, the challenge to the order dated 02.09.2022 is also made only in the month of February, 2024 without any explanation for the delay. We are of the opinion that there is no merit in the challenge raised in this writ petition.

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Hence, we pass the following:

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NC: 2024:KHC:19179-DB WP No. 5492 of 2024

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ORDER

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(i) The writ petition fails and the same is accordingly dismissed .

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(ii) The petitioner shall pay the interest on the delayed payment of commuted value of pension to the respondent as directed by the Tribunal who was the applicant before the Tribunal within a period of three months from today.

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(iii) In the event of the amount not being paid within a period of three months as directed, it will carry further interest at the rate of 9% per annum.

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Sd/JUDGE

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Sd/JUDGE

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CP List No.: 1 Sl No.: 41

State of Karnataka v. Dr. S. Rajendran, IFS (Retd.)

Case brief

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State of Karnataka v. Dr. S. Rajendran, IFS (Retd.)

Case brief

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