Armed Forces Tribunal (AFT): The bench of Sunita Gupta, Member (J), Lt Gen Philip Campose, Member (A), allowed an application praying for revision of pension in accordance with the last rank held before retirement.
In the pertinent matter, the applicant in pursuance of the circular by the Government of India (GoI) approached the Tribunal, wherein the circular clarified that, 10 months continuous service in the last rank held is not required for grant of pension in such rank. They relied on Thiagrajan v. Union of India, O.A. No. 93 of 2014, where the ten months were waived-off and the Tribunal opined that “pension cannot be deprived to an individual to a rank for which he has already rendered his service and that the applicant has earned his pension in the rank of JWO already, and therefore, is entitled to be paid pension in the rank of JWO. Even if, for some reason, such a pension is found to be less, the applicant is entitled to receive the highest pension he earned already...”
The respondent conceded that the requirement of holding the last rank of 10 months before retirement has been dispensed with in keeping with the circular and further contended that they are correct in giving pension to the applicants on the lower rank as it is financially more beneficial.
The Tribunal held that the argument of the respondents, where a junior promoted to a senior rank should be pegged at a pension of his last but one rank, is fallacious, while placing reliance on D.S. Nakara v. Union of India, 1983 (1) SCC 305. Further on the method of calculating the exact pension, relied on the explanation in P. Gopalakrishnan v. Union of India, the complete import and implication of Circular 430 dated 02-02-2009 Regulations for the Air Force Part 1, Ministry of Defence (MoD) letter dated 07-06-1999 and came to the conclusion that “the basis of calculation being pursued in the instant case was detrimental for the pension of petitioner..”. And it further directed the respondents to calculate the pension based on the last held rank by him before retirement and arrears to be paid accordingly.[Dhanushkodi Rajarajan v. Union of India, 2019 SCC OnLine AFT 4, Order dated 20-02-2019]