Chandigarh: Relief for retired employees of Dept of Telecommunications

The Chandigarh Bench of the Central Administrative Tribunal has stayed the recovery of commuted value of pension from employees of the Department of Telecommunications retired over 10 years ago. The Bench has directed the department to file reply within three weeks.

Many employees of the department had approached the tribunal through advocate Sanjay Kaul for quashing of the action of the department whereby commuted value of pension was being recovered even after completion of 10 years and 8 months of retirement. They alleged that despite making total recovery, the respondents are continuing the recovery, which was against the law.

They prayed before the Bench to direct the respondents to stop the recovery from the applicants and to refund the excess recovery made from them.

They also prayed to stay the recovery as interim relief during the pendency of the original application.

They stated that as per the rules, the government servant could commute a portion not exceeding 40% of their monthly pension at the time of retirement.

The commuted portion of pension shall get restored after 15 years from the payment of commuted value of pension.

They said that it has come to their notice that the amount of commuted value of pension could be recovered in a period of 10 years, not in a period of 15 years. They said the 15-year period was illegal and amounted to unjust enrichment of the State at the cost of applicants. They said the fixation of 15-year period for restoration of full pension was not justified.

After hearing the arguments, the Bench said the applicants were entitled for the same relief as has been granted by the Punjab and Haryana High Court, following the principal of parity and being homogeneous class. The Bench said there shall be stay on further recovery of commuted value of pension from the applicants subject to the fact that the applicants had completed 10 years and eight months of retirement. The respondents were directed to file reply within three weeks. The Bench has listed the matter for hearing on October 10.