JUDGMENT 1. The petitioner who was a member of Rajasthan Judicial Services worked as Judicial Officer for the period from 07.04.1962-26.07.1979 and after taking due permission joined service as Law Officer in International Airports Authority of India (“IAAI”) and while joining, his lien remain suspended in Rajasthan Government as per Rules and finally stood terminated on being confirmed in the IAAI w.e.f. 27.07.1980 vide order dated 01.10.1982 in view of R.18 of the Rajasthan Service Rules (“RSR”). 2. This case regarding grant of pro-rata pension & gratuity for the first time came to be sanctioned by the State Government vide order dated 08.08.1995 from the date of order he was confirmed in the IAAI dated 01.10.1982 taking note of the period of qualifying service rendered by him w.e.f. 07.4.1962- 26.07.1979. It can be noticed from the record that a legal notice was served under the instructions of the petitioner by his counsel dated 14.09.1998 (Annx.53) wherein it was claimed by him that as he stood confirmed w.e.f. 27.07.1980 on the post of Law Officer in the IAAI, New Delhi on successful completion of the period of probation of one year and became entitled to receive pro-rata pension, gratuity etc. w.e.f. 27.07.1981 in accordance with R.158 of RSR read with Govt. decision no.5 & 6 appended thereto and his request was that pro-rata pension, gratuity & other terminal benefits may be sanctioned based on qualifying service rendered by him from 07.04.1962-26.07.1979 to be payable w.e.f.27.07.1981 with interest till actual payment but it appears that the matter stood dragged from one place to the other and when he failed to get his dues to which he was entitled for under the law finally approached to this Court by filing writ petition. 3.
3. However, the writ petition at one stage came to be decided after hearing the parties vide judgment dated 30.10.2002 but that order was challenged by the State Government & also by the petitioner by filing Civil Appeal before Hon’ble Apex Court and after the matter was heard the Apex Court was of the view that certain salient questions which were raised regarding implication of R.158 of RSR and the effect of R.13, 17 & 18 of RSR and so also the fact as to whether the incumbent is entitled for interest on account of delay in payment to which he was entitled for under the law, since remained unnoticed by the Division Bench of this Court, while setting aside judgment of this Court dated 30.10.2002 remitted the matter back to this Court to decide the issue after hearing the parties afresh vide order dated 31.10.2006. 4. The facts which have come on record & relevant for our consideration & not in dispute are that the petitioner rendered pensionable service in Rajasthan Government from 07.04.1962-26.07.1979 and joined service thereafter as Law Officer in IAAI which was non-pensionable establishment as a separate & autonomous body and their he was confirmed in the service of IAAI w.e.f. 27.07.1980 with the passing of the order dated 22.07.1982 on being confirmed he acquired lien in the service of IAAI and thereby his lien in Rajasthan Government came to be terminated in terms of R.18 of the RSR and after having been superannuated on 31.07.1995 order with regard to sanction of his pension was passed on 08.08.1995 in which it was clearly mentioned that the pension was sanctioned to him for the period from 07.04.1962- 26.07.1979 and this sanction was issued with the concurrence of the Finance Department and thus there cannot be any dispute that his pension case for the first time came to be decided in the year 1995.
Apart from his grievance as to whether he was entitled for his pro-rata pension in view of order dated 22.07.1982 by which he was confirmed in the service of IAAI w.e.f. 27.07.1980 or any other date anterior thereto, yet the pension was not paid until 1999 and the petitioner was finally compelled to approach this Court by filing writ petition to ventilate his grievance which is primarily two folds & reads as under:- “(i) he applied through proper channel for selection to the post of Law Officer in IAAI and on being selected was relieved from Rajasthan Judicial Service on 26.07.1979 for joining the post of Law Officer in IAAI and his services were transferred to such organisation in public interest and after being confirmed w.e.f. 27.07.1980 in IAAI on successful completion of period of probation of one year vide order dated 22.07.1982 he became entitled for pro-rata pension, gratuity & all other terminal benefits w.e.f. 27.07.1981 in view of R.158 of RSR read with Government Decision no.5 & 6 referred to thereunder and; (ii) the delay in no manner could be attributable to the petitioner which makes him entitled for interest w.e.f. 27.07.1981 till actual payment.” 5. On the last date of hearing when the matter came up before the Court, after the parties were heard order was passed on 27.03.2014 calling upon the respondents to justify that for the period of qualifying service rendered by the petitioner effectively from 07.04.1962 to 26.07.1979 under the existing scheme of Rules and the date which makes him entitled for grant of pro-rata pension payable u/R 158 along with para-5 & 6 referred to thereunder in particular. 6. Taking note thereof Sh. S.K. Gupta Additional Advocate General took views of the department and made it available to the Court that the period of qualifying service u/R 13(2) of the Rules & all other corresponding Rules of RSR which is one & the same shall remain effective from 07.04.1962 to 26.07.1979 and the present petitioner also has no grievance as regards the period of qualifying service which he rendered in the State Government and relevant for the purpose of grant of pension, gratuity & other terminal benefits at the same time as regards the date from which pension, gratuity etc.
became payable to the petitioner is concerned it has been specifically referred to before the court that as per para-4(iii) of GRD no.5 & 6 appended to R.158 of the RSR the petitioner is entitled for payment of pension w.e.f. 26.07.1981 i.e. after two years from the date of absorption in the IAAI as per FD Memo NoF.1(48) FD/Rules/68 dated 02.12.1974 and it has also been admitted by the respondents that for the first time the Administrative Department sanctioned pro-rata pension vide sanction order dated 08.08.1995 and admittedly payable from the date of passing of the order of confirmation in the establishment i.e. IAAI dated 22.07.1982. 7. The main thrust of submission of counsel for petitioner is that once he was transferred & relieved from Rajasthan Judicial Service on 26.07.1979 to join on the post of Law Officer in public interest in IAAI that makes him entitled for sanction of pro-rata pension & gratuity etc. of the qualifying service rendered by him and the issuance of the letter/order dated 22.07.1982 regarding his confirmation may not be that relevant for the purpose of grant of pension & other benefits as his lien stood terminated by fiction of law, on being confirmed w.e.f.27.07.1980 u/R 18 of RSR and further submits that for the first time order came to be passed by the State Government for grant of pro-rata pension & gratuity on 08.08.1995 after he was superannuated on 31.07.1995 and that too was not in conformity with the requirement of R.158 of RSR read with Government Decision no.5 & 6 referred to thereunder and the delay at least could not be attributable to the petitioner and that certainly makes him entitled for interest as permissible under the law. 8. Sh.
8. Sh. S.K. Gupta, Additional Advocate General, appearing for State submits that as regards the qualifying service rendered by the petitioner is concerned that will remain the actual service which he has rendered on a pensionable post in the State Government and that indisputably was effective from 07.04.1962 to 26.07.1979 and the order of pro-rata sanction was passed by the department on 08.08.1995 in conformity with the Rules and after the order of sanction was passed by administrative department it was only a compliance to be made by the concerned department and if at all the delay occurred that could not be attributable to the State which makes the petitioner entitled for interest as claimed by him. 9. We have heard counsel for the parties and with their assistance perused the material on record. The facts as already been referred and for better appreciation for our consideration are that the total pensionable service which the petitioner rendered in the State Government is effectively from 07.04.1962 to 26.07.1979 and after applying through proper channel for selection to the post of Law Officer in the IAAI which is a statutory corporation under the Ministry of Civil Aviation Government of India, on being selected was relieved from Rajasthan Judicial Service on 26.07.1979 in the afternoon for joining on the post of Law Officer and his services were transferred to the said organisation in the public interest where he was confirmed w.e.f. 27.07.1980 on successful completion of period of probation of one year vide order dated 22.07.1982 and as regards the grant of pro-rata pension & gratuity is concerned that was sanctioned by the administrative department vide order dated 08.08.1995 after he stood superannuated on 31.07.1995.As regards the lien of Government servant is concerned in terms of R.16 & 18 of RSR, the Government servant holding substantively a permanent post retains his lien against the post as contemplated u/R 16 and such retention of lien could be suspended as envisaged u/R 17 of the Rules in the contingencies referred to but at the same time the lien of Government servant stands terminated on acquiring the lien of a permanent post whether under the Government or Central or other State Governments etc. cadre on which he was borne. 10.
cadre on which he was borne. 10. Indisputably in the instant case the petitioner was appointed on a substantive post of Law Officer in the IAAI which is one of the corporation owned & governed by the Central Government in public interest where he was confirmed in his new establishment w.e.f. 27.07.1980 vide order dated 22.07.1982 and indisputably after having been confirmed vide order dated 22.07.1982 his lien as envisaged u/R 18 of the RSR stands terminated on his acquiring a lien on the permanent post in the IAAI where he joined service after being relieved by the State Government in public interest. There cannot be any dispute that the qualifying service which the petitioner rendered in the State Government was effectively from 07.04.1962 to 27.07.1979 but at the same time to make him entitled for grant of pro-rata pension that could be made admissible to him as contemplated u/R 158 of the RSR. It will be appropriate to quote R.158, para-4(iii) of GRD-5 & 6 which are relevant for the present purpose reads as under:- “R.158. Service paid from Local Funds Administered by Government how regulated.- Government servants paid from Local Funds which are administered by Government are subject to the provisions of Chapters I to XII of these Rules. 4. Retirement benefits (iii):- The provisions contained in clause (i) and (ii) above shall not apply to a Government servant transferred to public Enterprises under the control of the Government of India. He shall, however, on his permanent absorption, be entitled to:- A. Pension.-(a) Pension and/or gratuity as admissible under the Rajasthan Service Rules for service rendered by him under the Government at the end of period of five years of his absorption provided that if the Government servant concerned attains the age of superannuation, within these five years, he shall be entitled to receive the benefits from the date of superannuation. He shall not be entitled to family pension under Chapter XIII, XIII-A and XIV of the Rajasthan Service Rules. (b) In lieu of monthly pension admissible under (a) above the Government servant concerned may opt to receive a lump sum amount worked out with reference to commutation table obtaining on the date from which pension will be admissible and payable.
He shall not be entitled to family pension under Chapter XIII, XIII-A and XIV of the Rajasthan Service Rules. (b) In lieu of monthly pension admissible under (a) above the Government servant concerned may opt to receive a lump sum amount worked out with reference to commutation table obtaining on the date from which pension will be admissible and payable. The option will be exercised within six months [from the date of permanent absorption or date of order of permanent absorption, whichever is later.] (c) Any further liberalisation of pension rules decided upon by the Government after the permanent absorption of the Government servant in the Public Enterprises would not be extended to him. (d) In case where a Government servant at the time of absorption has less than 10 years qualifying service he will only be eligible to proportionable service gratuity in lieu of pension and to Death-cum- Retirement Gratuity based on length of service. B. Provident Fund.-The amount of Government contribution and/or subscription together with interest thereon, standing in the Provident Fund Account of a Government officer, be transferred to his new Provident fund Account under the enterprise, if he so desire, provided the concerned enterprise also agrees to such a transfer. If, however, the concerned enterprise does not operate a Provident Fund, the amount, in question shall be refunded to the subscriber. Once such a transfer of Provident Fund balance has taken place, the Officer will be governed by the Provident Fund Rules of the concerned enterprise and not by the Provident Fund Rules of the Government. 5. These concessions may not be claimed as a matter of right, but may be sanctioned by the Government in individual cases where the same are merited. Individual cases will be dealt with by the administrative Department concerned, in consultation with the Finance Department. 6. The decision contained in preceding paragraphs will apply only where the service of a Government servant is transferred permanently to Autonomous Bodies or Public Sector Undertakings and it will not apply to case of transfer to a Private Institution or Private Sector Corporation. *6.
6. The decision contained in preceding paragraphs will apply only where the service of a Government servant is transferred permanently to Autonomous Bodies or Public Sector Undertakings and it will not apply to case of transfer to a Private Institution or Private Sector Corporation. *6. According to provisions contained in para 4(iii) (as amended vide Finance Department Order No.F.1(48)FD(Rules)/68 dated 14-11-1970) of Government of Rajasthan's Decision No.5 below Rule 158 of Rajasthan Service Rules, pension and/or gratuity admissible is payable to the Government servant concerned at the end of period of five years of his absorption in Public Enterprises under the control of Government of India. In modification of the provisions referred to above it has been decided that such a Government servant shall be entitled to receive the benefits e.g. Pension/ gratuity at the end of period of two years of his absorption. Past cases in which payment has become due under these orders shall also be allowed. *6 inserted vide FD memo dated 02.12.1974.” 11. The relevant para-4(iii) of GRD-5 & 6 which has been referred to clearly envisages that if the Government servant is transferred permanently to autonomous body or public sector undertakings they are entitled to seek protection of pro-rata pension but their entitlement to receive pro-rata pension/gratuity etc. shall be at the end of period of service on absorption. Even as per the amendment which has been made vide FD memo dated 02.12.1974 such of the cases which stands decided by the Government will also get an opportunity to be reconsidered and they too are made entitled to claim such payments which became due under orders of the state Government. 12. Indisputably in the instant case, the petitioner was relieved from Rajasthan Judicial Service on 26.07.1979 in the afternoon for joining the post of Law Officer in IAAI where he was transferred in public interest and that makes him entitled for prorata pension & gratuity w.e.f. 26.07.1981 i.e. after two years of the period of absorption in IAAI as per aforesaid provision for the qualifying service which he rendered effectively from 07.04.1962-27.07.1979 under the present scheme of Rules.
However, the State Government for the first time issued order of sanction for grant of pension & gratuity vide order dated 08.08.1995 taking note of qualifying service which he rendered from 07.04.1962-27.07.1979 and the actual payments are made in the year 1999 despite a notice for demand of justice dated 14.09.1998 (Annx.53) being served by the petitioner through his counsel until filing of the writ petition, must have been paid in part as informed to this Court thereafter. 13. His grievance as reflected from the legal notice dated 14.09.1998 (Annx.53) served in the office of the respondents or can be noticed in the writ petition is that after he was confirmed w.e.f. 27.7.1980 his lien finally stood terminated u/R 18 of the Rules and that makes him entitled to receive pro-rata pension & gratuity w.e.f. 27.07.1981 in accordance with R.158 of the RSR read with Government Decision no.5 & 6 referred to there-under and we do find a justification in what has been contended by the petitioner that after he stood finally relieved from the Judicial Service on 26.07.1979 & joined the post of Law Officer in IAAI on being transferred in public interest, for the qualifying period of service from 07.04.1962 to 27.07.1979 after he stood confirmed in the IAAI on successful completion of period of probation of one year w.e.f. 27.07.1980 that makes him entitled for grant of pro-rata pension & gratuity u/R.158 of the RSR read with para-4(iii) of GRD & para-5 & 6 referred to thereunder w.e.f. 27.07.1981 i.e. after two years of absorption in the IAAI and this what the petitioner claimed which can be noticed from the notice for demand of justice dated 14.09.1998 (Annx.53) served in the office of the respondent and this fact was also accepted before the Court after the detailed query was raised calling upon the respondents pursuant to order dated 27.03.2014 and the information made available to this court by Sh. S.K. Gupta Additional Advocate General that too bears acceptance that the petitioner is entitled for his pro-rata pension & gratuity etc. as per para-4(iii) of GRD-5 & 6 and R.158 of the RSR payable w.e.f. 27.07.1981 i.e. after two years of the date of absorption in the IAAI as per FD memo dated 02.12.1974 which is the clause inserted by Finance Department Memo dated 02.12.1974.
as per para-4(iii) of GRD-5 & 6 and R.158 of the RSR payable w.e.f. 27.07.1981 i.e. after two years of the date of absorption in the IAAI as per FD memo dated 02.12.1974 which is the clause inserted by Finance Department Memo dated 02.12.1974. Thus the first question stands concluded that the petitioner became entitled for grant of pro-rata pension & gratuity etc. payable w.e.f. 27.07.1981 as provided u/R 158 of RSR read with 4(iii) of the GRD-5 & 6 referred to thereunder. 14. As regards the question raised by the petitioner in respect of interest over the amount which became due & payable to him is concerned, we find sufficient justification that once there was a claim from the day one of the petitioner that pro-rata pension & gratuity is payable to him w.e.f. 27.07.1981 i.e. after two years of the date of absorption in the IAAI and the Government sanctioned vide order dated 08.08.1995 and still made part payments to him after the date of filing of the writ petition on 27.01.1999, the delay in making payment which might have been added to at later stage but that too not from 27.07.1981 certainly cannot be attributable to the petitioner and that makes him entitled for grant of interest. 15. We find that no tangible evidence has been placed on record or brought to our notice that the delay in making payment of the retiral dues if not attributable to the Government servant what should be a adequate compensation taking note of the judicial precedents of this court the State Government has inserted R.89 in the Rajasthan Pension Rules,1996 and where-ever there is a delay in making payment of terminal/retiral benefits after 60 days the Government owned that delay in payment of retiral dues makes the Government servant entitled to claim interest @ 9% per annum from the date it became due until its actual payment and taking note thereof we are of the considered view that as the delay is not attributable to the petitioner which has been noticed by this court that certainly makes him entitled for grant of interest @9% per annum to be paid from the date the benefits became due to the petitioner until its actual payment. 16. Consequently, the writ petition succeeds & is hereby allowed and the respondents are directed to grant pension, gratuity & other terminal benefits etc.
16. Consequently, the writ petition succeeds & is hereby allowed and the respondents are directed to grant pension, gratuity & other terminal benefits etc. to the petitioner on the basis of period of qualifying service (07.04.1962-26.07.1979)which he rendered w.e.f. 27.07.1981 and after due computation of arrears and adjustment of earlier payments made the same shall be paid to him along with interest @ 9% per annum from the date it became due until its actual payment. After undertaking the aforesaid exercise the payment should be made within a period of four months from today failing which he will be entitled for interest @ 12% per annum until its actual payment. No costs.Petition allowed. *******