Dear Shri.Sahniji,
Please find the attachment for favour of publication in your esteemed blog and oblige.
Ashok J Joshi,
Genl Secr, NOIP (BMS)
Please find the attachment for favour of publication in your esteemed blog and oblige.
Ashok J Joshi,
Genl Secr, NOIP (BMS)
Date: 20-05-2017
To,
The Chairman,
Life Insurance Corporation of
India,
Central Office, Yogakshema,
MUMBAI
Dear Sir,
Re: Implementation of Delhi HC
Verdict dtd 27-04-2017 in respect of WP(C) 184/2007 etc
You are already aware that the
Delhi HC has come out with its verdict regarding the captioned WP and certain
matters have been decided beyond any scope for various interpretations in the
matter. Careful study of the said verdict in its right perspective keeping
upper most in mind, the intent of the judges who decided the case, clear cut
inference can be drawn as detailed here below-
1)
The verdict has clearly ruled out the up gradation of basic pension with every
wage revision saying that there is no comparison to pension drawn by Central
Govt pensioners as per VII Pay Commission. This means no relief whatsoever is
given to those LIC pensioners who retired on or after 01-08-1997. Be that as
the case may be, till it is finally decided by the Supreme Court.
2)
Coming to those who retired from 01-01-1986 to 31-07-1997 in whose case 100% DR
neutralization was sought from 01-08-1997, the verdict has been very clear
without any scope for interpretation.
3)
It is a happy augury that the judges have agreed fully that there is
discrimination in DR neutralization to this category of pensioners which
infringes their right to equality under Article 14 of the constitution. The
verdict says-“Retirees prior to 1st August, 1997 are entitled to dearness relief not lower
than 0.23% of basic pension. Rate of dearness relief for pre 1st August 1997
retirees cannot be lower than the rate stipulated for pensioners who had
retired on or after 1st August 1997 till 31st
July, 2002.” It is note worthy that 0.23%
DR is 100% neutralization from -1-8-1997 at 1740 points of AICPI.
4) The verdict is unambiguous
in saying that pre 1st August 1997 pensioners should get 100% neutralization
of DR wef 01-08-1997. Because 0.23% is 100% neutralization from 01-08-1997.
Logically it follows that DR at 0.67% (600 points of AICPI) is 100%
neutralization to those who retired from 01-01-1986 to 31-10-1993. And
similarly 0.35% (1148 points of AICPI) of basic pension is 100% neutralization
to those retired from 01-11-1993 to 31-07-1997.
5)
Hence without making the matter more complicated and keeping in view the clear
intent of the judges of granting 100% neutralization of DR even to those who
retired from 01-01-1986 to 31-07-1997, we suggest the following easiest way to
implement the verdict in its right perspective-
a)
Pay 0.67% of basic pension as DR (100% neutralization at 600 points of AICPI as
granted by the verdict) to those who retired from 01-01-1986 to 31-10-1993 and
is payable from 01-08-1997 onwards (without any necessity to upgrade their basic
pension as on this date by adding total DR earned till 31-07-1997). The verdict
has rejected their up gradation of basic pension by adding the advantage of
wage revision, Even the LIC while paying IR of 40% has not given the benefit of
wage revision while computing the new basic pension but have simply added DR in
old basic pension to arrive at notional basic pension for granting 100% DR
neutralization!
b)
Pay 0.35% of basic pension as DR (100% neutralization at 1148 points of AICPI)
to those who retired between 01-11-1993 to 31-07-1997 and is payable from
01-08-1997 onwards.
c)
Of course the verdict has said the arrears are to be paid from the date of
first WP is 18-12-1998. Hence arrears may please be released from 18-12-1998 to
30-04-2017 and from May 2017 onwards new gross pension may be paid.
d)
The above suggestions inferred strictly as per the intent of the judges, are
the most practicable approach and remove all other inconsistent approaches of
computing the DR.
e) Hence arrears as per above method
of computation may please be released immediately without waiting for 9 months,
since the calculation is very simple and satisfies all the pensioners retired
prior to 01-08-1997. Since all the affected pensioners are almost 80 years aged
and above, LIC may please show the magnanimity and empathy and release the
arrears immediately without further testing their patience.
We fervently hope that your
erudite self would act swiftly as above to give solace to the senior pensioners
who also have toiled to build up this great edifice of LIC.
Thanking you,
Yours faithfully,
(General Secretary)
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