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Monday, 28 May 2018

Due date of difference in commuted pension as a result of SC judgment dated 1322018

Dear Mr Sahni,

There can be no question of an option date for asking for difference in commuted value of pension. When the judgment provides for  benefits from the date of retirement, the difference in commuted value of pension will have to be paid as on the date the original commuted value of pension was paid, because ,as per rules commuted value of pension is payable only once. Having opted originally  for commuted pension, the pensioner cannot opt for the difference in commuted value from a different date. If a retiree has died before the completion of 15 years, can the difference of CV be calculated as on the date of death of the retiree? Different dates for different retirees will be inconsistent and discriminatory as the commuted value of pension including the difference  arising out of the judgment has to be payable from  a uniform date, viz the date of retirement when the commuted value of pension became absolute.

Kind regards.

C H Mahadevan

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