At an opportune time, we would issue necessary instructions to our members concerned regarding both the issues

Regn No.PN 4769 (Regd under Indian T U Act, 1926)

(Affiliated to Bharateeya Mazdoor Sangh)

BMS Office, Vishwakarma Bhavan, 185, Shaniwar Peth, Pune 411030.

President: T.C. Gunesh Kumar Mob No: 9880683639

General Secretary: Ashok J. Joshi Mob No: 9561084182 & 9945104570

Date: 18-09-2024

Cir No 29/2024 To All The Members

There have been queries from our members regarding latest various judgments regarding reduction in commutation period and NGI (Normal Grade Increment) due on the next day of retirement. There is no need to jump into action or feel concerned/worried. I mention here below briefly about the latest judgments-

• A)
  Reduction in commutation period-

  • 1)
    Punjab & Haryana HC Interim order dtd 31-5-2024 in respect of CWP 14058 of 2024 filed by C M Tandon, retd UBI employee and others. The HC has issued has issued interim injunction, only in respect of petitioners, pending final disposal, ordering stopping of recovery of commuted portion for those who have completed 10 years after retirement. C M Tandon got the said relief from UBI and likewise, some state govt pensioners/petitioners also got relief from their govts. Some LIC pensioners also filed WP and they too got similar order but LIC has not implemented interim injunction and sought time from the HC by becoming a party to the case.
  • 2)
    WP Nos 5617 & 7176 of 2024 filed in UP HC by 2 different sets of state govt pensioners- Interim injunction given in both WPs ordering stoppage of commutation amount recovery, pending final disposal.
  • 3)
    Central Administrative Tribunal (CAT), Jaipur ruled in similar cases of Railway retirees in OA No 413 of 2024 dtd 25-7-2024 and ordered stoppage of commutation amount to all the concerned retirees who have completed 10.8 years after retirement and gave 8 weeks' time for implementation.

(B) Granting NGI due on the next day of retirement-

• 1)
  Indore HC, WP No 7740 of 2024, order dtd. 4-4-2024- The petitioner retired on 30-06-2012 and NGI was due on 1-7-2012. HC ordered NGI to be granted due on 1-7-2012 and arrears from the date of retirement, relying on SC case Civil Appeal No 2471 0f 2023, Director (Admn) & HR, KPTCL vs C P Mundinamani. M P State Govt has issued circular, instructing to grant NGI to all eligible state govt retirees.
• 2)
  Jabalpur HC order dtd 30-08-2024 i/r of WP No 19950 of 2024 filed by Shailesh Tiwari, retd ADM, LIC, against SDM Jabalpur and others. Tiwari retired on 30-06-2023 and NGI was due on 1-7-2023. HC relied on SC case verdict in this matter too, and ordered payment within a period of 6 weeks, by granting NGI as on 1-7-2023. Further developments in the case have to be watched.

Take away from the foregoing cases

• ✓
  Regarding these two issues, favourable judgments are coming out from courts/tribunals etc.
• ✓
  The matter is quite fluid except in case of NGI after retirement in respect of MP State, where circular is issued by MP Govt for release of NGI to state govt retirees.
• ✓
  LIC, being the all-India organization, its next move regarding these HC judgments, is not known, since it has all India ramification.
• ✓
  Our members who fall under the ambit of both the above issues, at this stage, need not be over excited/worried unnecessarily. Because, the issue is not finally disposed off in Panjab & Haryana HC regarding commutation period. And the stand of LIC is yet to be known in this case and in case of verdict by Jabalpur HC on NGI.
• ✓
  You are aware that NOIP, in deference to its charter of demands and after HC judgments, has written to LIC & DFS for reduction in commutation period to 10 years.
• ✓
  At an opportune time, we would issue necessary instructions to our members concerned regarding both the issues. Till such time, you are requested to maintain composure and not to be swayed away by what other pensioners' associations are doing by creating unnecessary hype.

With greetings,

General Secretary