Revised Pension Rules for the Service Pensioners who Retired Prior to 25-05-1998, Re-fixation/Recalculation of Service Pension Orders to the Pensioners who Retired prior to 25-05-1998: GO.98, Government of Telangana, Finance Department-Pension -A.P. Revised Pension Rules, 1980 – Orders issued in G.O.Ms.No.87, Finance & Planning (FW-Pen. I) Department, dated 25.05.1998 for calculation of pension based on the pay last drawn – Extension of the benefit to all employees retired prior to 25-05- 1998 and surviving on that date.
Orders of Hon’ble A.P.A.T. dated 03.01.2002 in O.A. No.50303 of 1999 and 329 of 2000 orders of Honourable High Court in W.P.No. 16719 of 2003 and 18490 of 2003 and orders of Honourable Supreme Courtin Civil Appeal No(s).5367 – 5368 of 2005 – Implementation – Orders – Issued.
- G.O.Ms.No.87, Finance & Planning (FW.Pen.I) Dept., dated. 25.05.1998.
- APAT Judgment dated. 03.01.2002 in O.A.No. 50303 of 1999 and 329 of 2000.
- A.P. High Court Judgment dated. 23.12.2003 in W.P.No. 16719 of 2003 and 18490 of 2003.
- Supreme Court of India Judgment dated. 30.04.2014 in Civil Appeal No(s).5367 – 5368 of 2005.
- From the Director of Treasuries and Accounts, Telangana, Hyderabad, Letter No. TS/H1/475/2014, dated.04.07.2014.
G.O.Ms.No. 98,Dated: 08.07. 2015: Prior to the issue of orders first read above, pension of a retiring Government Servant was determined on the basis of average emoluments drawn by him under Rule 45(2)(b) of A.P. Revised Pension Rules, 1980. As per Rule 32 of the A.P. Revised Pension Rules ‘Average Emoluments are determined with reference to the emoluments drawn by a Government Servant during the last 10 months of his service’.
- In the G.O. first read above, orders were issued dispensing with procedure of calculating the pension based on the average emoluments drawn during the last 10 months of service with a view to liberalise the procedure for computation of Pension. In the Government Order first read above, the last pay drawn was ordered to be treated as the emolument for calculation of pension under Rule 45(2)(b). These orders were given effect from the date of issue i.e., 25-05-1998.
- However, certain employees who retired prior to 25.05.1998 approached the Andhra Pradesh Administrative Tribunal (APAT) with a prayer for extending the benefit of the said G.O. to the employees retired before 25.05.1998. The APAT in its judgment 2nd read above directed that employees retired prior to 25.05.1998 and living on the date of issue of G.O. 1st cited are entitled for arrears from 25.05.1998.
- Aggrieved by the orders of Hon’ble A.P.A.T, Government filed Writ Petition Nos. 16719 of 2003 and 18490 of 2003 in the A.P. High Court and Hon’ble High Court in its Judgment dated 23.12.2003 upheld the orders of the APAT and also directed the Government to pay the arrears within three months from the date of Judgment.
- The judgment of APAT was upheld by the Hon’ble High Court in WP Nos. 16719 of 2003 and 18490 of 2003.In Civil Appeals No. 5367-5368 of 2005 filed by the Government of Andhra Pradesh in the Honourable Supreme Court against the orders of the AP High Court and the APAT were dismissed by the Supreme Court of India by its order dated 30.04.2014.
- After careful examination and due consideration of the orders of Hon’ble A.P.A.T., Hon’ble High Court and the Hon’ble Supreme Court, Government hereby extend the benefit of orders issued in the G.O 1st read above to the Government servants retired prior to 25.05.1998 and living on the date of issue of G.O 1st read above.
- Accordingly Government hereby order that the pension of those retired employees to whom the concession is being extended in para 6 above, shall be revised and re-fixed duly considering the pay last drawn by them as emoluments for calculation of pension under Rule 45(2)(b) of the AP Revised Pension Rules, 1980. Necessary amendments to the AP Revised Pension Rules, 1980 will be issued separately.
- Instructions: In order to ensure expeditious settlement of cases for the benefit of the pensioners, Government hereby issue the following instructions to be followed scrupulously, which are based on extensive discussions with the stake holders. The Authorities concerned at various levels shall be held personally responsible for any inordinate delay in processing the cases or any undue inconvenience created to the pensioners, some of whom may be advanced in age and ailing.
i) All eligible Pensioners shall apply in the Annexure-I of this order to their pension sanctioning authorities duly enclosing the relevant documents.
ii)The pension sanctioning authority has to calculate the revised pension as per the last pay drawn and the net qualifying service as per Rule 45(2)(b) and send proposal to the Accountant General(A&E) / District Audit Officer, State Audit Department as the case may be, for authorizing the revised pension.
The sanctioning authority shall within 15 days, after scrutiny of the relevant particulars forward the application along with sanction orders in Annexure-II through a covering letter printed on Ledger Green color paper (to draw immediate attention) to the Accountant General/Director of State Audit as the case may be.
- Service pensioners who retired prior to 25.05.1998 and whose pension is fixed based on average emoluments are covered under the Judgment and service pensioner living as on 25.05.1998 are only eligible for payment of arrears w.e.f. 25.05.1998.
- Service pensioners who retired prior to 25.05.1998 and expired on or before that date are not eligible for payment of arrears as per the judgment.
- In respect of Surviving Pensioners as on 25.05.1998 and died after 25.05.1998 arrears have to be paid as per rules in force to the legal heirs of the deceased pensioner.
- The pensioners covered under the judgment are not entitled to any arrears relating to gratuity and commutation of pension as per para 15 of the Judgment of Hon’ble APAT.
- The subsequent revised consolidation of pension based on the revised pension shall be done without further delay.
- Payment of Pension Arrears: The arrears arising out of revision of pension due to the orders issued in para 7 above shall be paid in four equal instalments as detailed below:
A. First Instalment: 25% of the arrears amount shall be paid on 01.01.2016
B. Second Instalment: 25% of the arrears amount shall be paid on 01.04.2016
C. Third Instalment: 25%of the arrears amount shall be paid on 01.01.2017
D. Fourth Instalment: 25% of the arrears amount shall be paid on 01.01.2018
- The expenditure shall be debited to the regular Head of Account where the pensioners are drawing their pension now.
- All the pension sanctioning authorities shall accord top priority to this item of work and ensure disposal of the proposal in period not exceeding 15 days from the date of receipt of application.
- All the Heads of Departments shall monitor the settlement of the claims of the pensioners and ensure expeditious settlement of the claims.
- The Director of Treasuries and Accounts, Telangana, Hyderabad is directed to take action accordingly.
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