Tuesday, 12 December 2017

Update on OROP Case WP (C) No. 419 of 2016 postponed to April 2018

Case Type Number Year
 
Diary No.- 19818 - 2016
INDIAN EX SERVICEMEN MOVEMENT (AN ALL INDIA FEDERATION OF MILITARY VETERANS ORGANISATION REPRESENTED vs. UNION OF INDIA DEPARTMENT OF EXSERVICEMEN WELFARE MINISTRY OF DEFENCE SECRETARY
Diary No.
19818/2016 Filed on 09-06-2016 04:14 PM
PENDING
   [SECTION: X]
Case No.
W.P.(C) No. 000419 / 2016  Registered on 15-06-2016
Present/Last Listed On 05-09-2016 []
Status/Stage PENDING (Motion Hearing
[ORDERS (INCOMPLETE MATTERS / IAs / CRLMPs)])
Tentatively case may be listed on (likely to be listed on) 16-04-2018 (Computer generated)
Category 3900-Matters Pertaining To Armed Forces & Paramilitary Forces
Act
Petitioner(s)   1 INDIAN EX SERVICEMEN MOVEMENT (AN ALL INDIA FEDERATION OF MILITARY VETERANS ORGANISATION REPRESENTED BY ITS GENERAL SECRETARY)
  543, SECTOR 23, , Gurgaon , HARYANA
  2 HAVILDAR MAHENDER KUMAR SERVICE NO. 6467309 F S/D/W/Thru:- LATE GENDRA LAL
  VILL AND P.O. - KAITHOLI, , Mainpuri , UTTAR PRADESH
  3 HAVILDAR RAM PHAL SERVICE NO. 3143321 S/D/W/Thru:- SHIV LAL
  VILL AND P.O. SUHRA , Jhajjar * , HARYANA
  4 CORPORAL MALKEET SINGH SERVICE NO. 297694 S/D/W/Thru:- KARTAR SINGH
  3411 GALI HARMANDAR , New Delhi , DELHI
  5 HAVILDAR RAGHBIR SINGH SERVICE NO. 4169263 S/D/W/Thru:- RAMJI LAL
  VILL. SALIMPUR P.O. ATELI MANDI , Mahendragarh , HARYANA
  6 NAIK RAGHBIR SINGH SERVICE NO. 1539441 S/D/W/Thru:- S.S. GULZAR
  C-26 SHAM NAGAR , New Delhi , DELHI
  7 SEPOY OM PRAKASH SERVICE NO. 4519209 S/D/W/Thru:- MUNSHI RAM
  VILL. AND P.O. POOTH KHURD , , DELHI
  8 HON. SUBEDAR RANDHIR SINGH SERVICE NO. 172287 S/D/W/Thru:- LATE MULLAR RAM
  585 SUKHPUR ROAD, GOPALNAGAR , , DELHI
  9 MAJOR RAJENDER SINGH SERVICE NO. 02843 S/D/W/Thru:- GHEESA RAM
  131 VAISHALI, STREET NO. 3, DABRI PALAM ROAD, OPP. DWARAKA TELEPHONE EXCHANGE, , New Delhi , DELHI
  10 HON. NAIB SUBEDAR NAKUL SEN SERVICE NO. 3982169 S/D/W/Thru:- BHAGAT RAM
  VILLAGE BHOJAN WALA, P.O. PASCHIM WALA, , Dehradun , UTTARAKHAND
  11 WING CDR. VINOD NEBB, VIR CHAKRA AND BAR SERVICE NO. 8189 S/D/W/Thru:- AMAR NATH NEBB
  17 SUKHCHAIN MARG, DLF 1 , Gurgaon , HARYANA
Respondent(s)   1 UNION OF INDIA DEPARTMENT OF EXSERVICEMEN WELFARE MINISTRY OF DEFENCE SECRETARY
  SECRETARY SOUTH BLOCK , New Delhi , DELHI
  2 MINISTRY OF DEFENCE DEPARTMENT OF DEFENCE DEFENCE SECRETARY
  SOUTH BLOCK , New Delhi , DELHI
  3 MINISTRY OF DEFENCE DEPARTMENT OF EXPENDITURE SECRETARY
  NORTH BLOCK , New Delhi , DELHI
  4 MINISTRY OF DEFENCE CONTROLLER GENERAL OF DEFENCE ACCOUNTS CONTROLLER GENERAL OF DEFENCE ACCOUNTS
  OFFICE OF THE CONTROLLER GENERAL OF DEFENCE ACCOUNTS, ULAN BATAR ROAD, PALAM, DELHI CANTONMENT , New Delhi , DELHI
  5 MINISTRY OF DEFENCE CHIEFS OF STAFF COMMITTEE THROUGH CHIEF OF INTEGRATED DEFENCE STAFF ACTING AS THE SECRETARIAT TO THE CHIEFS OF STAFF COMMITTEE)
  SOUTH HUTMENTS, KASHMIR HOUSE , New Delhi , DELHI
Pet. Advocate(s)   BALAJI SRINIVASAN
Resp. Advocate(s)   MUKESH KUMAR MARORIA

Friday, 8 December 2017

Part IV - File noting on Issues consequent to MoD Resolution of VI CPC Updated



Certain issues, kept pending in the main Special Army/Navy/Air Force instructions, were decided in this File No. 1 (51)/2008-D (P/S). The issues are:  



·        Pay fixation of officers holding acting rank


·        Pay fixation on grant of Time Scale rank of Col & equivalent


·        Pay fixation of Re-employed officers


·        Pay of NCC officers


·        Pay of MNS officers, vis-à-vis regular Cols and civilian cadres of corresponding rank


·        Min of Fin had suggested that the maximum in PB-4 should include MSP as well, otherwise at the maximum of the Pay Band, future Colonels and Brigadiers would draw more pay/pension than Lt Generals and Army Cdrs, i.e. pay of Rs 67000 plus Rs 8700 plus Rs 6000 = Rs 81700 in the case of Colonel and Rs 81900/- in the case of a Brigadier. 


 It is taking a longish time as there are 80 notes over 43 pages. I am at Note 17. It is quite repetitive and so BORING - D (P/S) passes to Def (Fin) who passes to O/o CGDA and then DoE, MoF and the 'here we go round the mulberry bush' nursery rhyme goes on.


But here is the update  



Part IV of the disclosures vide Reply No. 35(2)/2017/D (Pay/Services) dated 29 Nov 2017 received on 04 Dec 2017 is in connection with SAI/SNI/SAFI 1 & 2/S/2008 on F No. 1 (51)/2008/D (P/S)

-1-
F No. 1 (51)/2008- D (Pay/Services)
Ministry of Defence

          This is regarding issuance of Army Instructions on pay fixation in revised pay structure for Army Officers consequent on Govt decisions on acceptance of VI CPC recommendations. The main instructions have been issued in consultation with Ministry of Finance. Copies of the SAI and notes containing observations of MoF are place opposite.

2.      Certain issues, kept pending in the main instructions, are now required to be decided. These are:  

·        Pay fixation of officers holding acting rank
·        Pay fixation on grant of Time Scale rank of Col
·        Pay fixation of Re-employed officers
·        Pay of NCC officers
·        Pay of MNS officers, vis-à-vis regular Cols and civilian cadres of corresponding rank
·        Min of Fin had suggested that the maximum in PB-4 should include MSP as well, otherwise at the maximum of the Pay Band, future Colonels and Brigadiers would draw more pay/pension than Lt Generals and Army Cdrs, i.e. pay of Rs 67000 plus Rs 8700 plus Rs 6000 = Rs 81700 in the case of Colonel and Rs 81900/- in the case of a Brigadier. 

3.       Details of each of these issue are brought out in the following paragraphs:

          (i)      Pay Fixation of Officers holding Acting Rank

          In pre-VI CPC dispensation, pay fixation on grant of Acting Rank was done by allowing basic pay and rank pay of higher Acting Rank in cases where the higher acting rank was allowed after the concerned officer had completed the qualifying service for substantive promotion to such higher rank. In the event of acting rank being allowed before completion of qualifying service for substantive promotion, only rank pay of higher acting rank was allowed with basic pay of substantive rank. 

In the VI CPC dispensation, the concept of Rank Pay no longer exists. After consultations with officers of Defence (Finance) and O/o CGDA, this issue was also discussed in detail with MoF and a broad view was that the pre-Vi CPC arrangement could be allowed to continue by granting pay band and grade pay of  higher Rank on grant of acting promotion after completion of qualifying service to such higher rank. In the event of Acting Rank being allowed before completion of qualifying service for substantive promotion, only the Grade Py of higher Rank could be allowed with band pay of the substantive Rank. This is accordingly for consideration and approval.   

(ii)    Pay Fixation on grant of Time Scale rank of Col

          In pre-VI CPC dispensation, pay fixation on grant of Time scale rank to Cols was done by allowing basic pay of Col with Rank Pay of Lt Col. In the VI CPC pay structure, rank pay no longer exists.

          This issue was also accordingly discussed with officers in Defence (Finance) and O/o CGDA and it was also brought up in detail in the discussion with MoF. A view was taken to allow Pay Band and Grade Pay of PB-4 on grant of Time Scale rank of Col.

          (iii)   Pay Fixation of Re-employed Officers

          Pay fixation of re-employed officers is required to be done after taking into account provisions regarding pension/gratuity etc under VI CPC dispensation. Final orders on pension etc are required to be issued in consultation with DOP&T and D/o Pensions & PW. The issue of pay fixation of re-employed officers may, therefore, need to be kept pending for the present.

          (iv)    Pay Fixation of NCC Officers

          In pre-VI CPC dispensation, pay fixation of NCC officers was done by D (GS-VI) separately. They would do this separately.

          (v)     Pay Fixation of MNS Officers

          The pre-revised scales of pay of Colonel of the MNS is Rs 13400-300-15500 and of Brigadier is Rs 14700-300-16300. The officers of the rank of Colonel and Brigadier have been given PB-4 i.e. Rs 37400-67000. After applying the fitment formula and allowing additional increments for bunching, an officer of the rank of Colonel in MNS drawing basic pay of Rs 15800/- would get pay of Rs 42120/- in PB-4. Whereas a regular officer of the rank of Colonel drawing Rs 17100/- (including Rank Pay) gets Rs 40890/- in PB-4. Thus it is seen that Colonels in the MNS are getting ,oer than regular Colonels at certain stages. Similarly, a Brigadier in the MNS drawing Rs 17100/- (including 3 stagnation increments) would get Rs 44700/- whereas a regular Brigadier drawing Rs 19100/- (including Rank Pay) gets Rs 43390/- only. This anomaly has arisen because Colonels and Brigadiers of MNS have been placed in PB-4.

          While the above issue was discussed with officials of MoF, it was suggested by MoF that instead of giving additional increment after every two stages of bunching, as given to civilian and other service personnel, in the case of MNS it was suggested that additional increment might be given after every four stages. However, in that case it would be a major departure from the policy approved by government.

          (vi)    Pay Fixation for MNS (Local) Officers

The existing scales of MNS (Local) officers are as under:
          Lt                Rs 5500-175-9000
          ACP-1         Rs 6500-200-10500
          ACP-2        Rs 7450-225-11500

          All MNS (Local) officers have been allowed PB-3 i.e. Rs 15600-39100. After applying the fitment formula and allowing additional increments for bunching, an officer of the rank of Lt in MNS (Local) drawing basic pay of Rs 8125/- would get Rs 19220/- in PB-3, whereas a regular officer of the rank of Lt drawing pay of Rs 10050/- would get Rs 18700/- in PB-3. Thus it is seen that Lts in MNS (Local) are getting more pay than the regular Lts and Capts at certain stages.

          While this issue was discussed with MoF, they suggested that since this is a small dying cadre (as on date only 13 officers are existing) a separate order might be issued.

          (vii)   Fixing of Ceiling of Pay in PB-4, Grade Pay & MSP

          Min of Fin had suggested that the maximum in PB-4 should include MSP as well, otherwise at the maximum of the Pay band, future Colonels and Brigadiers would draw more pay/pension than Lt Generals and Army Cdrs i.e. pay of Rs 67000/- plus Rs 8700/- plus Rs 6000 = Rs 81700 in the case of a Colonel and Rs 81900/- in the case of a Brigadier.

          On analysis, it is observed that officers of the rank of Colonel and Brigadier who reach the top of the Pay Band (Rs 67000/-) would get more pay/pension than Army Commanders only as pay of the latter is fixed at the Apex Scale without any Grade Pay and MSP. This being a policy issue, may have to be decided by MoF at the highest level.

4.      To sum up, it is submitted that the issues mentioned at S No. 3 (i) viz Pay Fixation of officers holding acting rank, (ii) Pay fixation on grant of Time Scale rank to Colonels, (v) Pay fixation of MNS officers, (vi) Pay fixation of MNS (Local) officers and (vii) Fixing of ceiling of pay in PB-4 may be referred to Min of Fin.  

Submitted for kind orders.
Sd/-----------
(S. C. Bamma)
Director (AG)
13.10.2008
JS (E)
-2-

          We may refer to Def (Fin) for comments at this stage, before referring to Ministry of Finance for advice on the above issues. AS (M) may kindly see before we refer to FADS.
Sd/--------
13/10/08
AS (M)                 Sd/--------- 13/x

FADS                   Sd/-------- 13/10/08

Addl FA (S)         Sd/--------- 14/x

DFA (AG)

-3-
Ministry of Defence
Fin/AG
Ref preceding notes.

2.      The issues raided in the preceding notes have been examined and the views of Defence (Finance) are as follows:

          a)      On the issue of Pay fixation of officers holding acting ranks, it is noted that in pre-VI CPC dispensation, grant of Acting Rank was followed by basic pay and rank pay of higher Acting Rank in cases where the higher acting rank was allowed after completion of qualifying service for substantive promotion to such higher rank. In the event of acting rank being allowed before completion of qualifying service for substantive rank , only the rank pay of higher acting rank was allowed with basic pay of substantive rank.

          In post-VI CPC pay structure, rank pay no longer exists and the amounts drawn earlier as rank pay have already been reckoned for fixing pay in the revised structure. Grade pay is the revised structure is an inseparable part of the newly introduced running pay bands. As such, in the event of Acting ranks being allowed before completion of qualifying service for substantive promotion, the proposal to allow Grade Pay of higher Acting Rank with band pay of the substantive Rank is liable to raise questions of rank equivalence, particularly in cases of acting promotions from Lt Col to Col.

          Defence (Finance) are, therefore, of the view that the general question of monetary compensation on grant of acting promotions would need to be gone into greater detail. In doing so, the impact of implementation of Govt decisions on AVSC recommendations (non-select and select ranks) on cadre re-structuring of the three Services, particularly the incidence of acting promotions, may also be taken into account. A view could be taken on whether outcome of ongoing GoM deliberations may be awaited before taking a final decision in the matter. 

          b)      For pay fixation on grant of time-scale rank of Col, Defence (Finance) are in agreement with the proposal to allow Pay Band and Grade Py of PB-4 on grant of Time-Scale rank of Col. There is no objections in this proposal being referred to Ministry of Finance for approval.

          c)      For pay fixation of re-employed officers and NCC officers, DoD will bring up suitable draft orders for financial concurrence, as proposed.

          d)      On the issue of MNS officers drawing more pay than Cols and Brigadiers at certain stages, the anomaly referred to in the preceding notes would need to be elaborated further by quoting specific stages in the pay bands at which the anomaly would occur, with specific reference to the pay/rank pay drawn in pre-revised scales and periods of residency in the grade of MNS and regular officers, respectively. In the event that the anomaly cannot be resolved within the ambit of existing instructions, suitable proposals for resolving the problem could be referred for approval of MoF.

          e)      The issue of Cols/Brigadiers at maximum of PB-4 drawing more pay/pension than General Officers would also need to be elaborated further by making specific mention of the normal periods of residency in the ranks of Col and Brig, both in pre-AVSC-II and post AVSC-II dispensations. This would be necessary to establish whether Cols/Brigadiers with normal residency periods in the rank would actually, as a matter of course, be expected to reach the maximum of PB-4 before retirement/promotion to the next higher rank. After clarifying these aspects, the matter could be referred to Ministry of Finance for advice.

3.       Defence (Finance) are accordingly of the view that while the issue at (b) above could be referred to Ministry of Finance for approval, the remaining issues may be processed further by DoD on the lines mentioned above before seeking MoF approval.
Sd/-----------
14/x/08
(A K Gambhir)
DFA (AG)
JS & Addl FA (S)                   Sd/--------- 14 Oct 08

FA(DS)
-4-

          The issue regarding acting rank needs to be discussed and examined in consultation with JS (G) and MS Branch as it involves issues of cadre management.
          May like to see.
Sd/-------------
14/10/08

Defence Secretary        Sd/------ 14.10.08   (Vijay Singh) Defence Secretary

FA (DS)                         Sd/------- 15/10/08

Addl FA (S)                   On tour

DFA (AG)                      In meeting

JS (E) may like to see this file.                Sd/-------- 15/x/08

-5-

          1.       With regard to para (d) and (e) of Note 3 of Def (Fin) it is felt that comments of CGDA may also be obtained at this stage. Def (Fin) is requested to obtain comments of O/o CGDA.

          2.      Issue at para (a) is being taken up for consultation with JS (G)/MS Branch.

          3.       JS Trg/CAO has been requested to take up action on para (c).

          4.      Issues may be actioned on priority.

AS (M) has seen.                                                Sd/---------- 16/10/08

Addl FA (S)         on tour

DFA (AG)            Sd/----- 16/x

-6-
Ministry of Defence (Finance)
Fin/AG

          Reference preceding notes.

2.      In the absence of Addl FA (S) on tour and Addl FA (D) being away in meetings, the observations in the preceding note of JS (E) are submitted for kind information of FA (DS).  

3.       On the question of consultation with O/o CGDA, there may be no objection in AG Branch seeking comments of O/o CGDA.
Sd/--------
(A K Gambhir)
DFA (AG)
16.10.08

FA (DS)

-7-
          As proposed. Ms Branch is making a presentation tomorrow.
Sd/------- 16/10/08
Dir (AG)              Sd/------- 17/x/08

Jt CGDA (AT)

N/7

          Reference preceding notes.

          The points raised at para (d) and (e) of note 3 have been examined and the following comments are furnished.

          Para (d):         The pay fixation tables in respect of MNS officers of the rank of Colonel, Brigadier and Maj General have been prepared based on the formula given by the Govt and are placed as annexure I, II, III respectively.

          It is stated that MNS officers of the rank of Colonel drawing pre-revised pay of Rs 15800/- and Rs 16100/- including one/two stagnations increment(s) in the pre-revised scale of Rs 13400-300-15500 would get fixed at Rs 42120/- whereas Colonels of regular Army drawing Rs 17100/- (including rank pay of Rs 2000/-) have been fixed at Rs 40890/-. Further, MNS Officers drawing Rs 16400/- including three stagnation increments would get fixed at Rs 43390/- whereas Colonels of regular Army drawing Rs 17100/-, Rs 17550/-, and Rs 18000/- are getting fixed at stages less than Rs 43390/-. Similarly, MNS Brigadiers drawing Rs 15900/- in the scale of Rs 14700-300-16200 would get fixed at Rs 42120 whereas Col drawing Rs 17100/- have been fixed at Rs 40890/-. The table enclosed at annexure IV will illustrate the issue further. 

          The pay fixation table in respect of Lt of MNS (Local) prepared as per formula given by Government is given at annexure V. It will be seen that Lt of MNS (Local) drawing Rs 8300/- in pre-revised scale of Rs 5500-175-9000 would get fixed at Rs 19800/- whereas a Lt of regular Army have been fixed at Rs 15600/-. Pay fixation table given as Annexure V would highlight this anomaly.

          It can be seen that the anomaly cannot be resolved within the ambit of existing instructions, and necessary policy decision will need to be taken by MoD/Min of Fin.

          Para (e):    It is seen that a Colonel drawing three stagnation increments after reaching maximum of pre-revised scale as on 01.01.2006 would cross Rs 80000/- after drawing 11 increments in the revised scale. Similarly, Brigadier drawing three stagnation increments after reaching maximum of pre-revised scale as on 01.01.2006 would cross Rs 80000/- after drawing 10 increments in the revised scales. It is very unlikely that officers of the rank of Colonel and Brigadier would have such long residency periods in the respective ranks. In all probability they are likely to be promoted to higher ranks or retire on attaining the age of superannuation (emphasis supplied).  
Sd/-----------
Dy CGDA (AT)
Director (AG), MoD, Sena Bhawan, New Delhi
CGDA’s UO No. AT/I/1496-II dated 20-10-2008.

Received at 5.35 pm    Sd/--------- 20/x/2008

US (P/S)

[Comments by Aerial View

1.       Information obtained through RTI on Para (e) above: As per disclosures in reply to CGDFA/R/2017/50280, that the following number of non AMC/ADC/RVC officers are drawing/have drawn pension/pay of Rs 80000 or more as on 31.12.2015:

(a)            PCDA (O) vide LW/SS/AT/RTI/45/Vol-V: - 

Colonels:   124; Brigadiers: 113 

          (b)     Naval Pay Office on mobile No. +91xxxxxxx766 on 05 Dec 2017:

Captain (IN): 12;          Commodores: 17

(c)     AFCAO through CPIO Air HQ vide Air HQ/23401/204/4/12206/E/PS dated 20 Sep 2017: -

Group Captains: 13; Air Commodores: 24

2.      Rough Calculations: -      The principle of one increment on promotion plus higher grade pay has not been done in the following tables. A simple stepping up to the next higher amount in the next column is the modus of the tables e.g. Lt Col Rs 30000 in Col column the next higher amount.

Assumptions: -

(a)     Age at the time of commissioning: 21 years

(b)     Promotion time frame (AVSC-II) on completion of commissioned years of service from MoD Letter No.2 (2)/US (L)/D(AIR-III)/04dated 12th March 2005, ages of superannuation from Civil Appeal Nos. 4717-4719 of 2013 in UoI Vs Gp Capt Atul Shukla and Others:

Rank
Commissioned years of service
Age on promotion
Superannuation age
Lt
Nil
21
50
Capt
2
23
50
Major
6
27
50
Lt Col
13
34
52
Col
26
47
54


          (c)     Promotion time frame as given in Command & Exit Policy (Para 18 of Civil Appeal No. 3208 of 2015 in UoI Vs Lt Col P K Choudhary & Others)

                  
Rank
Commissioned years of service
Age on promotion
Superannuates at
Colonel
15
36
54
Brig
23
44
56
Maj Gen
29
50
58
Lt Gen
34
55
60





 From Pay tables of VI CPC (Pay in the Pay Band + GP + MSP)

Age
Years of service
Capt
18600+
6100+
6000
Maj
23810+
6600+
6000
Lt Col
37400+
8000+
6000
Col
40890+
8700+
6000
Brig 43390+
8900+
6000





TS
Select
Select
23
2
30700





24
3
31450





25
4
32220





26
5
33010





27
6
-
36410




28
7

37330




29
8

38270




30
9

39240




31
10

40240




32
11

41270




33
12

42330




34
13

-
51400



35
14

-
52770



36
15

-
54180

55590

37
16

-
55630

57080

38
17

-
57120

58620

39
18

-
58660

60200

40
19

-
60240

61830

41
20

-
61870

63510

42
21

-
63550

65240

43
22

-
65280

67020

44
23

-
67060

68860
70340
45
24

-
68900

70750
72280
46
25

-
70790
72700
72700
74270
47
26

-
72740
74710
74710
76320
48
27


74750
76780
76780
78430
49
28


76820
78910
78910
80610
50
29


78950
81100
81100
81900
51
30


81000
81700
81700
81900
52
31


81000
81700
81700
81900
53
32



81700
81700
81900
54
33



81700
81700
81900
55
34



-
-
81900
56
35



-
-
81900
*        *        *        *
 
-8-

          Please refer to preceding Notes wherein it was discussed to resolve pending issues relating to pay fixation of (i) officers holding Acting Rank, (ii) Colonel (Time Scale), (iii) MNS Officer drawing more pay than Colonels and Brigadiers, and (iv) Colonel/Brigadier at maximum of PB-4 drawing more pay/pension than General officers.

2.      Pay fixation of officers holding Acting Rank

          In this connection, Air HQ has given the following suggestion:

          In case of officers holding acting rank as on 1st day of January 2006, and having completed the minimum time period prescribed under extant orders, the pay in the revised pay structure shall be fixed at the relevant stage of the acting higher rank. In addition, grade pay applicable to the higher acting rank shall be admissible. If the officer has not completed the minimum time period prescribed under extant orders, the pay shall be fixed mutatis mutandis by application of the rules applicable to civilian officers on ad hoc promotion.

3.       Army HQ has reiterated the stand taken earlier (which they have furnished in the draft SAI earlier) to resolve the issue of pay fixation of Acting Ranks. The details are as follows:

          Acting Ranks (Non-select):     In case of officers holding acting ranks in non-select capacity as on 01 Jan 2006, the revised pay will be fixed after taking into account Rank Pay corresponding to substantive rank. Having determined the revised ban pay in the manner indicated, Grade Pay of the higher rank will be admissible. 

          Acting Ranks (Select):     Officers granted any acting rank in select capacity i.e. they have been promoted to acting rank after having been screened and selected by a duly constituted Selection Board, will be entitled to the pay band corresponding to the higher rank to which they have been promoted and the corresponding grade pay of the higher rank in accordance with Special Army Instructions 1/S/74. 

4.      Pay Fixation of MNS Officers

          Regarding pay fixation of MNS officers drawing more pay than Colonels and Brigadiers, the information furnished by the O/o CGDA may kindly be seen at Note 7. It is stated that MNS Officers of the rank of Colonel drawing pre-revised pay of Rs 15800/- and Rs 16100/- including one/two stagnation increment(s) in the pre-revised scale of Rs 13400-300-15500 would get fixed at Rs 42120/- whereas Colonels of regular Army drawing Rs 17100/- (including Rank Pay of Rs 2000/-) have been fixed at Rs 40890/-. Further MNS officers drawing Rs 16400/- including three stagnation increments would get fixed at Rs 43390/- whereas Colonels of the regular Army drawing Rs 17100/-, Rs 17550/- and Rs 18000/- are getting fixed at Rs 43390/-. Similarly MNS Brigadiers drawing Rs 15900/- in the scale Rs 14700-300-16200 would get fixed at Rs 42120/- whereas Col drawing Rs 17100/- have been fixed at Rs 40890/-. The table enclosed at Annexure-VI will illustrate the issue further. 

5.       CGDA office have given the pay fixation table in respect of MNS (Local). It will be seen that Lt of MNS (Local) drawing Rs 8300/- in the pre-revised scale of Rs 5500-175-9000 would get fixed at Rs 19800/- whereas Lt of regular Army have been fixed at Rs 15600/-. Pay fixation table given as Annexure V would highlight this anomaly. It is stated by the O/o CGDA that the anomaly cannot be resolved within the ambit of existing instructions, and necessary policy decision will need to be taken by MoD/Min of Fin.  

6.      Cols/Brigadiers at maximum of PB-4 drawing more pay/pension than General Officers

          The O/o CGDA has stated that a Colonel drawing three stagnation increments after reaching maximum of the pre-revised scale as on 1.1.2006 would cross Rs 80000/- after drawing 11 increments in the revised scale. Similarly, Brigadier drawing three stagnation increments after reaching the maximum of the pre-revised scale as on 1.1.2006 would cross Rs 80000/- after drawing 10 increments in the revised scales. The O/o CGDAhas opined that it is very unlikely that officers of the rank of Colonel and Brigadier would have such long residency periods in the respective ranks. In all probability, they are likely to be promoted to higher ranks or retite on attaining the age of superannuation.

7.       Before referring the file to MoF, we should explore some alternative solutions. In view of this, we may refer the file to Defence Finance for their comments/suggestions. If necessary a meeting may be convened.

Sd/----------
(S C Bamma)
Director (AG)
21.10.2008
JS (E)

-9-

MOST IMMEDIATE
VI CPC MATTER
Ministry of Defence (Finance
Fin/G

Subject:   Implementation of VI CPC recommendations concerning Defence Services officers – pay fixation of officers holding acting rank

          The question of pay fixation of Defence Services Officers holding acting rank was discussed in detail in meeting convened by D (Pay/Ser) on 17.10.2008 under the chairmanship of FA (DS). The meetings was attended by AS (M), JS € and officers from D (GS), D (MS) and O/o CGDA. 

2.      After detailed discussions, the view emerging in the meeting was that in cases of officers who were granted higher acting rank prior to 1.1.2006 after completion of qualifying service for substantive promotion to such higher rank, initial pay as 1.1.2006 could be fixed by reckoning basic pay and rank pay of the higher acting rank in the emoluments. For acting promotions granted after 1.1.2006 also, pay fixation on grant of such acting promotion to officers possessing qualifying service for substantive promotion to such higher rank could be done by allowing band pay and grade pay of the higher acting rank. As a large number of officers are covered in this category, it would be desirable that draft instructions on the above lines are formulated and referred to MoF for vetting, immediately. D (Pay/Ser) may accordingly furnish a suitable draft on these lines.   

3.       For the other category of officers who were granted higher acting ranks before completion of qualifying service for substantive promotion to such ranks, the view emerging in the meeting was that further examination of rules governing grant of acting ranks would be necessary to rationalise the existing procedures on acting promotions.

4.      The consensus, however, was that pending final decision on monetary compensation for holding higher acting rank in such situations, initial pay fixation as on 1.1.2006 for officers granted acting rank before completion of qualifying service for substantive promotion to such higher rank, the rank pay and basic pay of substantive rank could be reckoned for initial pay fixation in the acting rank and after such fixation of band pay, grade pay of substantive rank be allowed. For acting promotions granted after 1.1.2006 before completion of qualifying service for substantive promotion, pay on promotion could be fixed, for the present, by allowing band pay and grade pay of substantive rank. AHQ have separately represented for an immediate decision in this regard. Accordingly, for this latter category also, draft instructions providing for fixation of pay could be prepared and referred to MoF for approval. 

4.      DoD may kindly consider formulating suitable instructions immediately as further delay in pay fixation of the affected categories of officers is liable to cause severe resentment in the cadres.
Sd/-----------
21/x/08
(A K Gambhir)
DFA (AG)
JS & Addl FA (S)                   Sd/------ 21 Oct 08

FA (DS)                         Sd/------ 21/10/08

Defence Secretary
MoD (Fin) ID No. 1 (25)/06-AG (PA) dated 21.10.2008
                                                Sd/--------(Vijay Singh) Defence Secretary

AS (M)                 Sd/--------21/10/08
JS (E)                  Top priority        Sd/------- 21/10/08
Dir (AG)              Sd/---------- 21/10/08

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MINISTRY OF DEFENCE
D (PAY/SERVICES)

          Reference note from 8 ante.

2.      In this file we are dealing with some of the pending issues namely pay fixation of officers holding acting ranks and Colonel (Time Scale) which did not figure in the Special Instructions of the Services for implementing the decision of the Government consequent upon the acceptance for the recommendations of VI CPC. It was mentioned in Para 2 of SAI No. 2/S/08 dated 11.10.08, in Para 2 of SNI No. 2/S/08 dated 18.10.08 and in Para 2 of SAFI No. 2/S/08 that separate instructions will be issued for the financial benefits to be allowed to officers holding higher acting rank on or after 1.1.06 and fixation/regularisation of pay of officers holding/promoted to the rank of Colonel (TS) on or after 1.1.2006. The draft instructions for the above category of officers have been drafted on the lines of discussions held in the chamber of FA (DS) on 17.10.08 and AS (M) on 21.10.08 and the views of Def (Fin) mentioned at Note 9. The issues in brief are as follows: 

(1)     Pay Fixation of officers holding Acting Ranks

(a)     Officers who were granted higher acting rank prior to 1.1.2006 after completion of qualifying service for substantive promotion to such higher rank

In this case initial pay as on 1.1.06 in the revised pay structure could be fixed by reckoning basic pay and rank pay of the higher acting rank in the emoluments. In these cases officers have been promoted after having been screened and selected by a duly constituted Board after completing the qualifying promotion (service?) for substantive promotion to the acting rank. In view of this, both the grade pay and Pay Band of the higher Acting Rank would be justified.

(b)     For officers who were granted acting promotions after 1.1.2006 after completion of qualifying service for substantive promotion to such higher rank 

In this case, pay fixation could be done on such acting promotion by allowing pay band and grade pay of the higher acting rank as laid down in SAI No. 2/S/2008 dated 11.10.2008.

(c)     Officers who were granted higher acting ranks as on 1.1.2006 before completion of qualifying service for substantive promotion to such ranks

In this case it is proposed that the officers who are holding higher acting ranks without completion of qualifying service should also be monetarily compensated for discharging higher responsibilities. In such cases initial pay fixation as on 1.1.2006 could be made by taking rank pay and basic pay of substantive rank for initial pay fixation in the acting rank and after such fixation of band pay, grade pay of substantive rank be allowed. In addition the pay so fixed, they may be allowed acting allowance as mentioned in (d) below.  

(d)     Officers who were granted higher acting ranks after 1.1.2006 before completion of qualifying service for substantive promotion to such ranks

In such cases pay on promotion could be fixed, for the present, by allowing band pay and grade pay of substantive rank. 

In the meeting held in the chamber of AS (M) on 21.10.2008, it was decided that monetary compensation be paid to such category of officers mentioned in (c) and (d) who are discharging higher responsibilities without completing qualifying service. This monetary compensation should be termed Acting Allowance. The amount of this allowance would be the difference between the grade pay of the substantive rank and the grade pay of the higher acting rank. The details of rates of acting allowance would be as follows:

                  
S No
Rank
Grade Pay recommended by VI CPC
Grade Pay accepted by Govt
Acting allowance (difference between two contiguous ranks)
1
Lt
5400
5400
-
2
Capt
5700
6100
700
3
Major
6100
6600
500
4
Lt Col
6600
7600
1000
5
Col
7600
8700
1100
6
Brig
8400
8900
200

The acting allowance for a Lt, Capt, Maj, Lt Col and Colonel holding higher acting rank would be Rs  700, Rs 500, Rs 1000, Rs 1100 and Rs 200 respectively.

          It is relevant to mention that the VI CPC in its recommendations vide Para 4.10.94 have recommended that the condition of holding the higher rank for a fixed number of consecutive days before the acting rank is paid, should be removed. The Government in its Resolution No. 1 (E) dated 30th August 2008 has accepted the recommendation. Earlier  the minimum number of days for such purpose was 21 days.

Pay fixation of Colonel (Time Scale)

3.       Under the present dispensation, Colonel (T/S) is granted this Time Scale after 26 years of commissioned service. At present an officer holding the rank of Col (T/S) gets only the pay scale of Colonel whereas he gets the rank pay of Lt Col. In the meeting held in the chamber of FA (DS) on 17.10.08 it was proposed to grant Pay Band-4 as well as Grade Pay of Colonel i.e. Rs 8700 to such category of officers. In the draft instructions, this provision has been incorporated.

4.      We may refer the file along with these draft instructions to the MoF through Def (Fin) for vetting.
Sd/-----------
(S C Bamma)
Director (AG)
22.10.2008
JS (E)

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1.       We may, if agreed, refer comments as in N-10 ante to Def (Fin) for concurrence. Thereafter MoF may also be requested to concur.

2.      There may be no requirement to state the calculations regarding Acting Allowance in 3 (e). However. A view could be taken on this.    

3.       AS (M) may kindly see. If agreed the file could be referred to FADS.
Sd/--------
22/10/08
AS (M)                 Sd/----- 22/x
FADS                   Sd/--- 22/10
Addl FA (S)        

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Ministry of Defence (Finance)
Fin/AG

          Ref preceding notes.

2.      The proposed draft instructions on pay fixation of officers holding acting ranks and pay fixation of Time Scale have been examined.

3.       In the meeting taken by AS (M) on 21.10.2006, a view was taken that only the absolute amounts proposed (as) Acting Allowance need be mentioned in the instructions; the methodology of calculation, viz., difference between grade pay of higher acting rank and substantive rank, need not be specifically mentioned. It was also decided that the proposed Acting Rank Allowance would be personal to the officer and would not be reckoned for any other purpose. This allowance would also not be admissible to Lieutenants and Brigadiers. Para 3 (e) of the draft would need to be amended accordingly.   

4.      For the above observations and for Para 4 regarding pay fixation of Col (Time Scale), the corrections made in the draft in pencil may be seen. Subject to these observations, there may be no objection in referring the proposed drafts to MoF for concurrence.

5.       FA (DS) may kindly see before the file is returned to DoD.
Sd/---------
22/x/08
(A K Gambhir)
DFA (AG)

JS & Addl FA (S)                             Sd/------ 22 Oct 08

FADS                                      Sd/----- 22/10/08

AS (M)                                    Sd/------ 22/x       

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          Pl put up a fair draft on top priority incorporating all corrections. File may be sent to the undersigned for being referred to MoF for concurrence/decision.                                           Sd/---------- 23/10/08

Dir (AG) – in meeting

US (P/S)
Fair draft is placed opposite.                                      Sd/---------23/x/08

JS (E)

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Ministry of Defence

          Reference note 8/ante onwards.

2.      With regard to pay fixation of officers holding Acting Ranks and Col (Time Scale) draft Special Instructions for Army, Navy and Air Force are placed opposite. Ministry of Finance is requested to convey concurrence/decision on the issues and vet the Special Instructions for Army, Navy and Air Force as placed opposite.
Sd/-----------
(Ajay Tirkey)
Joint Secretary (E/PG) & CVO
23.10.08
Smt Madhulika Sukul
Joint Secretary (Pers)
Department of Expenditure, Ministry of Finance.


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Government of India
Ministry of Finance
Department of Expenditure
Implementation Cell

          Ministry of Defence may please refer to their File No. 1 (51)/2008-D (Pay/Services) for the vetting of draft Special Army/Navy/Air Force instructions regarding: (i) pay fixation of officers holding Acting Rank; and (ii) pay fixation of Colonels/equivalent ranks (Time Scale).  

2.      The draft instructions have been seen in this Department. It has, however, been felt that the instructions regarding pay fixation of officers holding ‘Acting Ranks’ should be amended as under: -

On being granted higher Acting Rank, the officers may be granted the grade pay attached to the higher rank without changing their pay in the pay band. Also, while the officers serve in Acting capacity in the higher rank, they should earn their increments based on the grade pay attached to the substantive rank without taking into account the grade pay of the higher rank.

3.       The formulation for pay fixation of Colonel (Time Scale) is found to be in order.

4.      The draft instructions are vetted subject to the above amendments and returned for further necessary action.

5.       This issues with the approval of Secretary (Expenditure).
Sd/--------
Alok Saxena
Director (IC)
Joint Secretary (E), Ministry of Defence, South Block, New Delhi
MoF, D/o Expenditure, I.C U. O No. 7.10/5/2008-IC dated 27.10.2008

Top priority please
Sd/------- 27/10/08

Dir (AG)                                           -16-

                   Further, discussed with AS (M). We may issue, having shown to Def (Fin). Today Pl.                                                   Sd/-----------29/10/08

Dir (AG)              Def (Fin) is requested to kindly concur the DGLs.
                                                                                                Sd/----- 29/x/08
DFA (AG/PA)



Will be updated as we go along........