Reply dated 3.4.2013
to RTI - TRIPAS CGDA
Part II
********
Encl 26/A
Most Immediate
RANK PAY CASE
Ministry of
Defence
D(Pay/Services)
Subject: Implementation of Supreme Court Order
dated 4.9.2012 in Rank Pay given in IA No. 9 of 2010 in Transfer Petition (C)
No. 56/2007 – UoI v/s N. K. Nair on Rank Pay case.
--------
A copy of DGL received
from Services HQrs (TRIPAS) on the above subject is forwarded herewith for
comments/vetting by 19.11.2012 forenoon positively. In this connection, a copy
of Note dated 7.11.2012 recorded by Service Hqrs is also enclosed.
Sd/------------------------
Naveen Kumar
Director (AG)
Telefax- 2301 4036
Jt CDGA
(AT-I) (Shri Mohinder Singh)
MoD IN No.
PC-34(6)/2012/D 9Pay/Services) dated 14.11.2012
Received
Sd/------------------
16/11/2012
PA to Jt CG
(AT-I)
*****
Encl 27/A
Most Immediate
RANK PAY CASE
Ministry of
Defence
D(Pay/Services)
Subject: Implementation of Supreme Court Order
dated 4.9.2012 in Rank Pay given in IA No. 9 of 2010 in Transfer Petition (C)
No. 56/2007 – UoI v/s N. K. Nair on Rank Pay case.
--------
A copy of DGL received
from Services HQrs (TRIPAS) on the above subject is forwarded herewith for
comments/vetting by 19.11.2012 forenoon positively. In this connection, a copy
of Note dated 7.11.2012 recorded by Service Hqrs is also enclosed.
Sd/------------------------
Naveen Kumar
Director (AG)
Telefax- 2301 4036
JS &
Addl. FA(M) (Shri BK Mukhopadhyay
MoD IN No.
PC-34(6)/2012/D 9Pay/Services) dated 14.11.2012
******
Encl 30A
Telephone:
23011257
PC-C/7026/6th
CPC/Vol-III 15
Nov 2012
ADJUTANT GENERAL’S
BRANCH
Tri Service Pay
Staff
IMPLEMENTATION
OF HON’BLE SUPREME COURT ORDER DATED
4.9.2012 GIVEN
IN IA No.9 OF 2010 IN TRANSFER PETITION (C) No.
56/2007 – UoI
v/s N.K. Nair & Ors on RANK PAY CASE
1. Refer to MoD
ID No. 34 (6)/2012 – D (Pay/Services) dated 12 Nov 12.
2. The
requisite clarifications/comments from the Armed Forces on the observations of
the Ministry of Finance on the Rank Pay issue as sought vide your ibid letter
is enclosed.
Sd/-----------------
RS Chowdhury
Captain (IN)
Director (TRIPAS)
Encl: As above
Director (AG)
MoD, Sena Bhawan
Encl 1 to TRIPAS letter No PC-C/7026/6th
CPC/Vol-III dt 15 Nov 12
TRI-SERVICES COMMENTS ON OBSERVATIONS OF MoF ON IMPLEMENTATION OF
RANK PAY CASE
|
Para No
|
Query by MoD
|
Reply from Services
|
|
1(a)
|
The 5th CPC whose
recommendations were implemented from 1.1.1996, also recommended for the
similar formula for fixation of pay pertaining to Rank Pay. It is not clear
if the implementation of pay from 1.1.1986 based on the 4th CPC
recommendations may have any impact on the formula adopted from 1.1.1996
based on the 5th CPC recommendations. It is also not clear if any
representations or notices for litigation in this regard have been received,
and if so, what has been the stand to defend this. It may also be clarified
how the fixation of pay pertaining to rank pay based on 5th CPC
could be distinguished from that based on 4th CPC.
|
1.
The issue of impact of the decision of Rank
Pay case in 5th and 6th CPC was examined by High
Powered Committee (HPC) headed by Defence Secretary, with Secretary
Expenditure and Secretary (Defence Finance) as members. Based on this report of
the Committee, an affidavit was filed in the Hon’ble Supreme Court, on basis
of which, the Hon’ble Supreme Court reheard and decided the case. The report
is in the records of the case. The Committee after due analysis of impact of
Maj AK Dhanapalan’s case concluded and recorded at Para 9 as follows: -
“9. Apart from the enormous financial
implications, actual implementation of the Hon’ble Court’s order would
involve the following stages: -
§
Revision
of pay of officers on 1.1.1986, 1.1.1996 and 1.1.2006 with simultaneous
revision of all pay linked allowances/benefits. Enormous efforts are required
to extract data from all backed up resources, including information relating
to promotion, annual increment, stagnation increment, details of forfeiture,
admissibility, discontinuation of relevant allowances, calculation of Income
tax and apportioning the same over the years;
§
Calculation
of DA on slab basis from 1.1.1986 to 31.12.1995 is time consuming;
§
Revision
of retirement benefits (gratuity, leave encashment) of officers retiring
after 1.1.1986;
§
Revision
of pension on 1.1.1986, 1.1.1996 and 1.1.2006;
§
In
several cases, family pensions would have to be revised on the basis of
revised pay/pension of the officer;
§
In some
cases, payments may have to be made to legal heirs of the deceased retired
officers; and
§
Interest
at the rate of 6% per annum for upto 24 years in each case will have to be
calculated and paid.
This would be a protracted exercise taking
a lot of time and involving huge manpower as each case will have to be
examined/calculated individually.
2.
The Defence Services agree with the inferences
and contents of the report. It would therefore involve revision of pay of
officers on 1.1.1986, 1.1.1996, and 1.1.2006 with simultaneous revision of
all pay linked allowances/benefits.
3. The methodologies used for
rank pay by the 4th CPC were retained by the 5th CPC.
These methodologies/formulae for the 4th CPC have been declared
illegal/wrong and amended by the order of the Hon’ble Supreme Court. Thus, it
would apply mutatis mutandis for the 5th CPC. The moot issue is
that the replacement scales of 5th CPC were derived from basic pay
and rank pay in 4th CPC. With the Court’s decision, there is,
thus, a ripple effect on 5th CPC, which is based on 4th
CPC scales. A fact that has been accepted in the affidavit filed in the
Hon’ble Supreme Court quoting from the HPC Report as stated in preceding
paragraph. It is, therefore, clarified that the application of the legal
principles laid down by the Hon’ble Supreme Court extends to all pay
commissions where rank pay was either drawn or affected while carrying out
fixation of pay.
|
|
(b) (i)
|
It has not been indicated the
extent of financial implications involved in the implementation of the Order
dated 4.9.2012 in question. However it is seen that the CGDA in their note
dated 12.10.2012 have made a rough estimation of Rs. 861 crores covering
Army, IAF and Navy. However it is also seen from the Annexure of this note
that various Field level PCDAs have expressed their inability to exactly
calculate the financial implications in view mainly of non-availability of
accurate data and practice difficulty in timely collections and collation of
material to do so.
|
4. The
Services were never consulted for computation of financial implications which
were prepared by CGDA. Therefore, these details may be sought from CGDA.
|
|
(b) (ii)
|
The financial implications
indicated before the Supreme Court based on the report of the High Powered
Committee was Rs. 1623.71 crore. Thus there is a wide variation between this
figure and the figure being indicated by CGDA now. This will require reconciliation.
|
5. The
Services were never consulted for computation of financial implications which
were prepared by CGDA. Therefore, these details may be sought from CGDA.
|
|
(b) (iii)
|
The fact remains that the
financial implications will be huge – as it falls somewhere between Rs 861
crore and Rs 1623.71 crore. It has not been indicated as to how it proposes
to meet such a substantial liability – whether it has scope for
re-appropriation from its large overall budget. This is an extraordinary
situation, putting the Govt to an unforeseen spectre of too large a financial
outgo. This, thus, requires extraordinary efforts by the administrative
Ministry of Defence as best as it can do to locate funds internally to meet
this extraordinary funds requirement. The Ministry of Defence may make this
point clear.
|
6. It is a
case of implementation of judgment by the Hon’ble Supreme Court. The budget
required to meet such contingency is required to be met from the Consolidated
Fund of India under Charged Expenditure.
|
|
(b) (iv)
|
It is seen that the arrears
paid to Major Dhanapalan was Rs 28031 from 1.1.1986. This was paid after the
SLP filed in the Supreme Court against the order dated 5.10.1998 of the
Kerala High Court in his favour was dismissed in 2005. However, CGDA is now
computing arrears to the tune of Rs 65,578 in case of one major. This is too
wide a variation. Since the present order of the Supreme Court dated 4.9.2012
is for following the principle of the Kerala High Court order 5.10.1998, it
must be ensured that re-fixations of pay from 1.1.1986 is done on the same
basis as allowed in case of Major Dhanapalan. A copy of the order issued by
the Ministry of Defence for implementation of the order dt. 5.10.98 passed by
the Hon’ble Kerala High Court in case of Major Dhanapalan may be provided
alongwith the draft of the proposed order being prepared by the Ministry of
Defence to implement the order dated 4.9.2012 in question.
|
7. Both the
calculations have been done by CGDA therefore details could be sought from them.
However, it is opined that the arrears of each individual will differ based
on his rank during the intervening period, subsequent promotions, time period
under which the individual has drawn rank pay applicable to various ranks
under different pay commissions etc. Further vacancies in any rank created
due to retirement or promotion to higher ranks will be filled up by promotion
from lower rank, this will keep the number of officers in each rank fairly
constant for approximate calculation of total financial implications.
8. It is
further stated that, Major Dhanapalan was not holding the rank for Major for
the entire period of 10 years. Also, no penal interest was granted in the
case of Major Dhanapalan. However, the Hon’ble Supreme Court has directed re-fixation
of pay, in accordance with the Resolution of the Government of India (Exhibit
P1). This entails that the pay fixation for the entire currency of 4th
CPC and 5th CPC, where Rank Pay was drawn, and as also the 6th
CPC, where Rank Pay was used for computation of Pay-fixation and selectively
singled out for Grade Pay, will require to be re-computed. Additionally, as
per directions of the Hon’ble Supreme Court, an award of penal interest of 6%
w.e.f. 01 Jan 06 is also required to be paid to all those who are
affected.
|
|
(c)
|
It is seen from the order of
the Hon’ble Supreme Court dated 4.9.2012 that all the petitions were tagged
along, were filed by Army Officers. It is also seen that the Pay Rules of
1987 which have been challenged and quoted by MoD in its affidavit before the
Supreme Court, are Special Army Instructions dt. 23.6.1987. It, thus, appears
so far the petitioners and the litigations have been Army-centric. This being
so, the whole implication of the phrase “similarly situated/placed person
may confine to similarly placed
persons from the Army alone. However
the details from the list of petitioners may be checked and if all are Army
men, then Ministry of Defence may consult the Law Ministry on an urgent basis
if the implementation could be made only in case of similarly placed officers
of Army, keeping in view that the petitioners are/were from the Army
|
9. The
assumption that only Army officers filed the cases is not correct. Officers
from the three Services had filed cases in the courts. Gp Capt KK Rohatgi, an
Air Force officer had filed Writ Petition (C) No. 34 of 2009 challenging Rank
Pay. His name is listed on the first page of the decision of the Hon’ble
Supreme Court. Likewise several organisations like Retired Defence Officers
Association (with members from three services) and Delhi Chapter of Naval
Foundation had filed cases on the issue challenging Special Army/Navy/ir
Force Instructions issued pursuant to 4th CPC for implementation
of government decisions. Accordingly
all three Service Chiefs were also listed as respondents.
10. It may
also be recalled that MoD vide its note ID No. PC-34(1)/2006 – D
(Pay/Services) dated 03 Aug 06 had sought the names of petitioners in the
instant case from the Navy which was duly forwarded vide IHQ MoD (N)/DPA Note
PA/547 dated 03 Aug 06 intimating that there were a total of 94 (ninety four)
petitioners from the Navy (Retired officers) and 49 petitioners from the Air
Force.
11. It may
also be noted that the judgment for re-fixation of pay is in accordance with
Exhibit P1, which is a Government Resolution effecting 4th Pay
Commission. This resolution is common
and applicable to all three Services. There is/are no separate
resolution(s) of Govt of India for the officers of the Army, Navy and Air
Force. Therefore contention of
‘similarly situated/placed person’ refers to all persons who drew or were
affected by the ‘RANK PAY’ in Army, Navy and Air Force.
|
*****
Encl 37/A
Most Immediate
RANK PAY CASE
Ministry of
Defence (Finance)
(AG/PA)
Subject: Implementation of Supreme Court Order
dated 4.9.2012 in Rank Pay given in IA No. 9 of 2010 in Transfer Petition (C)
No. 56/2007 – UoI v/s N. K. Nair on Rank Pay case - Reg
--------
The
undersigned is directed to refer to MoD/D (Pay/Services) ‘ two ID of even
number PC-34(6)/2012/D (Pay/Services) both dated 14.11.2012 on the above cited
subject.
2. So far as Defence (Finance) is concerned, following comments
(point-wise) are made on the observations of Ministry of Finance (MoF)
(Department of Expenditure) as contained in Para 3 (a), 3 (b) (i), 3 (b) (ii),
3 B(iii), 3 (b) (iv) and 3 (c) of their ID Note No. 187654/E.III (A)/2012 dated
09.11.2012 (Please see note 74 in the Reply to FAA by MoF in an earlier blog
post).
Para
3 (a) – It is apparent that implementation of the Supreme Court order dated
4.9.2012 will have repercussions/impact on the formula adopted from 1.1.1996
based on 5th CPC recommendations. However, since ibid Supreme Court
order dated 4.9.2012 is in respect of formula of pay fixation based on 4th
CPC recommendations only, it is advisable that at this stage, its
implementation may be restricted to pay fixation adopted in pursuance of 4th
CPC recommendations only. …..
3.
Further, as regards the GDL [enclosed with
MoD/D(Pay/Services)’ another ID dated 14.11.2012 second] drafted by Army HQ and
approved at Tri-Services level for implementation of ibid Supreme Court order
dated 04.09.2012, it is observed that the ibid DGL proposes to amend/revise the
provisions relating to pay scale as well as formula of pay fixation pertaining
not only to 4th CPC, but also to 5th CPC and 6th
CPC. However, this Division is of the view that since the ibid Supreme Court
order dated 04.09.2012 pertains specifically to amendment in the formula of pay
fixation based on 4th CPC recommendations for addition of Rank Pay,
the implementation should be restricted to requisite amendment in the pay
fixation formula of 4th CPC only. The pay scales/pay bands
recommended by 5th abd 6th CPC need not be altered.
4.
This has the approval of Addl FA (M) & JS.
Sd/----------------------
K K
Sinha
AFA
(AG/PA)
Director (AG-I) MoD
MoD (Fin) ID No. 8
(13)/20120AG/PA dated 20th November 2012
*****
Encl
44A
Urgent/Court Case
Office of the CGDA, Ulan Batar Road, Palam,
Delhi Cantt-10
Subject: Implementation of Supreme Court Order
dated 04/09/2012 in IA No. 9 of 2010 in Transfer Petition (C) No. 56/2007 filed
on behalf of UoI v/s N. K. Nair on the matter of Rank Pay: vetting of DGL –
regarding
Reference: MoD, D (Pay/Services)
ID No. PC-34(6)/2012-D (Pay/Services) dated 14/11/2012
*****
MoD may refer to their ID quoted
under reference under which DGL on the subject issue has been forwarded to this
HQrs for comments/vetting. The following comments are offered in consultation
with the concerned field Controllers for consideration before final decision by
the MoD.
2. The Hon’ble Supreme Court in its
judgment dated 08/03/2010 have upheld the judgment dated 05/10/1998 of Kerala
High Court. Upon further hearing the Hon’ble Apex Court in its final judgment
dated 04/09/2012 has affirmed its earlier judgment dated 08/03/2012 clarifying
that “…. this order shall govern all
similarly situated officers…” with modification in the interest part. As
such, the Apex Court judgment dated 04/09/2012 may be implemented in the same
way as was done in the case of Maj (Retd) A K Dhanapalan. In this regard views
of MoF vide Para 3 (b) (iv) of MoD, D(Pay/Services) ID dated 12/11/2012 on the
subject also refer. If extended benefits
are allowed, it may not stand in audit.
3. Keeping in view the above facts, para-wise comments as follows are
offered on the DGL.
Para 2. High Court of Kerala and
Hon’ble Supreme Court judgment have made no mention about admitting
consequential benefits due to revision of pay during the service. Besides, the
pay of the officers who joined service after 01/01/1986 has been correctly
fixed in the minimum of the Integrated Pay Scale as per the rank held. There
was no deduction of Rank Pay while fixing the pay of such officers in the
integrated pay scale. Hence they may not be covered for revision of Pay as per
Supreme Court order.
Section I
Para 4: The justification given by
Service HQrs does not seem to be as per court order. The Court judgment does
not have any mention about revision of Integrated Pay Scale adding Rank Pay to
it. Hence, revision of integrated pay scale with changed rates of increments is
not covered as per Court order. If it is
done, the pay scale fixed for the rank of Major general & above may get
burst.
Para 5 (a) (iii): No change is required to minimum pay fixed for
each rank because the integrated pay scale from Rs
2300-100-3900-150-4200-EB-150-5100 has been devised considering the total
service span of 23 years from the rank of Lt to Brig. Since there are no
directives from the Hon’ble Supreme Court for revision of the scale as per
Fourth CPC, the change in minimum pay for each rank has no relevance.
Para 5 (c): Since Officers commissioned
after 01/01/1986 are not affected by the Court order, the provisions of
revision of pay as per court order may not be made applicable to these
officers.
Para 5 (d) & (e): On completion of
qualifying service for the rank and on promotion, the officers will be entitled
to get the minimum pay of the rank as per SAI 01/S/87. Pay proposed in DGL vide
Para 5 (a) (iii) may not be applicable in such cases. The comments against Para
5 (a) (iii) may also be referred in this regard.
Section II
Para 6 (a): The pay of affected
officers as on 01/01/1996 will be revised considering the pay in the Integrated
sacle being drawn as on 31/12/1995 consequent upon the revision carried out as
on 01/01/1986 without deducting Rank Pay in compliance of subject Apex Court
order. Hence, no amendments to SAI 02/S/98 are required for implementation of
the Court order.
Para 7: Since the provisions of SAI
02/S/98 stand correct for officers in service as on 01/01/1996 &
commissioned thereafter, the pay scales as mentioned at Para 6 of the DGL
become irrelevant.
Para 8 (b): Fixation of initial pay in the
revised scale as on 01/01/96: Neither the High Court of Kerala nor the
Hon’ble Supreme Court has issued any directives for revision of pay fixation
formula as per Fifth Pay Commission orders for not deducting the Rank Pay. In
this regard it is worth noting that while implementing the judgment in the case
of Maj (Retd) Dhanapalan, his pay was revised in the rank of Capt as on
01/01/1986 by re-fixing it without deducting Rank Pay. This change in pay
continued till 31/12/1995. After 5th CPC his pay was fixed on
01/01/1996 as per Fifth CPC orders only. On representation from Maj (retd)
Dhanapalan for revision of his pay as on 01/01/1996 consequent on 5th
CPC recommendations without deducting
Rank Pay, he was informed by the PCDA (O) that High Court order was not for “not
deducting Rank Pay” as on 01/01/1986 and not as on 01/01/1996. No further
communication was received thereafter either from the officer or any directive
from High Court to justify the above claim of the officer.
It is further
stated that as per Fourth Pay Commission Orders, Rank Pay was introduced for
the first time which was in addition to Integrated Pay Scale. But at the time
of pay revision on Fifth Pay Commission orders, officers were in receipt of
Rank Pay which was treated as part of Basic Pay for all purposes including
pension, retirement & pensionary benefits. For revision of pay as on
01/01/1996, 40% fitment was allowed to be added to existing emoluments before
deducting Rank Pay at pre-revised rates while fixing pay in the revised pay
scale for that rank. It is also felt that Fifth Pay Commission’s recommendation
may be looked at as independent and distinct from Fourth Pay Commission.
Moreover, the Rank Pay element introduced in 4th Pay Commission has
very much gone into the Pay fixation while implementing 5th Pay
Commission, as also mentioned above.
In view of the
above it is felt that the Apex Court order does not affect the method of pay
fixation adopted while implementing the Fifth CPC recommendations. The estimated financial implications were
also, in fact, worked out accordingly. However, MoD may take a final view
in this regard after obtaining legal advice, if needed.
Para 8 (e): All provisions of SAI 01/S/87
are applicable for pay revision to be carried out as on 01/01/1986 except the
clause of “deducting Rank Pay” before fixation of pay in the Integrated scale. Comments
against Para 5 (a) (iii) of the DGL also refer.
Section III
Para 9: In case the pay being drawn by
the officers as on 31/12/2005 gets affected due to pay revision carried out as
on 01/01/1986 as per the Court order, the pay as on 01/01/06 will be revised
with reference to the instructions laid down in SAI 02/S/08. Hence, the changes
proposed at Para 9, 10, & 11 are irrelevant.
Para 13: The Court order is applicable
only to those officers in the rank of Capt to Brig who were in service as on
01/01/86 and whose pay was fixed in the integrated pay scale after deducting
Rank Pay. Hence, no revision may be carried out for officers commissioned
thereafter.
Regarding payment of interest, the
method of calculation need to be mentioned in the DGL i.e. whether it will be
simple or compound interest. Interest on pension arrears also need to be
specified as Para 13 of the DGL is silent about the same.
Para 14, 15 & 16: Exercising of Option:
- In this regard it has been specifically mentioned by PCDA (O) that
deciding the most beneficial manner/option for fixation of pay in such cases is
not feasible due to various reasons such as no-availability of date related to
pay drawn and other elements affecting pay entitlements due to destruction of
time expired records in huge number of cases, the time span involved in each
case for scrutiny and analysis of pay data with reference to different dated
(i.e. increment, promotion etc) as three occasions of pay commissions and
subsequent multiple promotions. Therefore, pay revision based on such options
is not feasible.
Para 18: Hon’ble Supreme Court decision
has not mentioned about revision of all pay linked allowances simultaneously.
4. General points for
consideration:
(a) Certain
pay based allowances like HRA etc admissible to only eligible officers, subject
to fulfilment of specific conditions for a particular period, are not revised
even during pay commission orders from retrospective dates. Hence, question of
revision of such allowances from retrospective dates may not arise.
(b)
The DGL does not have any mention about the procedure to be followed for
revision of pay and calculations of arrears where pay details and other
information affecting pay entitlements is not available due to destruction of
records being time expired.
Addl CGDA
(VS) has seen.
Sd/-------------
(K L
Mound)
ACGDA
(AT-I)
Phone
No. 011-25665581
Shri Naveen Kumar
Director (AG)
MoD, D(Pay/Services), Sena Bhawan
New Delhi
--------------------
UO No.
AT/I/1483-Army/X (PC)/III dated 22/11/2012
******
Encl
45/A
MOST IMMEDIATE
COURT CASE
Ministry of Defence (Finance)
(AG/PA
Sub: Implementation of Supreme Court Order
dated 04.09.2012 in Rank Pay matter given in IA No. 9 of 2010 in Transfer Petition (C) No.
56/2007 – UoI V/s N.K. Nair on Rank Pay case - Reg
This is in continuation of this
Division’s ID Note of even No. dated 20th November 2012 (copy
enclosed). The issues were discussed in a meeting convened by AS (A) in his
chamber at 16.30 hrs on 20th November 2012 where representatives of
concerned Agencies/Departments were also present. AS (A) desired that the
interim orders may be issued by JS (E) for indicating Government intention for
implementing Supreme Court order. He also desired that comments of CGDA and MoD
(Fin) on the DGL should be obtained by 21st November 2012.
2. It
may be mentioned that vetting of DGL by MoD (Fin) may be undertaken
holistically on the receipt of comments of CGDA which may be provided to this
Division by MoD immediately on receipt. Meanwhile our provisional comments
in addition to those already mentioned at Para 3 of ID Note ibid are as under:
(i) The new integrated pay scale (Rs
2300-100-3900-150-5820-200-6450) proposed for the 4th CPC
dispensation is not in conformity with the existing Government instructions in
respect of 4th CPC since it seeks to raise the upper limit of
existing integrated pay scale substantially. Instead of raising the upper limit,
it will be appropriate that the amount above Rs 5100/- (existing upper limit)
may be treated as Personal Pay. It is also seen that the minimum pay in the new
integrated pay scale for the various ranks has also been proposed to be
enhanced (e.g. for Brigadier/equivalent, it is proposed to be enhanced from Rs
4950 to Rs 6250). This does not seem to be justified.
(ii) The new pay scales/grade pay proposed in
the 5th CPC as well as for 6th CPC dispensations, for
different ranks (Lt./equivalent to Brigadier/equivalent) also do not appear to
be acceptable as the same will be over and above the recommendations made by 4th
CPC as well as the 5th CPC.
(iii)
However in 5th CPC dispensation, the
formula of pay fixation may be amended in the same way as being done for the 4th
CPC i.e. the Rank Pay should not be deducted first for calculating the pay in
the same way as done in the case of 4th CPC as per Supreme Court
order dated 04.09.2012.
Sd/------------------------
(B.K. Mukhopadhyay)
JS
& Addl FA (M)
Jt Secretary (E) MoD
MoD (Fin) ID
No. 8 (13)/2012-AG/PA dated 21st November 2012
Copy for
perusal of AS (A)
Sd/-------------
21/11/2012
AS (A)
JS (E)
Sd/------------ 22/XI
Dir (AG)
Sd/--------- 23/11/12
SO P/S
Sd/--------- 23/11
*****
Encl
46/A
Most Immediate
Court case
Ministry
of Defence
D
(Pay/Services)
Sub:
Implementation of Supreme Court Order dated 04.09.2012 in Rank Pay matter given
in IA No. 9 of 2010 in Transfer Petition
(C) No. 56/2007 – UoI V/s N.K. Nair on Rank Pay case
Copies of MoD (Fin) ID Note No.
8(13)/2012-AG/PA dated 21.12.2012 and CGDA UO No. AT/I/1483/X (PC)/III dated
22.11.2012 furnishing comments on the DGL submitted by the Services on the
above subject are enclosed for comments.
Sd/--------------------
(Praveen
Kumar)
Director
(AG.I)
Director, TRIPAS, Kashmir
House Sd/------ 26/11/12
MoD ID No. 34
(6)/2012 – D (Pay/Services) dated 26th November 2012
*****
Encl
47/A
MOST
IMMEDIATE
COURT
CASE
Ministry
of Defence (Finance)
(AG/PA)
Sub: Implementation of Supreme Court Order
dated 04.09.2012 in Rank Pay matter given in IA
No. 9 of 2010 in Transfer Petition (C) No. 56/2007 – UoI V/s N.K. Nair
on Rank Pay case – Vetting of DGL
A copy of Office of CGDA UO No.
AT/I/1483-Army /X (PC)/III dated 22.11.2012 addressed to Director (AG), MoD on
the above cited subject was provided to the representative of this Division by
SO, MoD/D(Pay/Services) during the meeting taken by AS (A), MoD on 23.11.2012
in his office in connection with the implementation of ibid Supreme Court order
dated 04.09.2012.
2. It is seen that Office of the CGDA have
furnished their comments on the various proposed provisions incorporated in the
DGL provided by the Services HQ to MoD/D(Pay/Services) for implementation of
the ibid Supreme Court order dated 04.09.2012. This Division is of the view
that the comments of Office of CGDA on the ibid DGL are entirely in order.
Comments of LA (Defence) may, however, also be taken in respect of amending the
formula of pay fixation in calculation of Rank Pay in the 5th CPC
dispensation vis-Ã -vis ibid Court order.
3. However, it is observed that Office of
CGDA have, inter-alia, mentioned that it needs to be decided whether the
interest to be paid on the arrears (as per ibid Court order) will be simple or
compound interest. In this connection, this Division is of the view that it
would be ‘simple interest’ as the ibid Supreme Court order dated 04.09.2012
indicates interest @ 6% p.a. from January 1, 2006 shall be paid, which may be
interpreted as ‘simple interest.’ However, the final decision in this regard
may be taken with the approval of Ministry of Finance (MoF).
4. Further, it is seen that Office of CGDA
have raised the following general points for consideration of MoD:
(a)
Certain pay based allowances like HRA etc. admissible to only eligible
officers, subject to fulfilment of specific conditions for a particular period,
are not revised even during pay commission orders from retrospective dates.
Hence, question of revision of such allowances from retrospective dates may not
arise.
(b)
The DGL does not have any mention about the procedure to be followed for
revision of pay and calculations of arrears where pay details and other
information affecting pay entitlements is not available due to destruction of
records being time expired.
5. So far as point at para 4 (a) above is
concerned, this Division endorses the view of Office of CGDA subject to final
approval of MoF. As regards point mentioned at para 4 (b) above, the same may
have to be decided by MoD in consultation with Service HQs.
5.
This has the approval of Addl FA (M) & JS.
Sd/------------------
K.
K. Sinha
AFA
(AG/PA)
Director
(AG-I) MoD
MoD (Fin) ID
No. 8 (13)/2012 – AG/PA dated 23rd November, 2012
*****
Encl
48/A
Most Immediate
Court case
Ministry
of Defence
D
(Pay/Services)
Sub:
Implementation of Supreme Court Order dated 04.09.2012 in Rank Pay matter given
in IA No. 9 of 2010 in Transfer Petition
(C) No. 56/2007 – UoI V/s N.K. Nair on Rank Pay case
In continuation of this Ministry’s
ID Note of even reference dated 26.11.2012 on the above subject, copy of MoD
(Fin) ID Note No. 8(13)/2012-AG/PA dated 23.11.2012 is also enclosed.
Sd/--------------------
(Praveen
Kumar)
Director
(AG.I)
Director, TRIPAS, Kashmir
House Sd/------ 26/11/12
MoD ID No. 34
(6)/2012 – D (Pay/Services) dated 26th November 2012
*****
Encl
49/A
Most Immediate
Court case
Ministry
of Defence
D
(Pay/Services)
Sub:
Implementation of Supreme Court Order dated 04.09.2012 in Rank Pay matter given
in IA No. 9 of 2010 in Transfer Petition
(C) No. 56/2007 – UoI V/s N.K. Nair on Rank Pay case
Reference CGDA UO No.
AT/I/1483-Army/X (PC)/III dated 22.11.2012 furnishing comments on the DGL
submitted by the Services on the above subject. It is seen that CGDA has not
agreed to the DGL proposed by the Service HQrs. CGDA is requested to furnish a
DGL by 27.11.2012 (Forenoon) to MoD positively for further action at this
end.
Sd/--------------------
(Praveen
Kumar)
Director
(AG.I)
Joint CGDA (AT.I) (Shri
Mohinder Singh)
MoD ID No. 34
(6)/2012 – D (Pay/Services) dated 26th November 2012
*****
Encl
50/A
Most Immediate
Court case
Ministry
of Defence
D
(Pay/Services)
Sub:
Implementation of Supreme Court Order dated 04.09.2012 in Rank Pay matter given
in IA No. 9 of 2010 in Transfer Petition
(C) No. 56/2007 – UoI V/s N.K. Nair on Rank Pay case
Reference MoD (Fin) ID No. 8
(13)/2012-AG/PA dated 21.11.2012 furnishing comments on the DGL submitted by
the Services on the above subject. It is seen that MoD (Fin) has not agreed to
the DGL proposed by the Service HQrs. MoD (Fin) is requested to furnish a DGL
by 27.11.2012 (Forenoon) to MoD positively for further action at this end.
JS & Addl FA (M)
MoD ID No. 34
(6)/2012 – D (Pay/Services) dated 26th November 2012
*****
Most Immediate: Court Case
AFNet:
21125571
AF
Pay Implementation Cell,
Air
HQ, RK Puram
New
Delhi-66
Air
HQ/99141/7/AFPCC 27th
November 12
MoD – D
(Pay/Services)
IMPLEMENTATION OF SUPREME COURT ORDER
DATED
4.9.2012 GIVEN IN IA No. 9 OF 20101 IN
TRANSFER PETITION (C)
No. 56/2007 – UoI V/S N.K. NAIR &
Ors ON RANK PAY CASE
Reference is made to your letter No.
MoD ID No. 34 (6)/2012 – D (Pay/Services) dated 26 Nov 12.
3.
The implementation of court order on rank pay
issue will need to take into account legal interpretation of the order. It is
understood that MoD has sought clarifications from Ministry of Law regarding
the interpretation of the order. It is requested that the query by MoD and
Ministry of Law response thereon may please be forwarded at the earliest to the
undersigned for interpretation of the ibid order.
Sd/---------------------------
(DS
Dagar)
Gp
Capt
Member,
AFPIC
Copy to:
TRIPAS
Standing
Army Pay Commission Section
PDPA,
Naval HQ
In dak pl Sd/----------- 27/11/12
Dir (AG.I) Sd/---------------
27/11/12
SO P/S
*****
Encl 57/A
Telephone:
23011257
PC-C/7026/6th
CPC/Vol-III 27
Nov 2012
ADJUTANT GENERAL’S
BRANCH
Tri Service Pay
Staff
IMPLEMENTATION
OF HON’BLE SUPREME COURT ORDER DATED
4.9.2012 GIVEN
IN IA No.9 OF 2010 IN TRANSFER PETITION (C) No.
56/2007 – UoI
v/s N.K. Nair & Ors on RANK PAY CASE
1. Reference
Para 2 to MoD ID No. 34 (6)/2012 – D
(Pay/Services) dated 26 Nov 12.
2. It is
submitted that: -
(a) DGL by
Armed Forces has already been forwarded on File No. Air HQ/99141/7/AFPCC (Ty
BM) on 07 Nov 12.
(b) Comments
on the observations raised by MoF and CGDA has been forwarded vide TRIPAS note
of even No. dated 15 Nov 12.
(c) It is
further stated that modalities and methodology of payment of affected officers
of the Armed Forces would be worked out based on finalisation of financial
implications by CGDA and indication of availability of funds by MoD/MoF, as
discussed during the meeting held in the office of AS (A) on 23 Nov 12.
Sd/-----------------
RS Chowdhury
Captain (IN)
Director (TRIPAS)
Director (AG)
MoD, Sena Bhawan
Sd/-----------
27/11/12
SO
P/S
*****
Encl
58/A
MOST
IMMEDIATE
COURT
CASE
Ministry
of Defence
(AG/PA)
Subject:
Implementation of Hon’ble Supreme Court Order dated 04/09/2012 in
IA
No. 9 of 2010 in Transfer Petition (Civil) No. 56 of 2007 filed on behalf of
UoI
vs. N.K. Nair & Ors on the matter of Rank Pay: vetting of DGL -
regarding
Ref: CGDA UO
No. AT/I/1483-Army/X (PC)/III dated 22/11/2012 addressed to Shri Naveen Kumar,
Director (AG), MoD 0 D(Pay/Services) New Delhi.
Jt CGDA may please refer to the
discussions held in the chamber of AS (A) on 20.11.2012 and 23.11.2012 on the
subject noted above. It is learnt that the issue has been raised in the meeting
taken by Defence Secretary today. As desired by FA (DS) and communicated
through our telecon the DGL prepared by Service HQs should be revised by CGDA
as per their comments and should be sent to the undersigned by today afternoon positively along
with specific comments on the note of Ministry of Finance dated 9.11.2012 (copy
enclosed.)
2. The same may be either sent through
special messenger or through FAX to the following numbers: 23792076 (Tele/fax)
0r 23016654.
Sd/--------------------------
(B.K.
Mukhopadhyay)
JS
& Addl FA (M)
Shri K.L. Mound, ACGDA (AT-I),
o/o CGDA, Ulan Batar Road, Palam, Delhi Cantt
U.O. No. MoD (Fin) 8
(13)/2012-AG/PA dated 26th November 2012
Copt to: Shri Praveen Kumar,
Director (AG.I), MoD, D (Pay/Services) w.r.t. MoD ID No. 34 (6)/2012 – D
(Pay/Services
******
Encl
59/A
Urgent/Court Case
Office of the CGDA, Ulan Batar Road, Palam,
Delhi Cantt-10
Subject: Implementation of Supreme Court Order
dated 04/09/2012 in IA No. 9 of 2010 in Transfer Petition (C) No. 56/2007 filed
on behalf of UoI v/s N. K. Nair on the matter of Rank Pay: vetting of DGL –
regarding
Reference:
MoD (Finance) UO Note MoD (Fin) 8(13).2012 – AG/PA dated 26/11/2012
******
A copy of the
DGL prepared by Service HQ (TRIPAS) on
the above subject had been received from MoD
D(Pay/Services) under their ID No. 34(6)/2012/D (Pay/Services) dated
41/11/2012 for vetting/comments. The same was examined in consultation with the
concerned field Controllers and para-wise comments were communicated to MoD
D(Pay/Services under this office UO Note of even No. dated 22/11/2012 (copy
enclosed for ready reference). Now, it has been desired under MoD (Fin) UO Note
above that DGL prepared by Service HQ should be revised by CGDA as per comments
offered by this office.
2. Therefore, as desired, the DGL, based on comments offered in
this office UO Note of even No. dated 22/11/2012 is enclosed herewith with this
UO for examination and consideration.
3. As regards the comments on MoF note dated 01/11/2012 the
same have already been forwarded to MoD D (Pay/Services) vide this HQ office UO
Note of even No. dated 16/11/2012 (copy enclosed).
Addl
CGDA (VS) has seen.
Sd/---------------
(K L
Mound)
ACGDA
(AT-I)
Phone
No. 011-25665581
Sh. B. K. Mukhopadhyay
JS & Addl FA (M)
MoD (Finance) (AG/PA)
New Delhi
UO No. AT/I/1483-Army/X(PC)/III
dated 29/11/2012
Copy to
Shri Praveen Kumar
Director (AG)
MoD, D (Pay/Services),
Sena Bhawan,
New Delhi
For information w.r.t. ID No.
34(6)/2012/D(Pay/Services) dated 26/11/2012 (a copy of DGL is enclosed).
Sd/---------------
(K L
Mound)
ACGDA
(AT-I)
Phone
No. 011-25665581
*****
Encl
60/A
MOST
IMMEDIATE
COURT
CASE
Ministry
of Defence
(AG/PA)
Subject:
Implementation of Hon’ble Supreme Court Order dated 04/09/2012 in
IA
No. 9 of 2010 in Transfer Petition (Civil) No. 56 of 2007 filed on behalf of
UoI
vs. N.K. Nair & Ors on the matter of Rank Pay: vetting of DGL -
regarding
Ref: CGDA UO
No. AT/I/1483-Army/X (PC)/III dated 29/11/2012 addressed to the undersigned
with a copy to Shri Praveen Kumar, Director (AG), MoD 0 D(Pay/Services) New
Delhi and this office UO of even number dated 26.11.2012.
MoD may please refer to the
discussions held in the chamber of AS (A) on 20.11.2012 and 23.11.2012 on the
subject noted above. The DGL, prepared by Services HQ has been re-drafted by
CGDA as furnished by them vide their ibid UO dated 29.11.2012 and a copy of
which has already been endorsed to MoD.
2. This Division agrees with the DGL
furnished by CGDA vide their ibid UP dated 29.11.2012.
3. We are also of the view that the applicability
should be limited to 4th Central Pay Commission s per Court orders.
4.
Before sending this file to Ministry of Finance,
MoD may also indicate location of savings/re-appropriation of funds pertaining
to the expenditure incolved.
5.
Concrete comments of MoD are solicited on all
issues for taking up the matter with M/o Finance w.r.t. their observations vide
their I.D. Note dated 9.11.2012.
6.
This issues with the approval of FA (DS).
Sd/--------------------------
(B.K.
Mukhopadhyay)
JS
& Addl FA (M)
Shri. S K Khare JS (E) MoD
UO No. MoD (Fin) 8(13)/2012-AG/PA
dated 29th November 2012
Praveen Kumar, Pl process.
Sd/---------------- 29/11/12
7
pm
Dir (AG) Pl put up today itself
Sd/-----------------
30/11/12
SO P/S
**************
Part II of III parts concluded
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