Friday, May 13, 2016

LIC has failed to abide by S.C. direction on Para.3A of Appendix IV

LIC has failed to abide by S.C. direction on Para.3A of Appendix IV

Data on payment of 40% IR by Machlipatnam, D.O. by Shri L.S.R.K.Rao will be true in respect of other DOs / ZOs. A few at the LIC, at the helm of office have wrongly interpreted Para.3A of Appendix IV to Pension Rules.

GOI was ultimately made to implement the CAT order by the S.C. in r/o pre 2006 GOI pensioners. At first instance, after dismissal of the curative petition by the S.C., the Govt. enhanced the pension of the eligible pre 2006 pensioners from 01-01-2006. Second time, the S.C. ordered the the Govt. to pay full pension to the pre 2006 pensioners who had put in 20 years as recommended by the 6th CPC within three months or face contempt of court. The Govt. immediately issued the order on 06-04-2016.

LIC should have abided by the order of the the S.C. They may be pulled up by the H.C. against their wrong action.

The S.C. judgement of 31st March, 2016, in short :

Para.25 : As an ad- interim measure, it is directed that the Corporation release 20% of the amount as per the impugned judgements pertaining to H.C., in favour of the respondent employees. ALL know that the impugned judgements were to pay 100% DR and updating of pension with 11.25% weightage.

Para.26 : ...the learned counsel for the respondents would agonisingly contend that the amount of pension the respondents are getting is a paltry sum and it is difficult to sustain in the present day. The Corporation should have been generous enough to recognise the services rendered.... Learned Addl. Solicitor General would submit that the Corporation has deposited the entire amount, without pay revision...The said fact is disputed by the learned Counsel for respondents. The said aspect does not detain us for what we are going to direct in praesenti. 

Para.27 : Keeping in view the totality of facts and circumstances of the case, it is hereby directed that the Corporation shall pay 40% as per Para.3A of the Appendix IV to each of the employees within six weeks and shall file an affidavit before the H.C. to the said effect.

It may be noted that the Hon.Justice has 'for the present' directed the Corporation to pay as per Para. 3A. He has not directed to pay as envisaged in Para.3B. 100% neutralisation in DR @ rate of 0.23% percent is to the employees retired between 01-08-1997 to 31-07-2002 on the revised pay scales of August, 1997. The same is to be made applicable to the pre August, 1997 pensioners. There cannot be two or more opinions on the on the verdict.

It is good that Shri MSM, the President of an Association has sent a protest letter to the kind attention of the LIC Chairman. Other leaders, S/s KMLA and GNS may also do the needful. These could be considered as 'representative'.

At times, I feel like agreeing with the suggestion of Shri B.Ganga Raju...to bombard the Chairman (not SKR as an individual) with thousand letters of protest - for paying paltry sums as arrears. A expected to get Rs.2.00 lakhs but got Rs.0.16 lakh ! Hon.Justice Shri Dipak Misra may feel hurt if he is provided the details of arrears paid!