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Saturday, May 09, 2015

SC order dt 7/5/2015 and its implications

The Supreme Court has ordered inter alia,

"If any amount, that has been deposited before the High Court pursuant to the order passed by this Court, 20% of the same shall be released in favour of the Life Insurance Corporation of India, so that CA 8959-62/13 3 it can pay to the concerned employees. "


My view:

Our counsel must have pointed out to the court immediately how the relief provided is not only inadequate but also erroneous-even for the respondent- pensioners for the following reasons:

1) LIC has not acted as per the directions of the Jaipur Single Judge Bench allowing writ petition no 6676/1998 as per which the anomaly in DR arising out of disparity in DR formula between pensioners and in-service employees prior to 1/8/1997 was to be removed and payment of difference in pension was required to be made from 1/11/1993 or the date of retirement whichever was later;

2) LIC has restricted the revision of pension only
from 1/8/1997 without adopting the same principle of merger of Basic Pension and DR on 1/8/2002 & 1/8/2007 and paying difference thereof on further revisions of pension;
and

3) LIC had completely overlooked the fact that the Jaipur SJB order had allowed the W P No 654/2007,whereby pension of all retirees was to be upgraded based on revised scales of pay on all future wage revision dates after 1/8/1997 also.LIC had not deposited any amount in Jaipur HC Registry in respect of some post- July 1997 retiree-petitioners

I hope the case managers will consider ways and means of bringing it to the notice of the Apex Court before 15/5/2015.

For the above reasons, my view is that the respondent- pensioners should refuse to accept the interim payment when made by LIC so as not to weaken our case for final verdict of the SC.

With greetings,
C H Mahadevan