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Wednesday, September 13, 2017

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DEAR ALL,

The Review Petition filed by us which came up for hearing at the Delhi High Court on 1/9/2017 was disposed of by an order dismissing our review application as withdrawn stating that our counsel had made a statement that the grounds urged in the present review application would be raised by way of additional grounds in the Special Leave Petition, which has already been preferred. The Court has also refrained from making any comments on the merits of our Review Petition. A copy of the Delhi High Court  Order is attached.
This means that the DHC Order has provided us an opportunity to have the grounds taken by us tested for justification by the Supreme Court. This is an encouraging development having the potential to strengthen our SLP.

For the information of our pensioner friends, the grounds taken by us in our Review Petition are listed below:

1.    Misrepresentation by LIC of the purported financial implications which was erroneous to mislead the Hon’ble High Court.

All through the proceedings, LIC had contended that upgradation of pension will entail huge financial burden to LIC and will adversely affect the policyholders by reducing their bonus. But the subsequent information that came to our knowledge through the correspondence of Chairman & E D (Pers) of LIC between 2014 & 2017, LIC had positively recommended allowing one more option for about 16500 employees who had not opted for pension stating that LIC’s financials were good that would make this additional burden affordable. This clearly exposed the hollowness of LIC’s claim of unaffordability for providing upgradation of pension for existing pensioners many of whom are septuagenarians and octogenarians.

2.    The Hon’ble High Court’s observation that the Supreme Court held the LIC Board Resolution as non est.

This was glaringly an error of fact because the Supreme Court in its judgment had clearly held that the Board Resolution was valid and even observed  that the Government should have been gracious enough to take a decision on the recommendations of the Board.

3.    Error apparent in not granting the partial relief correctly in certain slabs of basic pension.

The High Court Bench had erred in not following its on principle that the rate of DR should not be less than that for the subsequent generation of retirees, e.g 0.23% wherever the rate was less  for retirees under para 1 & para 2 of Annexure IV.While this was correctly followed in respect of pensioners under para 2,in respect of pensioners under para 1,the rate  for pensioners in the slab of 2000 to 2130 was not increased to 0.35% where it was allowed to remain at 0.33% as also the in the  sub-slab of 2131 to 2400 where it was raised to  0.29% upto 3850.This was inconsistent  in respect of pensioners with basic pension from 2000 to 2400  for which the pensioners got a DR rate of 0.35%  under para 2.
While including this ground in our SLP, we will of course take care to make it clear that this prayer is without prejudice to our plea for upgradation of pension which if allowed by the Supreme Court will have the effect of modifying the partial relief in the event of  upgradation of pension with each wage revision from 1/8/1997 onwards.In this process, our prayer will also be to modify the DHC order in its judgment dated 27/4/2017 that the arrears will be payable from the date of the first Writ Petition filed( which is 18/12/1998 for the Jaipur Writ Petition) and instead order LIC  to make  payment  of the arrears from 1/11/1993 or the date of retirement whichever is  later as the Delhi High Court by  its order  had clearly recognized the existence of anomaly from  1/11/1993  or the date of retirement whichever was later.While on this we will also need to pray before the Supreme Court in  our mention of additional grounds that  the rate of Dearness Relief if modified as per our prayer in the Review Petition will be still much less than that as will be  arrived at if  calculated as per the tapering Dearness Allowance  formula  as applicable to in-service employees during the period upto 31/7/1997, as from 1/8/1997 onwards with 100 % neutralization the rate of DA/DR was same for in-service employees and retirees vide Central Government notification of amendment in LIC Pension Rules 1995 by inserting para 3A in Appendix IV on 22/6/2000.We will discuss with our counsel all the above aspects before filing the additional grounds in our SLP

4.    One year time granted to LIC to implement partial relief granted  to pre-August 1997 category pensioners.

The period of 9 months to determine the arrears payable and the time of one year granted for payment of arrears without interest is too long a period considering that the beneficiaries have already been identified while making payment of 40% interim relief as per the Supreme Court Order dated 31/3/2016.With the DHC order clearly spelling out the revised DR formula in its order dated 27/4/2017 and the IT resources available at the disposal of LIC, a few weeks are sufficient for making the payment of arrears to this group of pensioners.This is of course subject to the changes that we will be praying for in our ground 3 above.

When these four grounds are taken before the SC in our SLP, we are sure that they will add strength to our SLP when it comes up for hearing on 13/10.2017.

We have at this juncture to recall with gratitude the foresight, tenacity, commitment and persistence with which late M Sreenivasa Murty laboured not only to prepare the Review Petition, but also got it filed  with latest material available well before his unfortunate demise. I wish to presently convey to the pensioners how Mr G K Viswanatham and I spent long hours at his residence before aggregating the grounds for the review petition.

But what is confounding us is the huge cost of litigation staring at us to take us through for succeeding in our case however strong it may be. Engaging a credible Senior Counsel entails prohibitive cost where Rs 5 lks plus have to be paid for a single appearance by the senior counsel. So we need liberal contributions towards the legal fund on war footing. So, I once again appeal to all our pensioner friends to send their contributions  at the earliest.

Let us hope for the best in our ensuing legal struggle invoking the blessings of Almighty.

Greetings.

C H Mahadevan

Details of Bank Account
Account Name: Retired Class I Officers’ Association, Hyderabad
S B A/c No: 053310100000317
Bank: Andhra Bank,Saifabad Branch,Hyderabad
IFSC No ANDB0000533
 
Cheques may be drawn in favour of   “RETIRED LIC CLASS I OFFICERS’ ASSOCIATION, HYDERABAD” and sent to Treasurer at the following address:
Shri Y V Subba Rao,
Block No 4, Flat No G1, Diamond Estates,
Ram Murty Nagar,CBCID  Colony,
Hyder Nagar,
Hyderabad 500072
Mob No 9491124614