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Judgment
The applicant, a Sergeant who retired from the Indian Air Force is seeking to quash the letter dated 02.09.2019, whereby his request for
disbursement of interest on delayed retirement benefits was rejected.
The brief facts of the case are that the applicant was enrolled in the Indian Air Force as an Airman on 15.07.1997, for a term of 20 years. While in
service, he had applied for a No Objection Certificate (NOC) to register his name with Employment Exchange and to apply for any civil post, which
was granted to him on 26.07.2016. Thereafter, he applied for civil employment and he received an appointment letter. He then applied for premature
discharge from service for joining civil employment. He also gave an undertaking in writing that he understands that because of premature discharge,
it could take up to 12 months to clear his pension and other NE benefits after discharge. On 31.01.2017, the applicant was discharged from service.
He received the Pension Payment Order on 28.02.2018 i.e. after 28 days of promised 12 months' delay. He got the pensionary benefits from the bank
in two instalments i.e. on 17.05.2018 and 19.05.2018. Thereafter, he made a request to the respondents for disbursement of interest on retirement
benefits and followed it up with a legal notice. His request for disbursement of interest on retirement benefits was rejected by the respondents vide the
impugned letter dated 02.09.2019. Hence the instant 0.A seeking the aforesaid relief.
Learned counsel for the respondents pointed out that there is no provision in the Pension Regulations for the Air Force for payment of interest on
delayed pensionary benefits. Furthermore, the applicant was not justified in making such a claim when he had already given an undertaking on
13.12.2016 that he would not make any representation against the delay in sanctioning his NE benefits till 12 months after premature discharge. He
concluded by stating that the PPO of the applicant was issued after 12 months and 28 days of his discharge.
Having heard the counsel appearing on both sides, we are of the view that there is no justification on the part of the applicant claiming interest on
delayed pensionary benefits, especially when he had proceeded on premature discharge and given an undertaking in writing that he would not make
any such claim till 12 months after his discharge. The applicant himself has produced the said undertaking given by him as Annexure A4, which is
reproduced as under:
I understand that since I am seeking to be struck off the strength from service prematurely after the approval of my discharge application, it
may take up to twelve months for sanctioning of NE benefits after the date of SOS. I undertake that I and or my dependents will not make
any representation against the delay in the sanctioning of my NE benefits.
Furthermore, it has come out that the Directorate had received the pension papers of the applicant on 27.02.2017; the medical certificate on
11.05.2017 and the record copy sheet roll on 13.10.2017. Approximately four months were taken by three different agencies i.e. DAV, AFCAO and
0/o JCDA (AF) from the date of receipt of RCSR in finalisation of his pension/commutation/DCRG i.e. issue of PPO.
It is understood that a series of sequential activities are required to be undertaken by an organisation before the retirement of an individual so that
his pension can be released in time. For normal retirement cases, this activity starts 12 months before retirement, so as to ensure that all mandatory
formalities are completed and the PPO is issued before retirement. In this case, according to the applicant, he has received his PPO on 28.02.2018 i.e.
12 months and 28 days after his premature discharge date. Hence, considering the issue in totafity, we are of the considered opinion that it is not a fit
case for payment of interest to the applicant.
Viewed thus, we find no merit in this 0.A and the same is dismissed, in limine.