The Supreme Court has overturned a Gujarat High Court ruling that denied a pension claim due to a seven-year delay. Emphasizing that pensions are ongoing entitlements, the Court instructed the High Court to reconsider the case merits. This decision reinforces that procedural delays should not compromise the rights of retired employees to their benefits.
New Delhi: In a significant ruling, the Supreme Court set aside a Gujarat High Court order that dismissed a plea seeking terminal benefits and pension solely on the grounds of delay. The case was brought forward by an appellant who had approached the High Court in 2022, challenging a 2014 order that denied him pension and terminal benefits. The Supreme Court Bench, comprising Justice BV Nagarathna and Justice Pankaj Mithal, emphasized that “pension is not a bounty but a recurring occurrence” and should not be denied purely on procedural grounds.
The High Court’s Division Bench had upheld an earlier ruling by a single judge, which dismissed the appellant’s claim due to a seven-year delay. However, the Supreme Court stressed that pension entitlements are not one-time benefits but rather ongoing obligations. Referencing the landmark judgment in D.S. Nakara vs. Union of India (1983), Justice Nagarathna quoted Justice D.A. Desai’s observation, which highlighted that pension is “not a mere gratuity but a recurring obligation” owed to retired employees.
The appellant’s counsel, AoR Ajay Kumar, argued that the High Court failed to recognize that each monthly pension installment gives rise to a new cause of action. He asserted that the right to pension should not be compromised by procedural delays, especially since it is a recurring benefit. Conversely, AoR Deepanwita Priyanka, representing the respondent state, argued that the appellant’s silence over the years suggested acceptance of the original 2014 decision, questioning the validity of reopening the case.
In delivering its judgment, the Supreme Court stated,
“We find that the High Court was not right in dismissing the Special Civil Application on the ground of delay and laches. Instead, the High Court ought to have considered the case of the appellant on merits.”
The Court further emphasized the necessity for the High Court to examine the appellant’s entitlement to pension and terminal benefits based on applicable rules.
The Supreme Court’s decision not only overturned the previous dismissal but also remanded the case to the Gujarat High Court with instructions for expeditious reconsideration on merit. The judgment concluded by setting aside the High Court’s order and directing that the case be revisited promptly, stating,
“It is needless to observe that the said reconsideration shall be made expeditiously and in accordance with law.”
This ruling reinforces the principle that pension is an ongoing entitlement for retired employees and should not be denied on procedural grounds, setting a clear precedent for the treatment of similar cases in the future.
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