The Punjab and Haryana High Court recently upheld an order of the Armed Forces Tribunal (AFT) which had directed the Central government's Ministry of Defence to grant the benefit of a revised pension to reservist army retirees under the Pension Regulation for Army, 1961 [Union of India and Ors. v. Darshan Singh Bal and Ors.].
A Bench of Justices Sureshwar Thakur and Sudeepti Sharma found that the retired reservist army personnel had served the relevant period of qualifiable pensionable service both as reservists as well as of colour.
It explained that under the Colour/Reserve system of enrollment in the Indian Army used in earlier times, soldiers (like Sepoys) were required to serve a certain number of years in active service, referred to as "Colour service" and a subsequent period in the "Reserve service" to the extent where the total served period would reach a completion of 15 years to qualify for a "Reservist Pension" under Regulation 155 of the Pension Regulations of the Indian Army, 1961.
"The Colour/Reserve system of enrolment was regulated in many forms such as the 7+8, 6+9, 9+6, 5+10, 10+5 years etc. format, but the total of the apposite colour and reserve qualifying service but was mandatorily required to be performed for a period of 15 years rather for the reservist pension becoming endowed to the defence personnel. Therefore, all the present respondents (petitioners in the O.A.) do evidently qualify the total of the relevant period of qualifiable pensionable service both on the apposite roll(s) of reservist as well as of colour service," the Court said in its September 27 order.
The judgment was passed in a plea filed by the Central government challenging a May 2023 order passed by the AFT by which the government was directed to process the case of the retired reservist army personnel for revision of pension in terms of Regulation 155 of the Pension Regulation for Army, 1961.
The pension was directed to be revised at a rate not lesser than 2/3rd of the lowest pension admissible to the lowest category of a Sepoy.
It was also directed by the AFT that the pension scheme be revised from time to time and consequential benefits be released to the reservist army personnel.
The Union of India argued that the 1987 amendment to the Pension Regulations, which revised the pension rates, was effective only from January 1, 1986 and the same should not apply retrospectively to servicemen who retired before this date.
It was further argued that if the said pension scheme is applied retrospectively than it would be in breach of the One Rank One Pension (OROP) policy of 2014.
However, the Court disagreed with the Central government's submissions, and held that since the OROP policy is a decision post-1976, it does not have any effect upon the reservist pension being drawn by the retired reservist army personnel.
"As such, the principle of One Rank One Pension, whereby there may be disallowings qua the benefits of the policy decision (supra), thus is not applicable to the present respondents, as thereby, it would be antithetical both to the policy decision (supra) besides it would cause financial prejudice to the respondents, who prior to the coming into force of the policy of One Rank One Pension, did become valid recipients of the apposite benefits of both, pensionable service rendered in colour and to the pensionable service rendered in the reservist force", the Court stated.
Thus, the Court ruled against the Central government and upheld the AFT's decision.
It clarified that the 1987 amendment to Regulation 155 has a retrospective effect and applies to all ex-servicemen who had completed the qualifying 15 years of service (both color and reserve), even if they retired before January 1, 1986.
Advocates Navdeep Singh, Roopam Atwal, Bharat, Parveen, Jai Singh and Anirudh Gupta represented the retired reservist army personnel.
Advocate Rohit Verma and Senior Panel Counsel Angel Walia appeared for the Central government.
[Read High Court Order]
[Read AFT Order]