Case Note & Summary
The petitioners, widow and son of a deceased employee of Zilla Parishad, Wardha, challenged an order dated 3.10.2001 by which the respondents deducted pension amount of the deceased husband/father. The deceased employee died on 10.6.2001. The respondents had issued show cause notices alleging pecuniary loss caused to the Zilla Parishad due to negligence or breach of orders. The deceased employee replied to the first show cause notice, but no decision was taken. Another show cause notice was issued, which was replied by the petitioners denying the allegations. No detailed enquiry was conducted during the lifetime of the deceased employee. The show cause notice and order referred to items/entries ranging from 1991 to 1996, with substantial amount prior to 1997-98. The petitioners contended that under Rule 27 of the Maharashtra Civil Services (Pension) Rules, 1982, no recovery can be made from pension for events more than four years old. The court held that the respondents failed to conduct any enquiry and did not prove the alleged loss. The recovery was also barred by limitation under Rule 27(2)(b)(ii) as the events were more than four years old. The court quashed the impugned order and directed the respondents to refund the deducted amount with interest at 6% per annum from the date of deduction till payment, within three months.
Headnote
A) Service Law - Pension Recovery - Departmental Enquiry - Recovery from pension of deceased employee without conducting detailed enquiry during his lifetime is illegal - The respondents failed to prove the alleged pecuniary loss and no enquiry was held - Held that basic burden lies on employer to support recovery, which was not discharged (Paras 2-4). B) Service Law - Limitation for Departmental Proceedings - Rule 27(2)(b)(ii) of Maharashtra Civil Services (Pension) Rules, 1982 - Departmental proceedings cannot be instituted in respect of any event which took place more than four years before such institution - The show cause notice included items from 1991 to 1996, which are beyond four years - Held that recovery based on stale claims is impermissible (Paras 5-6).
Issue of Consideration
Whether the respondents could deduct pension amount of the deceased employee without conducting a detailed enquiry and whether such recovery is barred by limitation under Rule 27 of the Maharashtra Civil Services (Pension) Rules, 1982.
Final Decision
The impugned order dated 3.10.2001 is quashed and set aside. The respondents are directed to refund the deducted amount with interest at 6% per annum from the date of deduction till payment, within three months.
Law Points
- Pension cannot be withheld or recovered without proper departmental enquiry
- Recovery from pension is barred for events more than four years old under Rule 27(2)(b)(ii) of Maharashtra Civil Services (Pension) Rules
- 1982
- Burden of proof lies on employer to justify recovery
- Rule 4(iii) of Maharashtra Zilla Parishads District Services (Discipline and Appeal) Rules
- 1964 requires proper procedure before recovery from pay
