Supreme Court Allows IPS Officer's Voluntary Retirement in VRS Rejection Case — Central Government's Rejection Based on Pending Disciplinary Proceedings Set Aside as State Government's Recommendation for Acceptance Was Not Considered Properly. The Court held that the Central Government must give reasons for differing from the State's recommendation and that mere contemplation of proceedings without charge sheet does not justify rejection under Rule 16(2A) of the All India Service (Death-cum-Retirement Benefits) Rules, 1958.

In Favour of Accused
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Case Note & Summary

The appellant, an Indian Police Service (IPS) officer of the 1997 batch (Maharashtra cadre), sought voluntary retirement from service (VRS) by a notice dated 01.08.2019 under Rule 16(2A) of the All India Service (Death-cum-Retirement Benefits) Rules, 1958. At the time, three complaints were pending against him: (i) a complaint of torture by Tukaram Bhimrao Jadhav (22.07.2014), (ii) a complaint by his father-in-law regarding a second marriage and torture (28.04.2016), and (iii) an enquiry for violation of Conduct Rules based on a speech at his book launch (29.03.2019). The appellant had made two prior VRS applications: the first was withdrawn, and the second was rejected due to pending disciplinary proceedings under the RTI Act, which were later closed. The State Government, on 16.10.2019, recommended acceptance of the VRS notice, observing that no charge sheet had been issued and no major penalty was likely. However, on 25.10.2019, the Central Government (Ministry of Home Affairs) rejected the notice, stating that disciplinary proceedings were still pending or contemplated against the appellant. The appellant challenged the rejection before the Central Administrative Tribunal (CAT), which upheld the rejection. The High Court confirmed the CAT's order. The Supreme Court granted leave and examined the validity of the rejection. The Court noted that the Central Government's order was not a speaking order and did not adequately consider the State Government's recommendation. The Court held that the mere pendency or contemplation of disciplinary proceedings, without a charge sheet or formal initiation, does not automatically justify rejection of VRS, especially when the State Government, after due scrutiny, found no major penalty likely. The Court set aside the rejection, directed that the VRS notice be deemed accepted from 01.08.2019, and allowed the appeal.

Headnote

A) Service Law - Voluntary Retirement - Rule 16(2A) of All India Service (Death-cum-Retirement Benefits) Rules, 1958 - Rejection of VRS Notice - The appellant, an IPS officer, sought voluntary retirement. The State Government recommended acceptance, finding no major penalty likely. The Central Government rejected the notice citing pending/contemplated disciplinary proceedings. The Supreme Court held that the Central Government's order was not a speaking order and failed to consider the State Government's recommendation properly. The rejection was set aside, and the VRS notice was deemed accepted from the date of the notice. (Paras 1-30)

B) Service Law - Disciplinary Proceedings - Pending or Contemplated - The Court examined the meaning of 'pending or contemplated' disciplinary proceedings. It held that mere contemplation without a charge sheet or formal initiation does not justify rejection of VRS, especially when the State Government, after scrutiny, opined that no major penalty was likely. The Central Government must give reasons for differing from the State's recommendation. (Paras 15-25)

C) Service Law - Speaking Order - Requirement of Reasons - The Court emphasized that an order rejecting a VRS notice must be a speaking order, disclosing reasons for disagreement with the State Government's recommendation. The impugned order was cryptic and non-speaking, thus unsustainable. (Paras 20-28)

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Issue of Consideration

Whether the Central Government's rejection of the appellant's voluntary retirement notice under Rule 16(2A) of the All India Service (Death-cum-Retirement Benefits) Rules, 1958, on the ground that disciplinary proceedings were pending or contemplated, was valid and sustainable in law.

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Final Decision

The Supreme Court allowed the appeal, set aside the judgment of the High Court and the order of the CAT, and directed that the appellant's VRS notice dated 01.08.2019 be deemed accepted from that date. The appellant shall be entitled to all consequential benefits.

Law Points

  • Voluntary retirement
  • disciplinary proceedings pending or contemplated
  • Rule 16(2A) of All India Service (Death-cum-Retirement Benefits) Rules
  • 1958
  • Central Government's power to reject VRS
  • requirement of speaking order
  • consideration of State Government's recommendation
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Case Details

2026 LawText (SC) (01) 123

Civil Appeal No. of 2026 (Arising out of SLP (C) No. 21390 of 2024)

2026-01-01

2026 INSC 550

Abdur Rahman

Union of India & Ors.

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Nature of Litigation

Civil appeal against High Court judgment confirming CAT order upholding Central Government's rejection of VRS notice.

Remedy Sought

The appellant sought acceptance of his voluntary retirement notice dated 01.08.2019.

Filing Reason

The Central Government rejected the VRS notice on the ground that disciplinary proceedings were pending or contemplated against the appellant.

Previous Decisions

CAT dismissed the appellant's Original Application No. 758/2019 on 07.12.2023; High Court dismissed Civil Writ Petition No. 1018/2024 on 23.07.2024.

Issues

Whether the Central Government's rejection of the VRS notice was valid when the State Government had recommended acceptance. Whether the Central Government's order was a speaking order and whether it properly considered the State Government's recommendation. Whether the pendency or contemplation of disciplinary proceedings without charge sheet justifies rejection of VRS under Rule 16(2A).

Submissions/Arguments

The appellant argued that the State Government had recommended acceptance after finding no major penalty likely, and the Central Government's rejection was arbitrary and non-speaking. The respondents argued that the Central Government has the power to reject VRS if disciplinary proceedings are pending or contemplated, and the rejection was justified.

Ratio Decidendi

The Central Government's rejection of a VRS notice under Rule 16(2A) must be a speaking order, giving reasons for differing from the State Government's recommendation. Mere contemplation of disciplinary proceedings without a charge sheet does not justify rejection, especially when the State Government opines that no major penalty is likely.

Judgment Excerpts

The Central Government's order was not a speaking order and failed to consider the State Government's recommendation properly. Mere contemplation of disciplinary proceedings without a charge sheet does not justify rejection of VRS.

Procedural History

The appellant filed Original Application No. 758/2019 before the CAT, which was dismissed on 07.12.2023. He then filed Civil Writ Petition No. 1018/2024 before the High Court, which was dismissed on 23.07.2024. The appellant then filed SLP (C) No. 21390 of 2024 before the Supreme Court, which was converted into Civil Appeal No. of 2026.

Acts & Sections

  • All India Service (Death-cum-Retirement Benefits) Rules, 1958: Rule 16(2A)
  • All India Service (Conduct) Rules, 1968: Rules 6, 7
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